Bangalore based payments technology company Cashfree, launches Cashgram, a smart payout system for one time payments, like Cash on Delivery refunds in e-commerce. Cashgram is an extension of Cashfree's Payout system that enables businesses to send money to their user and vendors.
Using Cashgram, companies can send a web link to their users requesting bank account information. On receiving the information, a one click refund can be processed instantly. Currently, e-commerce companies do this manually over multiple emails between customer, finance team and customer support team, very often leading to errors and delays. Cashgram also gives the users the option of sharing their UPI IDs or PayTM, instead of their bank account.
"Cashgram is a powerful product for businesses that need to pay their users - for refunds or otherwise. It not only saves operational overhead of processing payments but the customer's trust on the e-commerce company also increases when they get their refunds instantly. This results in higher repeat rate," said Akash Sinha, co-founder and CEO of Cashfree.
"We saw this phenomena with our Payouts product that is being used to pay vendors and affiliates, pay salaries, distribute winnings in gaming, disburse loans, reimburse expenses and of course, process refunds. That is when we thought of introducing this special product for e-commerce companies," added Sinha.
The product is live with popular e-commerce companies like Nykaa, Rentomojo, and Club Factory as initial customers. The payouts product is already doing about 50,000 transactions every day.