Innoviti Technologies Pvt. Ltd., India’s largest payments-centric retail SaaS platform for enterprise brands and their SME channel partners, have today announced the launch of India’s first AI-driven UPI Acquirer Backup Application for offline organized retailers. This application automatically activates a secondary UPI acquirer for UPI Dynamic QR transactions if the primary acquirer becomes unreliable. This breakthrough not only enhances transaction reliability and customer experience but also helps retailers save up to 6% on digital payment processing costs.
Organized retailers have saved heavily on MDR costs with the mass adoption of UPI by consumers. However, credit cards, a high MDR cost payment instrument, remains as the preferred mode for high ticket purchases leading to blended MDR costs of up to 60 bps. This worsens when an UPI acquirer fluctuates or fails. Problems begin at the checkout counter as customers irritated by delays switch to credit cards. Some payment providers offer a manual workaround – store staff can press a button on the EDC to switch acquirers after a failure, but by then it is too late. The irate customer would have already handed over a credit card and the staff would have quickly swiped it to avoid losing a sale. The result – zero-cost UPI transaction would have turned into a high MDR credit card payment, eroding the retailer’s margins without any increase in revenue. A poor checkout experience adding to the retailer’s woes.
UPI Dynamic QR transactions being a push system does not render itself to conventional payment orchestration. As a result, till now there was no intelligent router to manage acquirer failures. Innoviti’s UPI Acquirer Backup Application solves this challenge using AI unsupervised learning, that models the behavior of each UPI acquirer system based on past data and then monitors live traffic to automatically switch to an alternative acquirer before the failure occurs. The application allows merchants to set preferences and routing rules for their favored acquirers. Innoviti has already rolled out this application with some of India’s largest retailers, helping them cut MDR costs by up to 6%. The consumer experience is also enhanced with fewer failures and lesser checkout time. The new application also ensures that the switching does not affect the reconciliation in any way.
The company’s flagship product
"innoviti unipay" is a payment reconciliation software. It powers payments at India’s largest retailers and is profitable with an EBITDA of 25%+.
"Innoviti genie" is a sales acceleration software designed for electronics merchants with high agency, helping them compete better by giving access to not only distributor cash discounts and OEM dealer margins but also a whole set of sales management tools.
"Innoviti genie doubled its revenue in FY24-25 and is slated to breakeven at an operating level in FY26. In December 2024, Innoviti launched its payment collection app
"innoviti link" for neighborhood merchants to help them expand their selling universe to remote customers without the anxiety of collections. This was developed under Innoviti’s online PA license received from RBI. The app has shown a rapid adoption as is the highest ranked payment link apps in both the App Store and Play Store. It is targeted to cover 30,000 merchants by March 2026.
The company is operating at an annualized run-rate of Rs. 150 Cr. and is targeting a full year of operating profitability in FY26, setting the stage for a proposed IPO by Mar 2026.
