eCommerce has been growing by leaps in India (which is one of the reasons why we're conducting eSparks 2013) but one of the common problem we've seen is payments. Ensuring smooth transactions online has been a problem for startups and businesses solving these problems are touted to have a great future. There are many in the area but CCAvenue has been the largest payment gateway till date closely followed by EBS and the others like PayU, Gharpay, Zaakpay, etc.
It was commonly perceived that CCAvenue caters to businesses with large volume transactions and wasn't affordable for a startup. But in a recent announcement, CCAvenue has announced a Free plan for startups. CCAvenue now offers their entry-level ‘Economy’ payment gateway package for free. The set-up fee for the Economy scheme which earlier cost INR 7,500/- is now zero while the ASUC (Annual software upgradation charges) amounting to INR 1,200/- p.a. has been waived off for the 1st year.
Mr. Mohan Nair, Chief Marketing Officer, CCAvenue statedin the release that this move is has been taken because they CCAvenue was getting a lot of requests from the startup community to waive the initial Payment gateway setup fees as well as reduce rates on transaction. Definitely a good move by CCAvenue, this goes to show that the clout of startups is increasing in the larger scheme of things.
In an industry begging to be changed for the better, this will invigorate a healthy competition which at the end should beneficial for the entire system.
Join us for eSparks 2013 for more such discussions.