Archive · 20 Nov 2025
Amazon Pay Expands Beyond Shopping App, Drives Growth in Tier 2 and 3 Cities
Amazon Pay, which was mostly used within the main Amazon app for shopping, is now expanding to offer various payment methods for different aspects of life.
It's becoming popular in smaller cities, with over 110 million people using its UPI service.
Amazon Pay is also working on new ways to pay, like using your fingerprint or voice.
They want more people to know they can use Amazon Pay outside of the main Amazon app too.
Amazon Pay now offers a full-stack payments ecosystem including UPI, credit cards, pay-later, wallet, travel bookings, and bill payments
85% of Amazon Pay's new customers during the festive season came from Tier 2 and Tier 3 cities
Amazon Pay UPI is used by over 110 million customers, with 75% from Tier 2 and Tier 3 towns
Amazon Pay services were used by one in four customers during a flagship sale
Amazon Pay is betting on innovations like biometric UPI, UPI Circle, voice-led, and IoT payments
- Who
- Amazon Pay India
- What
- Expanding payment services beyond the main Amazon app
- When
- Currently, with growth during the festive season
- Where
- India, with a growing user base in Tier 2 and Tier 3 cities
- Why
- To provide a unified payment ecosystem and tap into the massive digital payment market in India
- Payment Methods
- UPI, credit cards, pay-later, wallet, travel bookings, bill payments
- New Customers (Festive Season)
- 85% from Tier 2 and Tier 3 cities
- Amazon Pay UPI Users
- Over 110 million, 75% from Tier 2 and Tier 3 towns
- Flagship Sale Usage
- One in four customers
- Pay Later Customers
- Over 10 million