2025, Vol. 6, Special Issue 3

This research explores how digital payment systems influence business efficiency and customer satisfaction. With the growth of online transactions, changing customer behavior, and increasing digital literacy, digital payments have revolutionized traditional payment methods across all sectors. Businesses, especially small and medium enterprises (SMEs), are increasingly adopting digital payment solutions due to their speed, transparency, and integration with financial management tools. Simultaneously, customers have shown higher levels of trust and preference toward cashless transactions. The study evaluates the effectiveness, advantages, and challenges of digital payment systems and their impact on overall business operations and customer engagement. A combination of primary data and literature review is used to present a comprehensive analysis of the adoption trends, satisfaction levels, and potential barriers faced during the implementation of digital payment systems. This research also highlights the scope for digital transformation in rural and semi-urban areas, where awareness and access remain limited.