Cash Cards account for 28.8% of all online transactions in IRCTC
Using Cash Cards for online transactions is becoming popular in India. Based on the information available from IRCTC for April 2008, 28.8% of all transactions in IRCTC (Indian Railways Catering and Tourism Corporation) were done using cash cards. The transactions using cash cards failed the least number of times.
IRCTC provides useful statistics for all its online transactions. Based on the spreadsheet, there were over 2 million successful online transactions with IRCTC. Out of that, around 600,000 transactions were performed using a cash card. There are only 3 cash card vendors as opposed to 26 vendors for debit card/net banking and 7 vendors for credit card. Majority of the users use cash cards from ITZ Cash Card (53%) and Done Card (45%). On an average a user spends around Rupees 933 per transaction using a cash card.
Transaction failure is the lowest, when a cash card is involved in the transaction. The average failure rate for Cash Card transaction is 20% as opposed to 26% for a Debit Card/Net Banking transaction and 28% for a credit card transaction. As a side note, among the credit card payment gateways- Citi EMI(61%) and CitiBank (45%) are having the most gateway failure rate. The gateway for ICICI is have the least failure rate of 18%.
Credit cards are still the preferred means for online transactions. Can the cash card become a safe and easy alternative for online shopping in India? What do you think?
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[…] Cards account for 28.8% of all online transactions in IRCTC (May 2008) This was written by Saad Mohammed. Posted on Sunday, June 15, 2008, at 8:02 am. Filed under […]