Paytm to Shut Canada App to Focus on India

Paytm has decided to shut its app in Canada effective March 14, the digital payments company owned by One97 Communications informed its customers in the North American country. It stopped providing some of the services form Friday. Paytm had launched its Canada division, called Paytm Labs Inc, in 2014, and started offering a bill payment rewards programme   for users in 2018.

Paytm told ET that the decision was made to focus the efforts of Paytm Labs on opportunities in Indian and that it did not expect any job loss from this.

A Paytm executive, speaking on the condition of anonymity, told ET that the app was not contributing significantly to its overall revenue.

“It did not make sense for Paytm to continue operations of the consumer app in Canada… The mandate for (Paytm’s) Canada (business) for now is innovation and R&D,” the executive said.

In a blogpost, paytm Canada said it “had to” charge customers a convenience fee for bill payments starting 2019 and has now decided to shut the consumer app completely.

“During these unprecedented times we have had to make some tough business decisions. Unfortunately, as of March 14, 2022, the Paytm Canada App will be shutting down permanently,” it said, adding “Effective January 14, 2022, we will be disabling scheduled payments and top-ups for Paytm Cash which includes EMT transfers (email money transfers), Canada Post and Bank transfers.”

The primary work of the Paytm Labs team in Canada is research and development analytics of customer data and provision of technical support for the company’s product and service across the world, a spokesperson said.

In order to focus all our resources on the massive India opportunity, and given the immateriality of the Canada B2C app, we have decided to sunset the Canada B2C app only from March 14, 2022,” the spokesperson said in response to ET’s questions. S-ET

Similar Posts

Leave a Reply

Your email address will not be published. Required fields are marked *