May 12, 2016
After it was reported last year that that Reliance Industries was going to launch its digital wallet, the Mukesh Ambani-owned company has finally rolled out the Reliance JioMoney Wallet despite a lot of delays. JioMoney is a semi-closed prepaid wallet that aims to enable cashless mobile-based transactions for purchasing goods and services at various outlets including both online shopping platforms and offline stores. This is another addition to the already crowded space with little or no differentiation.
After four months of testing within the group, the service has been made live for the public. According to a person familiar with the development, the wallet was previously being used by Reliance Group employees at their cafeterias and at Reliance Retail.
This is the preview of our services which we are extending to a wider set of users. This is with the intent to test and learn in order to constantly improve customer experience, a Reliance spokesperson said to media referring the launch of the wallet on Google Play and App Store.
Key features of JioMoney Wallet:
Mukesh Ambani said to media that the company has signed with nearly 50,000 online merchants to accept the JioMoney wallet and the wallet will soon be available for use on marketplaces like Amazon, Flipkart and Snapdeal. We will wait to see what actually happens on the merchant acceptance side.
This move marks Reliance Jio’s entry into the payment space. Reliance’s entry into the already saturated market will surely bring some kind of a challenge for the existing players like MobiKwik, Oxigen, FreeCharge, Paytm, etc. According to 6W’s research, India’s mobile wallet market is projected to reach $11.5 billion by 2022.
In June 2015, Reliance Industries Chairman Mukesh Ambani said JioMoney would play a crucial role in the digitization of payments in the country by offering a platform for ubiquitous, affordable and secure digital payments. "It is the ideal solution for even our smallest merchants, such as kiranas, restaurants, and taxi drivers," he had said.
The JioMoney Wallet service will give Jio access to the Rs.350-crore-and-growing mobile wallet market in India. The service was launched after the Reserve Bank of India (RBI) had given licence to Reliance Payment Solutions for its JioMoney service in November 2015.