New Delhi: Digital payments firm Paytm on Monday said it has received a “phenomenal response" for new service categories like hospitals, tolls and petrol pumps, and expects to add more categories in the coming months.

The company, owned by One97 Communications Pvt Ltd., deployed its service at toll plazas, petrol pumps, healthcare centres like pathology labs, pharmacies and hospitals, and even parking lots and cafeterias in the October-December quarter.

According to the company, the new categories are generating six million transactions a month and are expected to overtake mobile recharges (in terms of order volumes) by middle of this year.

“We are getting phenomenal response to all the new use-cases that we had launched in 2016. This points at the immense opportunity for mobile payments. As Paytm starts to be accepted everywhere from temples to mantis and beyond, we will continue to drive strong growth in all our existing categories and will launch newer use-cases to help hundreds of millions of people go cashless in our country,"said Kiran Vasireddy, a senior vice-president at Paytm, in a statement.

Over the next few months, Paytm will launch in newer categories like automobile service stations, school and college hostel cafeterias, diary outlets, apartments’ maintenance and traffic challans.

“This year our focus is to expand long tail of payments from grocery shops to street vendors and even far-away places where overall digital payments volumes are negligible," a company spokesperson said.

For automobile services, the company has tied-up with over 2,500 service centers of Hyundai, Honda and Mahindra and Mahindra, while in the healthcare sector SRL, Thyrocare, Dr. LalPathlabs, Fortis, Max, Medantaand Apollo Group Hospitals are accepting payments through Paytm.

Paytm has also enabled payments at several retail outlets like Shoppers Stop, Hypercity, Lifestyle, The Body Shop, Arrow, Nautica, Marks &Spencers, Maxx, Nike, Lotto, United Colors of Benetton, Sunglass Hut and Reebok.

The company is also focused on acquiring small-scale customers like neighbourhood kirana stores and road-side vendors. Its offline service is now used by 2.8 million merchants, while the total user base has grown to 180 million.

The Alibaba-backed firm became the leading beneficiary of the government’s unexpected move to ban high-value currency notes in November last year. Since then, users of and transactions at Paytm have gone up multi-fold.

The company will transition into a payments banks over the next two months, according to a 4 January Press Trust of India report.