Adoption and Challenges of Digital Payment Systems: A Study of Consumer Perception in Urban and Rural India

Abstract

In the last decade or so, digital payment systems have seen rapid evolution, most acutely in countries that are still emerging like India. India’s road to transformation through policy changes like India’s demonetization and introduction of a super fast payments system called Unified Payments Interface (UPI), has catapulted India to the top of the radar in digital payment research globally. For this momentum to be sustained, understanding the dynamics of adoption, challenges and consumer behavior in this ecosystem is crucial. A bibliometric study of research on digital payment systems in India from 2010 to 2024 is carried out in this study. Publication trends, the countries contributing to this knowledge base, and key research themes are examined. Publications that are indexed in Google Scholar and Scopus are also analyzed to offer quantitative insights into the research landscape. The findings show that India contributes 79.4% of total publications in digital payment research. In addition, there is also considerable interest from the USA, UK, Australia, and Canada, which reveals that the world recognizes India’s digital payment ecosystem. After demonetization and the onset of mobile payments, research accelerated. Themes include consumer adoption, trust, and technological barriers; as well as mobile wallets and consumer satisfaction. India’s leadership in digital payment research underscores the need for further work in tackling barriers and building the sector in rural areas. Digital literacy, security, and consumer insight are what policymakers and businesses need to channel for further adoption, while blockchain and AI, emerging technologies, should be part of future research.