Razorpay is making it more convenient for users to pay businesses with a faster checkout option as the leading Indian payments infrastructure giant pushes to win a bigger slice of the world’s second-largest internet market.
The new feature, called Magic Checkout, saves shoppers’ information — password, card details, addresses — during their first purchase and prefills those when they transact with the same business or any other that also uses Razorpay to process its payments, the startup said.
Magic Checkout — which is similar to offerings provided by Bolt and Fast in the U.S. — is Razorpay’s attempt to help merchants ward off the 70% drop-off they typically see during the last step of the transaction process, the startup said.
The feature supports all payment methods including cash on delivery and requires minimal integration on the business’s end, the startup said. “With this unique checkout experience, shoppers can now check out 50% faster while retailers can expect a 20% increase in conversions which means 20% more revenue for a business,” it said.
Magic Checkout is one of a series of announcements Razorpay, which counts Tiger Global, Sequoia Capital India, Y Combinator, and Salesforce among its backers, made at its annual event called FTX on Thursday. The startup, founded nearly seven years ago by Harshil Mathur and Shashank Kumar, said it has registered over 300% growth for the second consecutive year.
As of early December, the startup had processed over $60 billion in transactions for its customers, up from the $50 billion goals it had set out for itself last December, it said. The startup, which has amassed over 8 million clients, said it is now aiming to process $90 billion in transactions by the end of next year.
Razorpay has established itself as the dominant payments infrastructure firm in India, where it competes with PayU and Cashfree. Stripe, the global payments giant, has also been operational in India for several years, though it has yet to make inroads in the country. Two of its key executives, including the head of Stripe in India, left earlier this year to start their own cross-border payments startup.