PhonePe's Merchant Ecosystem: Key to Digital Payment Revolution

PhonePe, a leader in India's digital payments space, significantly increased its merchant transactions by processing over ₹8.51 trillion in six months. With smart innovations like Smartspeaker and EDC Machine, the platform enhances merchant engagement and offers comprehensive payment solutions across multiple industries.

PhonePe, a prominent player in India's digital payments sector, has dramatically strengthened its merchant payments ecosystem. The platform now serves 47.19 million registered merchants and processed 24.96 billion merchant transactions, totaling ₹8.51 trillion in value over six months ending September 2026, as stated in its Draft Red Herring Prospectus (DRHP).

The company reports a robust increase in merchant engagement, with Daily Active Merchants (DAM) comprising 60.77% of Monthly Active Merchants (MAM) as of September 2025, rising from 44.18% in March 2023. The Transactions per Monthly Active Merchant (TPAM) have more than doubled to 379.16 from 147.87, reflecting growing merchant interaction and transaction volumes.

Innovative solutions, such as the PhonePe Smartspeaker, provide instant audio payment confirmations in multiple languages—featuring voices like Amitabh Bachchan—addressing challenges in high-traffic retail environments. The PhonePe EDC Machine supports various payment modes, including UPI and RuPay Credit cards, presenting a comprehensive solution for payment flexibility and easy reconciliation. These offerings, along with integrated Billing POS Solutions and Payment Gateway, position PhonePe as a vital ally for merchants across diverse sectors.

(With inputs from agencies.)