{"id":20637,"date":"2025-02-18T18:22:43","date_gmt":"2025-02-18T12:52:43","guid":{"rendered":"https:\/\/razorpay.com\/blog\/?p=20637"},"modified":"2025-02-18T18:22:43","modified_gmt":"2025-02-18T12:52:43","slug":"introducing-razorpay-pay-on-behalf","status":"publish","type":"post","link":"https:\/\/razorpay.com\/blog\/introducing-razorpay-pay-on-behalf\/","title":{"rendered":"Introducing Razorpay Pay on Behalf"},"content":{"rendered":"

The way we pay is evolving rapidly, yet a significant portion of consumers still face challenges in completing online transactions. Whether due to a lack of direct access to digital payment methods, reliance on cash, or financial dependency on family members, these barriers contribute to high cart abandonment rates and limit the reach of digital commerce.<\/span><\/p>\n

To bridge this gap, <\/span>Razorpay<\/b> introduces<\/b> Pay on Behalf<\/b>, a feature that allows buyers to assign the final payment step to a trusted payer. This innovation redefines accessibility, minimizes reliance on Cash on Delivery (COD), and empowers millions of users to transact digitally with ease.<\/span><\/p>\n

Why Pay on Behalf Matters<\/span><\/h2>\n

1. Empowering Users Without Direct Access to Digital Payments<\/span><\/h3>\n

A <\/span>report<\/span><\/a> highlights that while internet access is expanding in Tier 3 cities, 94% of non-users cite barriers like limited digital payment knowledge, mistrust, and transaction complexity. This forces many to rely on family members, with 74% of consumers delegating payments instead of completing them independently.\u00a0<\/span><\/p>\n

By enabling users to securely delegate payments, Razorpay ensures that even those who lack direct access to digital payment instruments can participate in the digital economy, further advancing the vision of a fully digital India.<\/span><\/p>\n

2. Reducing Cart Abandonment<\/span><\/h3>\n

One of the biggest challenges e-commerce merchants face is <\/span>high cart abandonment rates,<\/span><\/a> often due to a lack of immediate payment options. Research shows that around 70% of shopping carts are abandoned due to various checkout friction points.<\/span><\/p>\n

With Pay on Behalf, buyers can send a <\/span>Razorpay payment link<\/b><\/a> to their preferred payer, ensuring that transactions are completed in real-time. This not only removes payment-related barriers but also significantly reduces abandoned carts.<\/span><\/p>\n

3. A Smarter Alternative to COD (Cash on Delivery)<\/span><\/h3>\n

For many shoppers, <\/span>COD<\/span><\/a> is the only available payment option due to a lack of digital payment access. However, COD comes with multiple risks for businesses: <\/span><\/p>\n

\u274c Higher RTO (Return to Origin) costs<\/span>
\n<\/span>\u274c Increased risk of fraudulent refusals<\/span>
\n<\/span>\u274c Delayed cash flow and operational inefficiencies<\/span><\/p>\n

With Pay on Behalf, Razorpay offers a secure and seamless alternative, allowing users to delegate payments to someone who can complete the transaction digitally. This shift:<\/span><\/p>\n

\u2714\ufe0f Increases prepaid orders
\n\u2714\ufe0f Lowers risk
\n\u2714\ufe0f Improves cash flow<\/p>\n

How Pay on Behalf Works<\/span><\/h2>\n

1\ufe0f\u20e3 Buyer adds products to the cart and proceeds to checkout.<\/span>
\n<\/span>2\ufe0f\u20e3 At the payment step, they generate a payment link via Razorpay.<\/span>
\n<\/span>3\ufe0f\u20e3 The payer (trusted contact) receives the Razorpay payment link and completes the transaction using their preferred payment method.<\/span>
\n<\/span>4\ufe0f\u20e3 The order is placed instantly. There is no need for COD, and abandoned carts are minimized.<\/span><\/p>\n

How Razorpay Is Leading the Way<\/span><\/h2>\n

Pay on Behalf represents a transformative step in making digital transactions accessible to everyone. By addressing common payment barriers and reducing dependence on COD, Razorpay is enabling businesses to improve their conversion rates while fostering financial inclusion on a large scale.<\/span><\/p>\n

Pay on Behalf by Razorpay\u2014coming soon. <\/i><\/b>Interested? Fill out this <\/i>quick form<\/i><\/a><\/strong> to stay updated!<\/i><\/p>\n","protected":false},"excerpt":{"rendered":"

Pay on Behalf by Razorpay\u2014let customers delegate payments to someone they trust. Coming soon!<\/p>\n","protected":false},"author":87,"featured_media":20638,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[284,71,637],"tags":[34,11,638],"class_list":{"0":"post-20637","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-ecommerce","8":"category-featured","9":"category-magic-checkout-product-updates","10":"tag-ecommerce","11":"tag-featured","12":"tag-magic-checkout-product-updates"},"_links":{"self":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/20637","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/users\/87"}],"replies":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/comments?post=20637"}],"version-history":[{"count":3,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/20637\/revisions"}],"predecessor-version":[{"id":21883,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/posts\/20637\/revisions\/21883"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/media\/20638"}],"wp:attachment":[{"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/media?parent=20637"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/categories?post=20637"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/razorpay.com\/blog\/wp-json\/wp\/v2\/tags?post=20637"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}