NTT DATA, a leading IT services provider and IDC – a global market intelligence and advisory firm have launched a whitepaper, Asia in a New Era of Digital Payments to help the industry understand the opportunities that lie ahead for them as the Asia Pacific and how payment changes rapidly.
The research gain insight into the key trends defining the payments landscape across ten markets: China, India, Indonesia, Japan, Korea, Malaysia, Philippines, Taiwan, Thailand, and Vietnam. It identifies several key factors, including current usage of payment types, online payments growth rates, current and future scenarios within the payments industry, consumer uptake of various payments, and developments in the public and private sectors.
The analysis is drawn from IDC’s syndicated research as well as phone interviews with CEOs and senior business heads of major payment providers. IDC captures five macro trends driving the digital payments imperative across the Asia Pacific region and looking ahead into 2030 and discover the opportunities that help merchants to navigate the complexities to meet the expectations of customers.
The Five Macro Trends Impacting Asia's Payments Evolution
Cashless Society – the shift from cash to cashless payments highly sought by regulators and governments to bring more transparency, accountability and efficiency as well as reduce cash- handling costs.
Digital Ecosystems – the rise of ecommerce/ride-hailing players and their super apps. With a seamless payment as the lynchpin, these digital players are creating viable and sufficiently broad ecosystems that enable customers to exist in the “gated” walls.
Payments Data – not just a valuable source of information and revenue stream for merchants; payments providers have their eye on payments data as their next big revenue stream in the face of declining merchant fees and further cement their value with their customers.
Cross-Border Commerce – focus on the customer journey and payments convergence to capture new opportunities; pushes for more interoperability between payment systems and acceptance of domestic wallets in international markets.
Financial Inclusion – using payments such as wallets as alternatives for formal bank accounts, especially in markets in which the unbanked population remains high. Wallets used as the catalyst to bring people into the financial system for the first time and offer them a variety of financial products.
Akihiro Ishizuka, Head of Global Payments & Services Division, NTT DATA commented: “Growth rates for mobile wallets and other electronic payments in Asia will remain strong amid the emergence of new digital currencies and new forms of payments. This research makes clear, payments is an area of full of opportunities not only for merchants, as well for payment processing companies within the broader global payment ecosystem. At NTT DATA, we provide one-stop access to international and localised payment solutions worldwide, especially in the Asia Pacific, and is PCI-DSS certified. Our service countries include Japan, China, Korea, Taiwan, Hong Kong, Singapore, India, Indonesia, Vietnam, Malaysia, Philippines, Cambodia, Thailand, Laos and Australia and we’re on a mission to create borderless and frictionless payment experience while meeting new regulatory requirements and delivering effective authentication and fraud management.”
This whitepaper offers practical advice for merchants seeking to understand better, prepare for, and cater to, emerging payment trends. Even though the paper is aimed squarely at eCommerce or retail businesses, the findings will still be useful for payment processing companies within the broader global payment ecosystem. Download the whitepaper here.