Surge in PhonePe, BHIM and Google Pay app downloads amid Paytm crisis

After RBI’s strict action on Paytm Payments Bank, a surge in app downloads of PhonePe, BHIM and Google Pay have been witnessed. This shows that consumers are looking for an alternative service.

On February 3, PhonePe recorded 2.79 lakh Android downloads, registering a 4% increase week-on-week from 1.92 lakh on January 27, as per report.  

From January 31 to February 3, PhonePe observed a 24.1% increase in its Android downloads to 10.4 lakh, from 8.4 lakh downloads for the corresponding period in the prior week (Jan 24-Jan 27).

On Google Play, PhonePe Business rose from 188th position on January 31 to 33rd position in India on February 5 while on the App Store, the application rose from 227th position on January 31 to 72nd position on February 5.

Bharat Interface for Money (BHIM) app of National Payments Corporation of India (NPCI) registered 1.35 lakh Android downloads on February 3, a 21.5% increase week-on-week from 1.11 lakh Android downloads on January 27.

From January 31 to February 3, BHIM app witnessed a 50% increase in its Android downloads to 5.93 lakh, from 3.97 lakh downloads for the corresponding period in the prior week (Jan 24-Jan 27).

Since mid-January 2024, BHIM saw a strong growth which is evident by a major jump in its app rankings. BHIM has soared to 7th position on Google Play in India as on February 5 from 326th position on January 19. On the App Store, the app jumped to 40th position on February 5 from 171st position on January 19.

Google Pay has seen a more modest increase in its Android app downloads, with the company clocking 1.09 lakh downloads on February 3, a 4.9% increase week-on-week from 1.04 lakh downloads on January 27.  

From January 31 to February 3, Google Pay witnessed an 8.4% increase in its Android downloads to 3.95 lakh, from 3.64 lakh downloads for the corresponding period in the prior week (Jan 24-Jan 27).

This took place after RBI restricted Paytm Payments Bank from offering almost all major banking services from February 29, 2024.  

This resulted in a decline in Android app downloads to 68,391 on February 3, a 24% decline week-on-week from 90,039 downloads on January 27. For the four-day period of January 31-February 3, the fintech major saw a nearly 5% decline in its Android downloads to 3.48 lakh, from 3.66 lakh downloads for the corresponding period in the prior week (Jan 24-Jan 27).