There are a lot of companies in India today coming out with digital wallets. This is a great idea – and is welcome in the market place as it helps the digital world with increased number of people using their credit cards and bank accounts for online transactions.
On the flip side of these digital wallets is the fact that while it enables digital transactions, it allows for competitors access to the same wallet. Which means that there is the ability to switch loyalties very easily. While choice is a great thing for customers, and it keeps companies on their toes, it works against brand loyalty. Not in any way suggesting that having a customer tied into a system is by itself a measure of success, but having a customer tied into the brand is a first step in making this happen. In the technology world, consider the examples of Apple and Microsoft – who have kept their environment closed and yet succeeded. If they will continue to succeed will depend entirely on how well they listen to their customers and how well their product does.