Impact of Digital Payment Systems on Retail Organizations

Inquiry Based learning

Table of Contents
INTRODUCTION...........................................................................................................................3
Background of study....................................................................................................................3
Company overview......................................................................................................................3
Rationale of study........................................................................................................................3
Research aims and objectives......................................................................................................3
LITERATURE REVIEW................................................................................................................4
METHODOLOGY..........................................................................................................................5
RESULTS AND DISCUSSION......................................................................................................6
Frequency table............................................................................................................................6
RECOMMENDATIONS...............................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Background of study
There are the significant changes in the trends of the retail sector of the country due to the
situation of pandemic among which the most popular retail trend that has engrossed speedily in
the business operations of the retail organisations is the implementation of the digital payment
systems (Ishrat, 2020). Digital payment systems are the process of paying the amount of the
product purchased by the customers via the electronic medium or online. The various digital
payment methods are internet banking, debit and credit card payment, mobile apps, bank
transfers etc. The topic of this research is to identify the impact of digital payment systems in the
working environment of the retail organisation. As in the situation of pandemic all the retail
organisations have utilised digital payment systems over there are online stores and physical
stores to implement contactless payments (Dannenberg and et. al., 2020).
Company overview
Asda is the British supermarket chain that comes under the retail industry. The headquarter
of Asda is at Leeds England. The company is recently been acquired by the owner of EG group.
The company was founded in 1949 by Peter and Fred Asquith. Company operates it business in
the various countries all over the globe. The company is known as a third largest supermarket
chain of the UK.
Rationale of study
The rationale behind this research is the situation of Covid-19 that has made the shift of
traditional payment systems to the digital payment systems for the safe and secure payments.
Situation has made the organisations to conduct the research in order to analyse the effects of the
digital payments in the working of the business.
Research aims and objectives
Research aims
The aim of this research is “to determine how current retail trend of digital payment
system has improvised the existing working practice of organisation”. A study on Asda.
Research objectives To identify the relationship and benefits of digital payment system in the physical and
online stores.

 To analyse the challenges faced by the Asda due to the current retail trend of digital
payment system.
 To investigate the ways to overcome the challenges faced due to the digital payment
system in Asda.
Research questions
 Explain the importance and benefits of digital payment system in the physical and online
stores of Asda? Describe the challenges faced due to the current retail trend of digital payment system
and also recommend the ways to overcome those challenges?
LITERATURE REVIEW
According to the perspective of Lopez, (2019), Businesses are adversely observing the payment
experience as the another factor to connect closely with the customer's, but now with emerging
technology digital payments is one of the major factor that is bringing loads of opportunities for
the retail organisations to develop themselves efficiently and faster. From the past year there is a
drastic change in the payment method of the customers due to the pandemic there is the striking
shift towards the digital payment system by the various organisations as well as by the
customer's. Digital Payments have created the great importance and benefits in the physical and
online stores of the Asda. The various benefits of digital payments to Asda are: digital payment
has increased the speed and the convenience over the physical and the online stores of the Asda
digital payment has made more convenient for the customers as well as for the employees of
order to collect the payments faster and at any time without being physically be available over
the online stores. Digital payment has provided the benefit to the physical stores of Asda in
speeding up their process of payment and thereby avoiding the large queues at the cash counters.
The another benefit of digital payment to Asda is it has increased the sales of the company over
the online stores as internet banking and shopping provide the customers with the various kinds
of benefits and discounts which please and influence them towards buying the product digitally
through the e-payments and thereby increasing the sales of the Asda.. Hence, digital payment
system has definitely eased the process of payment over the physical and online stores of Asda.
But, According to the perspective of Green, (2018), Digital payment allows the organisation
with the various benefits and importance but it is also vulnerable to the various kinds of financial
risks and internet frauds which could eventually lead to the business in increasing its expenses.