NTT Data Group adopts Malaysia’s iPay88 as its payment gateway
By Digital News Asia October 18, 2016
- ‘Cashless’ society trends in Asia is driving online payment gateway
- NTT Data Group targets to be world’s Top 5 payment gateway provider
IPAY88 Sdn Bhd, an online payment gateway provider in South East Asia, announced recently that NTT Data Corporation will adopt iPay88 as its flagship payment gateway technology to fast-track to leadership position in the Asia-Pacific market, and top 5 in the world.
iPay88 executive director KH Lim (pic, above) says that, “the key to connecting with online shoppers is understanding what local shoppers want and then evaluating the local eMerchants who can provide the services needed in each market. iPay88 is familiar with the local Asean eCommerce landscape and has been succeeding by localising our payment technology and solutions to suit the intricacy of each unique market.”
This move by NTT Data is facilitated by its acquisition of a majority equity stake in iPay88, via its subsidiary NTT Data Asia Pte Ltd in September 2015.
According to Tohru Yoshioka, Japanese director representing NTT Data at iPay88, the initial target markets under NTT Data’s strategy include Thailand, Indonesia, Vietnam and the Philippines.
iPay88's proprietary payment gateway is a brand that facilitates eCommerce in the region. It is a strategic move for the NTT Group as it seeks to advance its position in the Asia-Pacific.
Tohru said that in order to achieve this aim, the most logical method was to adopt the Malaysian-based iPay88 technology that has been used for years in many Asean markets for eCommerce activities.
“NTT Data plans to be in the forefront by providing security-rich credit and finance technology system using iPay88’s eCommerce and mobile commerce solutions,” explained Tohru.
iPay88 an important part of NTT’s plan
NTT Data is part of NTT Group and is the 3rd largest telecommunications company in the world in terms of revenue. NTT Data dominates over 70% of the local online payment market in Japan through the use of Cafis, a payment card network in Japan that serves over 200 banks in Japan.
According to Tohru, in the area of online payment solutions, NTT Data aims to be among the world’s Top 5 brands. To achieve this, the group needs to double its total online payment transactions over its networks, to US$1 billion (RM4.22 billion) annually.
Adopting iPay88 for the Asean market will enable NTT Data to drive up its business coming from outside of Japan, as iPay88 is already connected with several major online payment platform giants such as Alipay Wallet and WeChat Payment.
Malaysia’s potential in Asia
The 2014 Nielsen Global Survey of eCommerce highlighted that The Philippines (62%), Indonesia (61%), Vietnam (58%) and Thailand (58%) rank in the top 10 markets globally. Meanwhile a report by AT Kearney reveals that Malaysia is now at an ‘eCommerce inflection point’ behind Korea, the US, China, India, Taiwan, and Singapore.
The making of a South-East Asian icon
iPayPal pact: iPay88 partners PayPal to promote cross-border trade for Malaysian businesses
In Malaysia, m-commerce to outgrow e-commerce by 3x, says iPay88
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