Flipkart owned PhonePe has launched a POS payment device that resembles a calculator but with an added function for accepting payments. PhonePe believes this will be a game changer when it comes to adoption by merchants since it works without internet. Moreover, PhonePe will be distributing the Rs 699 device for a nominal refundable deposit.

The PhonePe PoS will help accelerate the pace of digital inclusion for millions of local merchants and customers in India. At market launch, we will be giving the device for free to merchants, against a nominal security deposit. It ticks all the boxes for Indian shopkeepers to adopt digital payments rapidly—it is very cheap, easy to use and highly durable,” Sameer Nigam, PhonePe Co-founder and CEO.

How PhonePe PoS Device Works
  1. Merchants enter the amount in his preset offline POS device and tap the Pe button.
  2. Customer opens the PhonePe app on his/her mobile device with active internet connection.
  3. The customer selects POS from Scan & Pay in the app and grants Bluetooth permission.
  4. Once connected, merchant details and the payable amount is shown on the app.
  5. Payment is done with wallet balance, UPI, credit/debit cards, or linked wallets like JioMoney.
  6. Merchants gets confirmation message as “SUCCESS” on the POS device.

PhonePe Launches Offline POS Machine For Small Merchants
PhonePe’s POS machine is really cost effective and has several advantages over the regular POS machines or other scan and pay methods. A customer has the several payment options to choose from like wallet balance, UPI, credit or debit cards and other linked wallet services. The calculator-like device is designed and built by PhonePe team who has been working on it since March of 2017.

PhonePe PoS Device Features
  • No internet connection needed for PhonePe POS device.
  • It runs on a rechargeable battery.
  • Cost effective and can also work as a calculator.
  • Merchants don’t need a smartphone for accepting payments.
  • Shopkeepers can verify and abort the transactions.
  • Can get rid of multiple QR code displays or stickers.
  • Multiple payment options to choose from.

However, since it is using Bluetooth Low Energy technology, there might be issues like discoverability and multi-device conflict. PhonePe will be doing a pilot test with 5,000 merchants in Bengaluru, before releasing it across the country. So we are yet to see whether this innovative POS device from PhonePe outperforms other methods. Hope you enjoyed the article, Peace!

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