Asia-Pacific POS Payment Methods 2023

Asia-Pacific POS Payment Methods 2023

In line with shifting consumer preferences, the adoption of QR code payments, mobile wallets, and BNPL services at POS is on the rise throughout the Asia-Pacific region: new yStats.com report

The Asia-Pacific region is spearheading the adoption of digital payments at point of sale (POS)

Shoppers across this region are swiftly embracing the digital revolution in payment methods, marking a significant departure from conventional approaches. Recent insights from the yStats.com report, ""Asia-Pacific POS Payment Methods 2023,"" underscore the Asia-Pacific's emergence as a trailblazer in leveraging digital wallets for POS transactions, surpassing global peers in this transformative trend. Consumers in the region are steering a diverse range of payment methods, signaling a growing affinity for alternative choices during checkout. This diverse mix encompasses debit and credit cards, account-to-account transfers, QR code payments, mobile wallets, ""Buy Now, Pay Later"" (BNPL) services, and innovative POS financing facilitated by banks, fintechs, and merchants. Moreover, a noteworthy upswing in cash payments at POS, particularly in countries like Japan, Thailand, and Vietnam, is evident. Among these nations, Thailand notably stands out with a substantial 56% share of cash transactions at POS in 2022, followed closely by Japan and Vietnam.

Across the Asia-Pacific landscape, countries are experiencing a surge in the adoption of QR code payments, mobile wallets, and BNPL services

The trend of using digital payment methods at POS in Asia-Pacific is mirrored by an increasing number of merchants and businesses embracing digital and contactless payment solutions for in-store purchases. Prominent players in this sphere, such as Singapore's Grab and Indonesia's GoTo, have emerged as influential catalysts in facilitating seamless contactless payments for a range of services, encompassing ride-sharing to food delivery. Zooming in on specific markets, Japan's payment scene reveals intriguing dynamics. According to a March 2023 survey, approximately 49% of respondents noted no change in their cash usage frequency compared to a year ago, while 44% acknowledged a decline in cash usage. Meanwhile, in China, the trajectory of digital payments is poised for unprecedented expansion. The anticipated growth of the third-party integrated payment transaction value, encompassing mobile payments and bank card transactions, is projected to exceed EUR 120 trillion by 2026. A revealing statistic underscores this surge, with over three-quarters of surveyed Chinese mobile phone users attesting to their daily utilization of mobile payments. Notably, this surge is led by renowned platforms such as WeChat and Alipay, which have solidified their positions as preferred choices for offline transactions in the country.