E-Commerce Payment Processing Service Market in Japan: Key Research Findings 2018
Yano Research Institute (the President, Takashi Mizukoshi) has conducted a survey on the domestic e-commerce payment processing service market and has found out the current status, the trends of the market players, and the future outlook.
According to the data by METI, the domestic e-commerce (BtoC) market has been on the rise year by year. It is because of the satisfactory convenience of online shopping for its availability regardless of time and place, together with wider use of smartphones.
Payment service providers have developed their business mainly by providing payment services for e-commerce member stores, but the recent fierce price competition have brought about continuous reduction of commission rates, making such service providers difficult to maintain earning profits. Therefore, the service providers have worked out to differentiate themselves by providing value-added services other than payment, such as the services to support attracting customers and support sales (including offering of online advertisement and CRM), and loan services like transaction lending. Such services contributed to sales increase at member stores, which improved the trading volume and expanded the business at the payment service providers and PSP themselves.
Because of such factors, the domestic e-commerce payment processing service market in FY2017 is projected to expand by 7.2% to exceed 10,700,000 million yen, based on the trading volume of e-commerce payment processing service providers.
In addition to progress of internet and wider acceptance of smartphones, development of cloud services and expansion of API economic have encouraged increasing number of startups to start providing online payment processing services. Among such new services, there are some that enable to introduce through only a few lines of codes, indicating by far lower obstacles to introduce payment processing services.
Also, there is no doubt that increasing number of career billing aggregation service providers have come to provide payment processing services by globally integrating mobile communication enterprises. In addition, deferred payment services providers have also increased the users by crediting their phone numbers and mail addresses, and are likely to expand their business. Other payment processing services expected to emerge are those that use cryptocurrency.
The copyright and all other rights pertaining to this report belong to Yano Research Institute.
Please contact our PR team when quoting the report contents for the purpose other than media coverage.
Depending on the purpose of using our report, we may ask you to present your sentences for confirmation beforehand.