Digital wallet player Paytm has rolled out the Food Wallet feature on the Paytm app meant for corporates to issue tax-free employee benefits such as meal coupons and food vouchers.
The new line of business will compete directly with existing players like Sodexo and Ticket Restaurant which issue physical coupons at present.
With this feature the employers can directly top-up the credits for their employees on a flexible daily, monthly or quarterly basis.
“The biggest incentive for corporates to use our Food Wallet is the convenience it offers. Employers can use their laptops to instantly transfer money to food wallets of employees based anywhere in the country without any hassles of procuring, handling and distributing bulky coupons and cards. The Food Wallet comes with the complete suite of in-app security features available on Paytm such as app lock password, two-factor authentication and passcode among others,” said Kiran Vasireddy, senior vice president at Paytm.
RBI has issued guidelines for all prepaid meal vouchers to go digital by the end of 2017 with companies like Sodexo and others already moving to a prepaid card format. With this launch, Food Wallet is targeting the 6 million employee base.
Vasireddy added that the Food Wallet was launched at the right time, helping employees track their expenses.
The feature also allows employees to track available balance and locate outlets which would accept the payment using the ‘nearby’ feature on the wallet. The wallet can be used at office cafeterias and at an online and physical outlets part of the Paytm network. These include KFC, Burger King, Zomato, Pizza Hut, Café Coffee Day and Big Bazaar among others.
The feature is live in over 10 corporate offices, said the company representatives. Paytm app currently has over 200 million users.
SOURCE – BUSINESS INSIDER