Japan becomes a key market for Touch n Go e-wallet: 2nd in cross-border transactions

 

In the dynamic realm of digital finance, the Touch 'n Go eWallet (TNG eWallet) has reached a significant milestone, processing over 20 million Euros in cross-border payments monthly. This surge underscores the growing global footprint of digital wallets and highlights their importance in facilitating seamless international transactions.

This article explores the widespread adoption of TNG eWallet, particularly its robust growth in Japan, and the reasons behind this increase. Additionally, we will delve into how merchants can benefit from this trend through Silkpay, the benefits of accepting the TNG e-wallet payment method for businesses, and how Silkpay supports merchants in integrating TNG e-wallet to enhance their global transaction capabilities.

What is the Touch ’n Go e-wallet?

TNG Digital's eWallet, known as Touch 'n Go eWallet, represents a cutting-edge solution to digital payments, enabling seamless transactions with its integration with the Alipay+ network. 

Originally designed to streamline everyday transactions in Malaysia, the e-wallet has expanded its capabilities to support cross-border payments, making it an ideal tool for Malaysian tourists traveling in regions like Japan, Singapore, South Korea, and Thailand.

The wallet's functionality allows users to make payments by simply scanning QR codes, providing a direct challenge to traditional payment methods by offering a simpler, more secure digital alternative. 

The integration with Alipay+ since 2022 has particularly enhanced the user experience, allowing TNG eWallet users to effortlessly conduct transactions in multiple countries. This feature is especially valuable for Malaysian tourists, enabling them to use their mobile devices for payments abroad in the same way they would at home, thus eliminating the hassles of currency exchange and the risks associated with carrying cash.

Japan is becoming a leading market for TNG e-wallet

Japan has rapidly become the second-largest market for TNG eWallet usage outside Malaysia, with cross-border payments increasing fivefold in just six months. This remarkable expansion is not just a result of increasing tourist numbers but also reflects a strategic push by TNG Digital to integrate deeply within the Japanese payment ecosystem.

Growth driving Factors

  • Increased Malaysian tourism to Japan: The surge in the usage of TNG eWallet correlates with a rise in travel frequency by Malaysians to Japan. As one of the top destinations for Malaysian tourists, the convenience offered by TNG eWallet—such as eliminating currency exchange hassles—makes it an attractive payment option.

  • Broad merchant acceptance: Since its collaboration with Alipay+, TNG eWallet has been accepted by over two million merchants across Japan, ranging from retail chains to local dining spots and entertainment venues. This widespread merchant acceptance has been instrumental in the wallet's growth, making it a practical option for Malaysians traveling abroad. 

  • Technological compatibility: Japan’s technological landscape is highly conducive to digital payments. The country’s robust digital infrastructure supports the seamless operation of international digital wallets like TNG eWallet, ensuring a smooth user experience for both merchants and consumers.

  • Strategic marketing and partnerships: TNG Digital’s marketing strategies and partnerships have played a crucial role in promoting the use of its eWallet among Malaysian tourists in Japan. By targeting travel-related spending and collaborating with Japanese businesses, TNG Digital has effectively positioned its eWallet as a must-have tool for Malaysian visitors.

The benefits of accepting TNG e-wallet for merchants worldwide

In the interconnected economy of today, merchants globally are recognizing the necessity to adapt to varied payment methods. Accepting TNG eWallet, facilitated through the Alipay+ platform, is crucial for tapping into the growing segment of Malaysian tourists who prefer the convenience of digital payments.

Meeting Malaysian consumer preferences

Offering TNG eWallet as a payment solution, particularly in markets like Japan and Singapore—where it is exceptionally popular among Malaysian tourists—can significantly boost a merchant's appeal, potentially increasing both foot traffic and revenue. These regions represent key consumption hotspots for TNG eWallet users, making it a strategic business move to integrate this payment method.

Enhancing tourist experience and spending

Integrating TNG eWallet goes beyond convenience; it enhances the overall travel experience for tourists by providing a familiar and secure method of payment. This familiarity encourages more frequent and higher-value purchases, as tourists feel more comfortable and spend less time worrying about payment barriers such as currency exchange.

Gaining a competitive edge in tourist hotspots

In regions with heavy tourist traffic, offering TNG eWallet can serve as a distinct competitive advantage. Merchants in these areas can stand out by aligning their services with the preferences of a significant tourist population, thus differentiating themselves from competitors who may not offer this convenience.

Streamlining payment operations

The adoption of digital wallets like TNG eWallet helps streamline the payment process. For merchants, this means quicker transactions and the ability to serve more customers efficiently, especially during peak tourist seasons. This operational efficiency can be crucial in areas with high tourist volumes, improving the overall service speed and reducing wait times for customers.

How Silkpay enables merchant acceptance of TNG e-wallet

Silkpay enables merchants to accept TNG eWallet payments through Alipay+. 

Alipay+ connects not only TNG but also various digital wallets, including KakaoPay, PayPay, Paytm, Dana, True Money, Gcash. Thereby broadening the scope of payment options merchants can offer without directly managing multiple separate accounts. 

Here’s how Alipay Plus integration facilitates seamless transactions:

Alipay+ POS integration

Silkpay’s POS terminal comes equipped to support Alipay+, which includes compatibility with TNG eWallet among other digital wallets. This enables merchants to seamlessly accept payments from TNG eWallet users, leveraging the widespread adoption and trust in the Alipay+ network. 

This integration helps merchants accept the most popular Asia-Pacific e-wallets in-store, which is beneficial to both merchants and customers.

Alipay+ integration into the merchant’s payment systems

Silkpay offers tailored integration services that incorporate Alipay+ into existing merchant payment infrastructures. This integration is vital as it enables the acceptance of TNG eWallet and other prominent digital wallets across the Asia-Pacific region, helping merchants serve a wider customer base without significant additional investment or changes to their current systems.

By enabling these integrations, Silkpay not only enhances the capacity of merchants to handle diverse payment methods but also strategically positions their brand to tap into a lucrative market by accessing more than a billion client base.

Conclusion

The increasing popularity of TNG e-wallet, especially in Japan, highlights a crucial shift in consumer payment preferences and the digital economy's evolution. By offering TNG eWallet, merchants in key tourist destinations like Japan and Singapore not only enhance the shopping experience for Malaysian tourists but also gain a competitive edge. 

Silkpay's integration with Alipay+ further simplifies this process, allowing merchants to efficiently cater to a global audience. Ultimately, embracing such digital payment methods is no longer just an option but a strategic necessity for businesses aiming to thrive in the interconnected global market.

Source
https://www.mpaypass.com.cn/news/202403/27093110.html

<a href="https://www.freepik.com/free-photo/person-scanning-qr-code_23715172.htm#fromView=search&page=3&position=43&uuid=1440fe09-6de3-4edb-a222-e99c07ec78fd">Image by freepik</a>

About the author: Silkpay

Based in Paris, Silkpay provides omnichannel and secure payment solutions to help physical stores and e-commerce in Europe accept more than 30 of the world's most popular payment methods: Visa, Mastercard, CB, UnionPay, Alipay+, WeChat Pay as well as Asia-Pacific’s major e-wallets.

Silkpay is a winner of the LVMH Innovation Award. The company was also selected as a finalist for the "Money 20/20" Best Startup and in the "MPE Berlin” Startup Awards. Silkpay also won the "Best Fintech" awards from Capgemini and BPCE.

Silkpay helps merchants deliver the smoothest payment experience to their customers. We are a talented and international team driven by a single goal: to improve the customer experience and make payments simple and secure.