At the Singapore FinTech Festival 2024, PayPay, Japan’s leading QR payment operator, today announced an expanded partnership with Alipay+, Ant International’s cross-border mobile payment and scanning technology solution, expanding its network coverage traders across Japan.

By working with local partners including PayPay, Alipay+ will now connect more than 3 million local merchants to the global payments ecosystem, enabling local businesses and payment partners to offer global visitors payment experiences and seamless and secure travel deals with their favorite national e-wallets.

Through this expanded partnership, travelers using Alipay+ payment partner apps will be able to scan PayPay QR codes to make payments at a wide range of Merchant Presented Mode (MPM) stores across Japan, even if merchants do not have not yet displayed the Alipay+ point of sale. materials. They can also expect special promotions during the upcoming peak travel seasons of Christmas and New Year. Alipay+ will collaborate with PayPay merchants to launch a promotional campaign that will run from December 20, 2024 to January 10, 2025.

Users of participating payment partners including Alipay, AlipayHK, GCash, Kakao Pay, Toss Pay, Touch ‘n Go eWallet and TrueMoney will be offered an exclusive 10% discount (up to a maximum of 1,000 JPY, 50 CNY). Tinaba will also offer a 10% cashback promotion (up to a maximum of 20 EUR). Eligible users can avail the offer once during the campaign period.

Alipay+’s current payment app partner network in Japan includes 16 e-wallets and banking apps, such as Alipay (Mainland China), AlipayHK (Hong Kong SAR of China), MPay (Macao SAR of China), Kakao Pay of South Korea, Naver Pay and Toss, Singapore’s OCBC Digital, Changi Pay and EZ-Link, Malaysia’s Touch ‘n Go eWallet and Public Bank Berhad’s MyPB, GCash and HelloMoney from the Philippines, TrueMoney (Thailand), Hipay (Mongolia) and Tinaba (Italy).

Meeting the growing demand for “deep tourism” with seamless experiences

Japan ranks as the top tourist destination in the Asia-Pacific region for tourists from around the world, according to the latest data from the World Economic Forum. As the number of inbound visitors steadily increases, local merchants have an incentive to remain responsive to the changing preferences of international tourists.

Many tourists now explore beyond popular cities like Tokyo, Osaka and Kyoto, seeking the unique charm of lesser-known regions. They want seamless cross-border payment experiences similar to those in their domestic markets. Alipay+ supports this by expanding its merchant coverage to include a growing number of SMEs, providing tourists with access to unique travel experiences.

All-in-one payments are also reshaping consumer preferences and behaviors, with travelers spending more on localized experiences rather than just retail purchases. The number of travelers using their home payment apps to pay via Alipay+ in Japan almost doubled between January 1 and October 31, 2024, compared to the same period last year. Total transactions conducted through Alipay+ partner payment apps in the first ten months of 2024 nearly tripled year-over-year. In particular, F&B and entertainment became the top categories for Alipay+ transactions in the first ten months, alongside retail.

Unlocking global opportunities for local SMEs

Alipay+ connects more than 3 million merchants, including a significant number of SMEs, through its partnership with PayPay. These vibrant businesses are spread across the country, ranging from popular snack bars and anime merchandise stores to guesthouses near Mount Fuji. By collaborating with PayPay, Alipay+ simplifies tourist payments while helping local merchants tap into the growing tourism market and support regional economies.

E-wallet partners and merchants are also collaborating with Alipay+ to improve consumer engagement through marketing initiatives. More than 20 brands are running campaigns with Alipay+, offering users of Alipay+ partner e-wallets discounts at around 300,000 merchants across Japan, including airport shops, department stores, electronics and appliance retailers , health and beauty stores, convenience store chains and high-end shopping centers.

To unlock more growth opportunities for local businesses, Alipay+ is continuously expanding its partner network and now connects 90 million merchants in 66 countries and regions with 1.6 billion consumer accounts across 35 mobile payment partners. Alipay+’s broad regional partnerships, including those with national QR programs, also drive inclusive growth for SMEs. These include Singapore’s SGQR, Malaysia’s PayNet, South Korea’s ZeroPay, Sri Lanka’s LankaPay, and Cambodia’s KHQR.

Masayoshi Yanase, General Manager and Division Head of Finance Business Strategy Division of PayPay Corporation, said: “PayPay is committed to creating a connected and seamless payment ecosystem that enables local businesses to connect with international travelers. With convenient and secure payment solutions, we improve the travel experience for tourists around the world. Together with Alipay+, we aim to contribute to economic growth across Japan by supporting digital transactions for businesses of all sizes, from bustling city centers to emerging regional destinations.

Douglas Feagin, Chairman of Ant International, said: “The simplicity of QR code payment is proving to be a turning point for the future of travel. Together with our partners like PayPay, we are driving inclusive economic growth by connecting Japan’s dynamic domestic merchant supply chain with international consumers’ growing demand for hyper-local experiences through the global payments ecosystem with Alipay+. Allowing travelers to pay with their personal wallet when they see a PayPay QR code will open payment frontiers for the global tourism market.

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