Unlocking Digital Payments: The Role of QR Codes in India's Digital Payment Revolution

Abstract

This study examines the impact of Quick Response (QR) codes on the adoption of digital payments in India. Since the Indian government's demonetization move in 2016, digital payments have gained significant traction in the country. QR codes have emerged as a key enabler of digital payments, particularly in the offline- to-online (O2O) space. Using a mixed-methods approach, this study surveys a total of 400 merchants and consumers of Eastern Uttar Pradesh and conducts in- depth interviews with industry stakeholders to investigate the role of QR codes in promoting digital payments. The findings suggest that QR codes have positively impacted the adoption of digital payments in India, particularly among small merchants and consumers, due to their convenience, ease of use, and cost-effectiveness. However, security concerns, infrastructure limitations, and user awareness remain key challenges. The study recommends that stakeholders promote awareness campaigns, education programs, and infrastructure development to address these challenges and drive further adoption of digital payments in India. The research contributes to the understanding of the role of QR codes in digital payment adoption and provides insights for policymakers, payment service providers, and merchants seeking to promote digital payments in India