ARS Insights, October 2026. Practical research thinking for business owners, in plain language.
1. The UPI fee starts on 15 October
From 15 October 2026, merchants pay a fee of 0.4% on eligible UPI payments to merchants above Rs 2,000, capped at Rs 300 per payment. Reports say payments up to Rs 2,000 stay free, small merchants receiving up to Rs 1 lakh a month through UPI QR codes stay exempt, and merchants cannot add the fee to the customer’s bill.
Why it matters: Most payments are small, so most shops feel little. But a few large payments carry most of the value, and those are the ones a jeweller, furniture shop or electronics store depends on. The question for a business owner is not ‘Will UPI become costly?’ but ‘What share of my sales value comes from payments above Rs 2,000?’
What to measure: the share of your sales value above Rs 2,000, what share of customers pay by UPI, and whether they would switch to cash or card if asked.
2. Urban consumer sentiment recovered in September
An Ipsos survey reported that sentiment among urban Indians recovered in September after slipping in August. Maruti Suzuki also reported September sales up 24.4% over last year. Festive months lift almost everything, so a good October does not prove a lasting change.
The research habit: compare this festive season with the same weeks last year, not with last month. A rise that appears every year is seasonal. A rise bigger than usual is the real signal.
3. Tamil Nadu’s new schemes and household spending
The Tamil Nadu government extended free bus travel for women to more bus types from 2 October 2026, and has announced free LPG cylinders for eligible families, with the first phase planned for Pongal 2027. When a household saves money on travel or fuel, it spends the saving somewhere else, such as groceries, clothing, savings or school costs.
What to measure: before and after, in the same households. Without that comparison, we only guess where the saved money goes. This is what independent beneficiary surveys are for.
4. From ARS this month
- New research method pages: brand tracking, concept and product testing, awareness-trial-usage, customer experience and NPS, qualitative research, and market sizing.
- The ARS research panel of about 1,000 members for quick surveys.
- Quality, ethics and data protection, and awards pages, plus privacy and terms.
See them at arsmrs.in.
5. One question for your business this month
If you could ask 200 of your customers one question before Diwali, what would it be? Send it to us and we will tell you honestly whether a quick survey can answer it.
Read and buy
- Our four business books on Amazon: arsmrs.in/books
- Ready-to-commission India market reports: arsmrs.in/marketplace
- Subscribe to this newsletter: arsmrs.in/newsletter
ARS Market Research Services Pvt. Ltd., Chennai. Call or WhatsApp +91 97899 76662. admin@arsmrs.in
Sources: reports on the UPI MDR framework (Outlook India, Moneylife, Cashfree), Ipsos India, Moneylife market summary and Tamil Nadu government announcements as reported by Angel One and DT Next.