Payments processing is a key component of commerce in any society. In Asia cash remains the default financial instrument of choice for conducting a transaction. The downside to the convenience offered by cash is the risk it presents to both merchant and consumer in the form of theft and fraud.
The growing population of smartphone-empowered consumers has led to the rise of technology-led innovations across many aspects of society, including retail, financial services and payments. The telecom industry, itself under threat of disruption, is one industry that is poised to capitalized on the opportunity.
The Philippines’ two dominant telecommunications carriers, PLDT and Globe Telecom, are today deep in the trenches pushing their respective mobile payment solutions and strategies.
PayMaya, a joint venture between PLDT and Rocket Internet, has partnered with the Philippine Franchise Association (PFA) for the adoption of its PayMaya QR Code facility. The intent is to encourage PFA members to use the PayMaya QR Code facility for cashless and seamless transactions.
Arguably following the cashless trend that is transforming China’s economy, the PayMaya QR code solution, like GCash’s GoPay offering, gives consumers the capability to make cashless payments by simply scanning the QR code.
For the transaction to happen, users will need the equivalent mobile app from GCash or PayMaya. With PayMaya, merchants no longer need to invest in upfront equipment, such as a point-of-sale counter. This decreases the risks associated with handling cash payments.
This article first appeared on FinTech Innovation