Samsung Pay in KRW 10 trillion accumulated payment within 2 years…Simple Payment system changed
Kang Eun Seong | esther@ | 2017-08-21 10:50:32
[Digital Times, Kang Eun-seong] `Samsung Pay`, where payment is made immediately when a smartphone is placed in a card payment terminal, achieved a settlement amount of KRW 10 trillion in two years.
Samsung Electronics reported that Samsung F & M exceeded the cumulative settlement amount of KRW 10 trillion in the first two years after launch, and that the online settlement portion accounted for more than 30%.
Samsung Pay has been released against Apple`s iPhone. As Apple Pay spread rapidly in the global market and expanded the influence of the Apple platform to the financial sector, it is the Samsung Pay that Samsung Electronics released ambitiously in August 2015.
Samsung Pay`s strength is `Magnetic Security Transmission (MST)` technology. Although there have been many simple payment technologies using smartphones, most of them have been developed on the basis of "Near Field Communication (NFC)" technology. Apple Pay is also based on NFC. NFC payment not only requires users to turn on and off a separate app each time they use Pay, but also has to install a separate terminal (dongle) to send and receive to the NFC at the payment merchant.
According to the plan to activate the wireless Internet of the former Broadcasting and Communications Commission in 2011 in Korea, Myeongdong Street became an NFC payment zone and NFC dongles were distributed to street vendors and Myeongdong merchants. Even after Apple Pei landed, NFC settlement dongles were still constrained, and online use was slow and market activation slowed down. The `quick settlement` craze, which had already hit the global market, was also slow in Korea due to official certificates and various online payment regulations.
That market has changed since the launch of Samsung F & M. Since Samsung Fee uses MST technology, merchants did not need to install a separate terminal or dongle, but the payment was completed simply by bringing the smartphone to the existing card payment terminal. For users, if they do not run a separate app but register your payment card in Samsung Pay, users can easily settle by simply touching and biometrics once or twice.
The power of Samsung Pay was further expanded online. This is because the Financial Supervisory Commission (FSC) has abolished the non-face-to-face identification of financial companies and regulations on the use of official certificates.
Other card companies have also launched a simple payment service. However, Samsung F & M has eliminated the procedures for card number entry, security authentication, etc., and completed the registration of the card once registered with biometrics. In fact, Samsung Electronics said that 30% of the total online payment was paid to Samsung F & M last year. Since last year, the company has entered into a direct alliance with a bank, not a card issuer. Even if a bank account is registered, it provides services such as check card payment and cash withdrawal without having to issue a card. Samsung Pay`s influence is getting stronger with the release of` Samsung Fake Mini `, which can be downloaded and used on all Android phones that are not Samsung smartphones.
It is also true that only the Samsung page, which is cruising without a hitch, has a problem.
Each card company or bank currently provides services using the Samsung Pay platform. However, there is no fee structure for it.
A card company representative who is affiliated with Samsung F & A said, "We have been offering our card payment service to Samsung F & M for the second year, but there is no discussion on the settlement of separate payment commission yet. We have a sense of crisis that we will be in an unfavorable position in negotiating commissions when we become a proprietary easy payment platform."
"If we register your bank account at Samsung F & E, we will be charged for the deposit and withdrawal service," he said, adding that the commission fee of around KRW 1,000 is usually exempted. It is currently under the control of the bank. However, whether it will be imposed on the users or share with Samsung should be discussed.”
By Kang Eun Seong esther@
[ copyright ⓒ The Digitaltimes ]
Samsung Electronics reported that Samsung F & M exceeded the cumulative settlement amount of KRW 10 trillion in the first two years after launch, and that the online settlement portion accounted for more than 30%.
Samsung Pay has been released against Apple`s iPhone. As Apple Pay spread rapidly in the global market and expanded the influence of the Apple platform to the financial sector, it is the Samsung Pay that Samsung Electronics released ambitiously in August 2015.
Samsung Pay`s strength is `Magnetic Security Transmission (MST)` technology. Although there have been many simple payment technologies using smartphones, most of them have been developed on the basis of "Near Field Communication (NFC)" technology. Apple Pay is also based on NFC. NFC payment not only requires users to turn on and off a separate app each time they use Pay, but also has to install a separate terminal (dongle) to send and receive to the NFC at the payment merchant.
According to the plan to activate the wireless Internet of the former Broadcasting and Communications Commission in 2011 in Korea, Myeongdong Street became an NFC payment zone and NFC dongles were distributed to street vendors and Myeongdong merchants. Even after Apple Pei landed, NFC settlement dongles were still constrained, and online use was slow and market activation slowed down. The `quick settlement` craze, which had already hit the global market, was also slow in Korea due to official certificates and various online payment regulations.
That market has changed since the launch of Samsung F & M. Since Samsung Fee uses MST technology, merchants did not need to install a separate terminal or dongle, but the payment was completed simply by bringing the smartphone to the existing card payment terminal. For users, if they do not run a separate app but register your payment card in Samsung Pay, users can easily settle by simply touching and biometrics once or twice.
The power of Samsung Pay was further expanded online. This is because the Financial Supervisory Commission (FSC) has abolished the non-face-to-face identification of financial companies and regulations on the use of official certificates.
Other card companies have also launched a simple payment service. However, Samsung F & M has eliminated the procedures for card number entry, security authentication, etc., and completed the registration of the card once registered with biometrics. In fact, Samsung Electronics said that 30% of the total online payment was paid to Samsung F & M last year. Since last year, the company has entered into a direct alliance with a bank, not a card issuer. Even if a bank account is registered, it provides services such as check card payment and cash withdrawal without having to issue a card. Samsung Pay`s influence is getting stronger with the release of` Samsung Fake Mini `, which can be downloaded and used on all Android phones that are not Samsung smartphones.
It is also true that only the Samsung page, which is cruising without a hitch, has a problem.
Each card company or bank currently provides services using the Samsung Pay platform. However, there is no fee structure for it.
A card company representative who is affiliated with Samsung F & A said, "We have been offering our card payment service to Samsung F & M for the second year, but there is no discussion on the settlement of separate payment commission yet. We have a sense of crisis that we will be in an unfavorable position in negotiating commissions when we become a proprietary easy payment platform."
"If we register your bank account at Samsung F & E, we will be charged for the deposit and withdrawal service," he said, adding that the commission fee of around KRW 1,000 is usually exempted. It is currently under the control of the bank. However, whether it will be imposed on the users or share with Samsung should be discussed.”
By Kang Eun Seong esther@