UPI for Shopify merchants targeting India
Increase India checkout conversion with UPI
UPI allows merchants to tap into the vast Indian market with a secure and reliable payment method. It is ideal for businesses looking to expand their reach in India.
As a bank transfer method, UPI requires a redirect for authentication. It is well-suited for markets with high digital payment adoption, providing key features like payment assurance and robust refund support.
Trusted India Payment Method
Payment Method Details
Market Fit
Capabilities
India focus
Strong local relevance for merchants targeting India.
Payment assurance
Includes payment assurance to help protect merchants at checkout.
Redirect authentication
Uses a redirect flow to complete the customer payment step.
Bank Transfer positioning
Bank Transfer with strong domestic checkout fit for India.
UPI for Shopify merchants targeting India
Increase India checkout conversion with UPI
UPI allows merchants to tap into the vast Indian market with a secure and reliable payment method. It is ideal for businesses looking to expand their reach in India.
As a bank transfer method, UPI requires a redirect for authentication. It is well-suited for markets with high digital payment adoption, providing key features like payment assurance and robust refund support.
Trusted India Payment Method
Conversion insight
Why UPI can improve local checkout performance
A local payment method can remove hesitation at the final payment step. For merchants selling into India, the gain is usually less about adding another button and more about matching buyer expectation, pricing context, and local checkout trust.
Market fit
India
Designed for local checkout familiarity in India.
Currency readiness
INR
Supports local pricing expectations and payment operations.
Checkout confidence
High
Built to reduce friction and improve payment trust at the final step.
Payment stack strategy
Local + global balance
The strongest setup usually combines a trusted local method with broader international coverage. For India, that often means leading with UPI while keeping cards and PayPal available for wider buyer preference coverage.
What UPI is
Unified Payments Interface (UPI) is a real-time payment system developed in India.
UPI enables instant money transfers between bank accounts through a mobile platform, making it a popular choice for Indian consumers.
This method is integrated via payment processors and requires a redirect for authentication, ensuring secure transactions.
Wide Consumer Base
UPI is widely used across India, offering access to a large consumer market.
Secure Transactions
Redirect-based authentication ensures secure and reliable transactions.
Comprehensive Refunds
Supports full, multiple, and partial refunds for enhanced customer service.
Why UPI matters
UPI is crucial for merchants aiming to penetrate the Indian market effectively.
Market Penetration
UPI is a dominant payment method in India, essential for market access.
Payment Security
Offers payment assurance, reducing the risk of fraud.
Flexible Refunds
Merchants can handle various refund requests efficiently.
Consumer Trust
Widely trusted by Indian consumers, enhancing brand credibility.
How UPI works
UPI transactions involve a redirect authentication process.
Customer selects the method
The customer chooses UPI as their payment method at checkout.
Redirect to UPI app
The customer is redirected to their UPI app to authorize the payment.
Payment authorization
The customer approves the transaction within their UPI app.
Merchant receives confirmation
The merchant receives a confirmation of payment completion.
When to use UPI
UPI is best suited for merchants targeting the Indian market.
Ideal scenarios
- Retail
- Digital Goods
- Low-risk industries
Not ideal
- Merchants needing recurring or subscription-based billing
- Checkouts requiring a one-click saved-payment-method flow
- High-risk sectors where chargeback exposure is a primary concern
Merchant considerations
Merchants should consider the following before enabling UPI:
Market Focus
Primarily serves Indian consumers, limiting use in other regions.
Industry Restrictions
Not allowed for financial services, forex, gambling, adult, and cryptocurrency industries.
High-risk Industries
Travel and pharma industries face higher risk with UPI.
Chargeback Risk
Transactions carry a chargeback risk, requiring careful management.
No Recurring Payments
Does not support recurring or one-click payments, affecting subscription models.
Compare UPI with common alternatives
UPI is the best choice when local checkout fit in India matters more than generic international coverage.
Integration pathway
Enable via your processor
Add the method through your payment service provider or processor configuration.
Connect it to Shopify checkout
Configure the Shopify-compatible payment flow so customers can see the method at checkout.
Optimise with CartDNA
Use CartDNA to prioritise local relevance, compare payment fit, and improve checkout performance.
Frequently asked questions about UPI for Shopify
What is UPI on Shopify?
Who should offer UPI?
Does UPI support recurring payments?
Does UPI support one-click checkout?
What should merchants review before enabling UPI?
Increase India conversions with UPI
Enable local payments and reduce checkout drop-off.
Integrating UPI can enhance your payment offerings for the Indian market, ensuring secure transactions and broadening your consumer reach. CartDNA provides seamless integration and support to help you leverage UPI effectively. Start optimising in minutes with your existing Shopify setup.