UNDERSTANDING THE ADOPTION OF DIGITAL PAYMENT: AN ECONOMIC PERSPECTIVE ON UPI APP USAGE AND SECURITY PERCEPTIONS
DOI:
https://doi.org/10.47413/kajg3w77Abstract
Globalization has driven rapid digital transformation, with India witnessing significant economic advantages, such as cost reduction and time efficiency. The Unified Payments Interface (UPI) plays a crucial role in bridging the gap between consumers and businesses. This study examines how UPI is transforming lives, though it also introduces security risks. In 2024, India registered 2,92,800 cybercrime cases, costing the economy Rs. 2054.6 crores, expected to reach 1 trillion annually by 2033. The research surveys 513 respondents on demographic trends, payment preferences, and security concerns. Findings show high adoption in Ahmedabad and Gandhinagar, especially among younger users. Google Pay leads the market, followed by Paytm and PhonePe. Despite trust in UPI, security issues highlight the need for improved infrastructure to enhance user trust and satisfaction.
References
1. Ali, N., & Ali, W. (2018). A review on E-payment system: Comparison between secure electronic transaction (SET) and chip cards. International Journal of Computer Applications, 181(1), 38-42.
2. Bansal, S. (2020). Digital payment adoption: Challenges and opportunities in India. Journal of Financial Services Marketing, 25(3), 164-171.
3. Bhasin, S. (2021). Security challenges in UPI-based payment systems: An empirical study. Journal of Digital Security, 12(2), 88-95.
4. Braun, V., & Clarke, V. (2019). Reflecting on reflexive thematic analysis. Qualitative Research in Sport, Exercise and Health, 11(4), 589-597.
5. Creswell, J. W., & Creswell, J. D. (2017). Research design: Qualitative, quantitative, and mixed methods approaches (5th ed.). Sage Publications.
6. Das, S., & De, R. (2020). Competitive analysis of payment apps in India: Case study of Google Pay and PhonePe. Proceedings of the 2020 International Conference on Computing, Communication and Networking Technologies (ICCCNT), 1-7.
7. Field, A. (2018). Discovering statistics using IBM SPSS Statistics (5th ed.). Sage Publications.
8. Joshi, A. (2021). Analyzing the growth and challenges of UPI in India's digital payment landscape. Journal of Financial Technology, 15(4), 201-215.
9. Kothari, C. R. (2004). Research methodology: Methods and techniques (2nd ed.). New Age International Publishers.
10. Kumar, V. (2019). Innovations in India's digital payment landscape: The role of UPI. Journal of Payment Systems and Strategy, 13(3), 45-62.
11. Luo, X., Li, H., Zhang, J., & Shim, J. P. (2020). Examining the influence of trust on mobile payment adoption: An empirical analysis. Information & Management, 57(1), 103192.
12. Mehrotra, S., & Shrivastava, P. (2019). Digital payment systems: Trends and user behavior. Journal of Digital Innovation, 12(3), 87-94.
13. National Payments Corporation of India. (2021). Unified Payments Interface (UPI). Retrieved from https://www.npci.org.in/what-we-do/upi/about-upi
14. Pathak, R. (2021). Digital literacy and the adoption of mobile payments: A generational analysis. Journal of Financial Technology, 16(2), 144-159.
15. Patton, M. Q. (2015). Qualitative research & evaluation methods (4th ed.). Sage Publications.
16. PricewaterhouseCoopers. (2020). Building trust in digital payments. PwC Digital Payment Insights.
17. Raman, A. (2020). Cybersecurity risks and responses in India's digital payment ecosystem. Journal of Digital Finance, 11(2), 156-174.
18. Rathore, H. S. (2016). Adoption of digital wallet by consumers. BVIMSR’s Journal of Management Research, 8(1), 69-75.
19. Sahoo, D., Das, D. R., & Das, A. (2019). A study on the acceptance of mobile payment in India with special reference to the Unified Payment Interface (UPI). Journal of Payments Strategy & Systems, 13(3), 249-260.
20. Shankar, R., & Datta, B. (2020). Factors affecting mobile payment adoption intention: An Indian perspective. Global Business Review, 21(3), 1-15.
21. Sharma, V. (2018). Digital payments: An analysis of UPI and its impact on Indian economy. Journal of Financial and Monetary Studies, 10(3), 56-78.
22. Singh, P., Kaur, G., & Gill, A. (2020). Assessing the security aspects of UPI: A survey of users in North India. International Journal of Computer Applications, 175(12), 23-31.
23. Venkatesh, V., Thong, J. Y. L., & Xu, X. (2012). Consumer acceptance and use of information technology: Extending the unified theory of acceptance and use of technology. MIS Quarterly, 36(1), 157-178.
Downloads
Published
Issue
Section
License
Copyright (c) 2025 VIDYA - A JOURNAL OF GUJARAT UNIVERSITY
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
