Samsung Pay off to a Good Start In South Korea
Since its launch on August 20, 2015, Samsung Pay have been been able to get over 25,000 daily users on Samsung Pay.
Samsung Pay has been doing exceptionally well in South Korea since its launch in the country on August 20, 2015, according to latest Samsung news. The service nearly brings 25,000 users each day and transactions worth $620,000 are being carried out each day.
According to the Executive Vice President of Samsung Electronics the payment platform’s usages have been continuously increasing since it launched in the country and is currently dealing with transactions worth KRW 750 million on an average on a daily basis. This means that the customers like using Samsung Pay and further means that Samsung will be successful with its mobile payment services. He further added that even banks are interested and are participating in Samsung mobile payment service, according to Samsung updates.
The Korean giant said that they will be launching their mobile payment services in the United States on September 28, 2015 but before that they will be launching a Beta test Service in the United Kingdom, Spain and other countries. Countries with high credit card usage are the ones where the company wants to give out this service to as according to the firm; those are the countries that are actually interested in such services.
The main difference between Apple Pay and Android’s Pay payment service that will soon launch is the way Samsung pay is used to make a purchase. It uses the Magnetic Secure Transmission (MST) whereas Apply Pay and Android use NFC Terminal, the technology that Samsung uses is the same technology that is being used by standard credit cards So as long as a shop has a magnetic strip credit cards reader, Samsung Pay can be used to make payments. This technology basically lets you pay by placing your phone close to or on the point of sale device.
According to research by International Data Corporation, by the year 2017 the mobile payment market will be able to pass the threshold of $1 trillion. There will be a lot of competition in the market with Apple, Inc. Samsung Pay, Xiaomi Inc etc. The Executive Vice President says that the way to beat the competition is by providing its customers with something that they cannot get elsewhere. The IDC analysts explained that the Pay service is going to take the company in the right direction but it does not necessarily guarantee increased sales of smartphone.
Samsung’s stock fell from 21.9 per cent in April to June from 26.2 per cent in the previous year. According to Samsung news, the firm will also launch low tier smartphones specifically for Samsung Pay, by next year. Samsung has not commented on the overall investment that it made in launching the payment service.
