Future prospects pointed out via consumer surveys: the rising importance of user experience

QR code payment is nonetheless in its infancy in Japan, usable only at a limited number of merchants. However, in “Survey on QR code and mobile price usage and intention,” released by using Deloitte Touche Tohmatsu LLC in December 2017, more than 90% of users (aged 10-39) with experience of QR code payment indicated that they have been “satisfied” with the experience, whilst half of the respondents who had not used QR code payment said that they are “willing to use” it. This suggests that QR code payment has significant potential for popularization as a cashless payment method. Users did indicate that they have been worried about security, however as QR code standardization and other framework-establishing measures are being taken, we count on popularization to gradually pick up speed.

Business opportunities searching beyond cashless payment

The market capitalization of each Alibaba Group Holding and Tencent Holdings, the “Big Two” Chinese QR code payment operators, has grown rapidly, with these companies now trailing solely the so-called Big Five (Apple, Google, Amazon, Microsoft, and Facebook) in terms of market value. Driving this growth are their giant, app-based big data businesses. Payment is the most important point of consumer contact, with the data collected thru apps analyzed and utilized for an ever-growing lineup of businesses, which includes finance and entertainment, at once related to users’ lifestyles.

The key to a successful payment business in Japan can be stated to lay in Chinese-style data business that uses payments as a beginning point, as well as in the usage of data to grant one’s own customers with new and more convenient experiential value. Ideally this will lead to increased use and progress towards a cashless society