Remember the thrill of getting ₹11 or ₹51 cashback on a simple UPI transfer? That era’s mostly gone! Today, UPI apps like Google Pay, PhonePe, and Paytm are handing out coupons that often feel... useless. But there’s a smart business trick behind this shift.

Initially, apps offered cashbacks to build a loyal user base. These rewards were pure marketing expenses-burning investor money to win the UPI war. But once user loyalty and large market share were secured, cashbacks turned into a burden.

Now enter: Coupons. While they seem less valuable for users, they act as ad spaces for brands. These brands pay UPI apps to feature offers in coupon form, turning every user transaction into a monetized moment.

So yes, you might feel disappointed, but the companies are now making money on your transactions, instead of giving it away.

Meanwhile, PayPal’s latest tie-up with NPCI allows UPI-based international payments, unlocking a new global chapter for Indian fintech.