Customer Perception towards Digital Payment Systems in India

V. Subasree, Dr. E. Karthikeyan, V. Radhakrishnan

Digital Payments; Customer Perception; UPI; Cashless Economy; Financial Technology.

The Indian economy is undergoing a rapid digital transformation, significantly propelled by government initiatives like Digital India and demonetization. This shift has placed digital payment systems at the forefront of financial transactions. This study investigates consumer perceptions of these systems to understand the key factors influencing their adoption and sustained usage. Utilizing a descriptive research design, primary data was collected from 100 respondents through a structured questionnaire, focusing on demographics, usage patterns, and perceptions of convenience, security, and usefulness. The findings indicate a high adoption rate (90%), driven primarily by perceived convenience (53% agree/strongly agree) and time-saving benefits (53% agree/strongly agree). While a majority of users show brand loyalty (54% agree/strongly agree on using one app), perceptions on security and absolute usefulness were more varied. The study concludes that while digital payments are widely accepted, enhancing security measures, ensuring system stability, and improving user education are critical for deepening adoption and moving towards a truly cash-lite economy.

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