Online retailer #flipkart has launched a payment gateway service called PayZippy for Indian merchants, pushing competition in the online payments industry which has incumbents like CCAvenue, PayTM, PayU, Citrus and others.
Besides, the payment gateway, a customer facing product is in the pipeline and will be launched soon, the company said.
We had reported on this move earlier in April. Although at the time, our impression was that the payment gateway would be called something else. Flipkart also owns the domains names Paykrypt.com and Paykrypt.net.
PayZippy powers card payments for websites and mobile sites. This system has been used by Flipkart.com for an extensive period, with significantly higher success rates than market, the company said.
This launch is a pre-cursor for a larger customer-centric product that will be geared towards making online payments a smooth, trustworthy and convenient experience for consumers across online merchants, said Flipkart.
– PayZippy provides APIs for Charging, Transaction Status Query and Refunds (including partial refunds)
– With PayZippy, you can start accepting payments from all Credit & Debit Cards (MasterCard, Visa, Maestro). The other modes like Netbanking etc will be available later.
– Once you have shared all the requisite documents, it usually takes ten working days to go-live.
With that product, consumers will be able to save their card details in their PayZippy account. They will then be able to use this saved card for transactions on merchant websites without having to type or share sensitive card details. Flipkart had earlier acquired PCI DSS certification to be able to store customers card details.
PayZippy aims to partner with 2000 merchants by March 2014.
Flipkart had recently launched an online marketplace to enable third party sellers to retail their products on Flipkart.
Flipkart, which raised more than $300 million of capital in 4 rounds has gained government approval to set up two new companies in India named Flipkart Marketplace Pvt Ltd and Flipkart Payment Gateway Services Pvt Ltd in August and September 2012 respectively.
Watch Sachin Bansal, Flipkart Cofounder UnPluggd @UnPluggd.