Amazon has invested Rs 220 crore in its payments arm Amazon Pay, a month after it invested Rs 590 crore in it, reports the Economic Times. The investment came from Singapore-based Amazon Corporate Holdings Pvt Ltd and Amazon Inc, per regulatory filings accessed by ET.
Its worth noting that 95% of Amazon Pay’s year-over-year growth (during the festive sale) came from cashbacks and bank discounts. The number of merchants on Amazon Pay increased five times during the sale, and UPI transactions increased by 5 times as well. 75% of payments made during its annual sale held in October were made digitally.
Amazon is clearly heading full speed into payments. Within the past few months, it has launched a UPI payments service, a bill payments service, a QR code based payments for retail stores, and acquired app aggregator (for lack of better words) Tapzo for a reported $30-45 million. It has also expanded Prime in India to include Prime Reading, and provides doorstep cash pickup to push Amazon Pay usage.
Amazon Pay’s funding so far
- Rs 590 crore in October. Amazon held three big sales between October-November, including the Great Indian Festival and the Diwali sale.
- Rs 230 crore in July
- Rs 195 crore in March, a month after launching UPI payments.
- Rs 260 crore in October 2017, the same month, Amazon Pay increased its authorised share capital by five times to Rs 2000 crore.
- Rs 130 crore in July 2017
- Rs 67 crore in May 2017