E- Wallet

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What is E -Wallet ?
• An Electronic Wallet is any device or
software which allows a user to store,
manipulate, and pay with various types of
payment instruments such as electronic cash
and credit cards. They make it unnecessary
to retype credit card numbers and addresses
each time a purchase is made.
• Most E-Wallets are software programs that
run on a user’s personal computer.
• Soon they will be integrated into a variety of
devices, such as cell phones and PDAs.
 Definition of E- Wallet
 Hold credit card numbers, electronic cash, owner
identification, and contact information.

 Give consumers the benefit of entering their

information just once.

 Make shopping more efficient.

 A Digital Wallet (also known as an e-wallet) allows

users to make electronic commerce transactions quickly
and securely.
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Why Need Comes ?

▸ Thick, bulky, unmanageable physical wallet.

▸ Finding particular items is time consuming.
▸ Evocating a lost wallet is extremely hard.
▸ Managing multiple monetary and identification implements is not
easy.
▸ Monetary implements include cash, debit and credit cards, and
stored value cards while identification includes national or state
identification cards and driver’s licenses.
▸ Reducing the chance of theft by having only one item to manage.
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Types of Electronic Wallet

Electronic
Wallet

Server side Client side

electronic electronic
wallet wallet
 Types of Electronic Wallet

Server Side Electronic Wallet

A server side electronic wallet stores a customer information on the remote
server belonging to a particular merchant or wallet publisher

Client Side Electronic Wallet

A client side electronic wallet stores customer information on his/her own
computer.
Many of the early electronic wallet were client side wallet that require users to
download the wallet software.
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How it works ?

▹ Sender Mobile sends request to Transfer Money.

▹ System checks available balance in Sender’s A/C from
that particular Bank.
▹ It transfers money from senders A/C to receivers A/C.
▹ After a successful money transfer it sends a confirmation
notification (SMS/Email) to receiver.
▹ Money can be send and/or receive from PayPoints.
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Example For Transaction
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HOW TO SUPPORT CASH TRANSFER

▸ Place cash in the digital wallet either by :
a) Topping-up the cash on device at specific top-up machines
which are integrated with existing automated teller
machines
b) Online by logging into bank’s online portal and
transferring cash into phone.
▸ Transferring that cash to a retailer or another digital wallet by
using NFC (Near Field Communication) .
10 Payment Method
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Technology
Secure Communication Medium

• New NFC (Near Field Communication) chipsare already

appearing in smart phones which provide very close range, low
power, easy to setup up point-to-point communication.

• NFC acts as the communication medium for exchanging monetary

and identification information, such as credit card numbers and
receipts, with other devices.
 Technology
Fast Secure Authentication and Secure Tamper Proof
Storage
• Secure programmable chips in cell phones will allow the cell phone to
securely store both “digital cash” and the phone owner’s monetary and
identification implements.

• This assumes that the cell phone owner secures his digital wallet with a good
password. This chip will ensure that thieves are unable to access the digital
wallet embedded in the stolen phone. Biometric scanners could also be
integrated into cell phones and used for quick and easy authentication.
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How it is Being Used Right Now in India After
Demonetization of Money?

 There are many different companies offering E-Wallets.

Although each one is a little different, they all perform the
same basic tasks. Some of them are:-
- PayTM
- SBI Buddy
- Mobikwik Wallet
- Free charge
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Paytm
 Paytm is a Payment Gateway to facilitate Indian e-
commerce platform.
 Launched-2010.
 Owned by One97 communications.
 The company is headquartered in Noida.
 Paytm entered India's e-commerce market in 2014.
 Focuses on mobile and DTH recharge.
 It gradually provided recharging and bill payment of
various portals including electricity bills, gas bills, as
well as telephone bills.
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Mobikwik Wallet
 Mobikwik is India’s most convenient mobile wallet & online
payment system for shopping, mobile recharge, DTH recharge,
money transfer & bill payment.
 Bipin Preet Singh, Upasana Taku is founder of Mobikwik.
 launched in 2009.
 25 million users across country already bestow their trust on us.
 Company’s Head Quarter in Gurgaon.
 Parent one Mobikwik system private limited.
 Use Mobikwik for cashless, hassel-free experience while
Shopping, Dining, Travelling & a lot more!
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SBI Buddy

 ‘STATE BANK BUDDY’ shall means mobile wallet service of

bank and include the service over the applications.
 SBI Buddy launched by sh. Arun Jaitely honorable Union
Minister Of Finance.
 In the presence of sh. Jaynta sinha (minister of state for finance).
 State Bank Buddy – Mobile Wallet.
 Available in 13 language.
 launched on 18 August, 2015.
 Provide freedom to send money to Anyone, pay bills, recharge
mobile DTH, flight & bus tickets.
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Free Charge
 Free Charge is a e- commerce web site.
 Launched on August 2010.
 Founder kunal shah
 Head Quarter in Mumbai.
 Present owner Snapdeal

 It provides online facility to recharge any

prepaid mobile phone in India.

 The amount paid by the user for recharge

is returned in form of shopping coupons of
some of the top retailers in India, thereby
making the recharge virtually free.
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After Demonetization Effect on E -Wallet
 After demonetization of money on 8 nov,2016 in India there is a big change in
e-wallet marketing.
 Huge number of people use e wallet marketing in that day.
 Due to that reason ERP of e wallet marketing is increase.
 A lot of shopkeepers, Shoemakers, Tea stall, Xerox shops used paytm and
others E-Wallet like Free Charge, Mobikwik, pocket by ICICI and SBI bank.
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After Demonetization Effect on E -Wallet
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After demonetization effect on E-Wallet

Top Mobile Payment Apps

Paytm
Freecharge
% (time spent by
user[mins/month])
Mobikwik
My Airtel
Oxigen Wallet
My Vodafone
pocket By ICICI
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Another Example of E- Wallet
• Android Pay
• Paypal
•Paytm
• Freechagre
• Apple Pay
• BitcoinWallets
• ecoPayz
• Digital currency
• Google Wallet
• Lemon Wallet
• MasterPass
• Mondex
• nTrust
• Samsung Pay
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Salient feature

 More than 40 years of data retention

 Firewall encrypted security logic
 Compatible with many supporting hardware.
 No separate card reader is required to access our card Polarity
reversal indicator is pre-built in our card.
 Reusability of our card is unlimited.
 Multiple card features are incorporated in the same card.
 External complexities are less.
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Ease of use:
• Withdraw or deposit
value by telephone.
• Pay the exact amount, no
fiddling for change.
• No signature required.
• Immediate payment .
 Flexibility:
• Transfer value by
telephone.
• Pay person to person.
• For low or high values.
• Multi-currency
capability.
• No age limit, so suitable
for all the family.
Advantages
 Safety and control:
• Spend only what you
have.
• Read your balance.
• Load value at home.
• Lock your card or wallet.
• Keep track of what you
have spent and where.
• Customer is traceable if
a lost card is found.
 Accessibility and
convenience:
• Cash machines and
telephones give more
access points to funds in
bank account.
• Available 24 hours / 365
days.
• Cash machines and
telephones cannot run out
of electronic cash.
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Disadvantages

▸ System outages: information foe E wallets are stores on the cloud of

business server, therefore the risk of system malfunction or shut down
is always present.

▸ Security: companies must ensure that their customers information is

encrypted and well protected.

▸ Investment: The initial investment for building a functional E wallet

application is quite large as it requires the development of the soft
ware as well as continual maintenance.
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Applications

 E-Commerce adoption and transaction completion rate.

 Easy money transfer between accounts and people.
 Security with payment gateways that authorize credit card or direct
payments processing.
 Gathering and using demographic data. Pre-marketing product
launches.
 Foreign money exchange, business to business transactions, online
marketplaces
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Challenges

 Mass Market Appeal

Ensuring a mass market appeal for the digital wallet is important to
leverage scale economies and the network externality effect. One way
to increase the mass market appeal is to make the digital wallet usable
for all day-to-day transactions.
 Stake Holder Dynamics
Satisfying the business and strategic goals of multiple stake
holderssuch as banks, retailers, regulatory bodies, is difficult.
 Compelling user experience
A user-friendly wallet interface, easy to use and intuitive is
difficult to produce.