Interest is focused on the prediction that the market will expand further with the addition of the people of delivery to the domestic prepaid charging market, and the reason why the people of delivery, who issued “Baemin Pay” in 2017, issued a prepaid electronic payment method only now.
The People of Delivery seems to have settled on securing customer prepaid recharges and at the same time reducing commissions due to an increase in payment size.
On the 3rd, the graceful brothers, the people of the people of delivery, announced that they plan to start the prepaid electronic payment method’Baemin Pay Money’ from March 31.[단독] The People of Delivery launches’Baemin Pay Money’ for prepaid recharge)
The prepaid electronic payment method is a method in which money is charged in advance in the payment method and the price for using the service is paid. In the future, users of the People of Delivery will be able to use a delivery service or a non-(B) Mart/Baedal People’s Gift Service after charging Baemin Pay through their payment method.
The People of Delivery explained that Baemin Pay Money was launched to provide a variety of payment methods. However, it seems that they also considered reducing commission payments and securing interest income from customer deposits.
The annual payment of the people of Delivery in 2020 is estimated to be 1.2 trillion won. It has grown by 75% compared to 7 trillion won in 2019, the previous year. As the payment size increased, it is expected that a large amount of fees were paid to the electronic payment agency (PG). It is likely that Baemin Pay Money was released to reduce this burden.
It is also interpreted as a part to more aggressively target teenagers who do not have credit cards. By registering a family card, teenagers also used the people of delivery, but there is a disadvantage in that all details are shared. As banks recently created an atmosphere for teenagers to open accounts through passports, it is speculated that they have provided prepaid electronic payment methods that link to bank accounts.
In addition to using Baemin Payne as an application (app), if the Baemin Payneon uses Baemin Payney even when using a deliveryman (rider) that has a contact with the Baemin Payneon ecosystem, this impact is expected to increase.
Naver, Kakao, Coupang, etc. also provide prepaid electronic services
With Naver and Kakao Pay as well as Coupang providing prepaid electronic services, the prepaid charging market is expanding rapidly.
According to data from the Financial Supervisory Service, the amount of prepaid recharges from 780 billion won in 2014 increased to 910 billion won in 2016 and 1.67 trillion won in 2019.As of September 2020, it reached about 2 trillion won, 156.4% in the new six years. Increased.
The reason why companies offer prepaid recharge services is that they can get side effects both monetary and non-monetary. In particular, companies can earn interest income through customer deposits (prepaid recharges), so companies are providing various benefits to secure deposits over a certain scale.
Customer deposits cannot be self-managed assets according to last year’s guidelines for user protection of electronic financial companies under the Financial Supervisory Service. However, it must be put in trusts and government bonds through external agencies. In this case, the company can earn interest on deposits and bonds. The larger the deposit, the more profits you receive. Prepaid recharge is possible through a bank account, but the limit for one-time recharge and holding is 2 million won, which is not very small.
Non-financially, it is the expansion of the influence of the simple payment service and thereby strengthening the platform’s competitiveness. For example, Naver Pay and Kakao Pay, which intend to combine simple payment offline, are examples. Since there are rewards (rewards) that can be obtained by recharging points or money on one platform, in most cases, the use of the platform is maintained.
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An official from Naver explained, “There is a lock-in effect that binds customers,” and “It is a virtuous cycle that increases customer satisfaction by providing benefits and expands the influence of the business.”
An official from Kakao Pay said, “The amount of remittance and payment transactions increases through Kakao Pay’s prepaid recharge, which will lead to stronger platform competitiveness.” “I mentioned.