Vietnam leads surge in contactless payments across Asia-Pacific: Visa

The Asia-Pacific region has recorded a surge in contactless payments, with Vietnam leading the charge, according to a recent survey that YouGov, an international data and analytics company, did for Visa.

The survey was done from August 30 to September 6, with 16,308 respondents from 14 markets, of whom 1,038 were people in Vietnam.

Data analyzed by Visa's consultants and analysts shows a significant shift in payment behavior, with nearly one in five transactions processed on the Visa network being contactless in September 2024.

In Asia-Pacific, in-app mobile wallets (69%) and tap-to-pay (68%) are the preferred payment methods. In Vietnam, mobile wallets are the favored payment method by 80% of consumers surveyed, while 68% utilize tap-to-pay.

Up to 39% of Vietnamese consumers trust smartphones for high-value transactions, demonstrating their confidence in mobile payment security and comfort with mobile-first solutions.

Contactless payments have become universal in Vietnam, with over 75% of face-to-face transactions on Visa cards being contactless by the end of November 2024.

The introduction of mobile wallets such as Apple Pay, Garmin Pay, Google Pay, and Samsung Pay has significantly driven this trend, reflecting growing consumer confidence and rising demand from small and medium-sized businesses (SMBs) to offer these seamless payment options, according to Visa.

Visa is actively collaborating with banks and merchants to develop a comprehensive contactless ecosystem through the "Small Business, Big Future" initiative and an online toolkit supporting SMBs in their digital transformation journey.

Dung Dang, Visa country manager for Vietnam and Laos, said: "We envision a future where digital payments are seamless, secure, and accessible to all Vietnamese businesses. By collaborating with partners across the payment ecosystem, we strive to help SMBs unlock new opportunities for growth and efficiency, ultimately contributing to Vietnam's economic progress."

While contactless payments offer unparalleled convenience, transaction security is crucial for establishing consumer trust and promoting widespread adoption.

With 51% of respondents across Asia-Pacific expressing confidence in tapping their card as a secure payment method, the regional digital economy experienced an uplift of more than $2 billion with the implementation of the Visa Token Service (VTS).

This underscores the importance of promoting secure, contactless payment solutions throughout the region, Visa noted in a release on Monday.

Additionally, by collaborating with QR payment providers in Asia Pacific, Visa facilitates seamless cross-border transactions, opening new opportunities for Vietnamese businesses in international commerce, it said.

"This is further reinforced by the growing preference for QR code payments in Vietnam, with 98% of mobile payment users scanning QR codes at point-of-sale (POS) for their convenience, wider acceptance, reliability, and security," it added.

A report from the State Bank of Vietnam (SBV) released at its recent conference to review 2024 and deploy tasks for 2025, shows that in the first 10 months of 2024, non-cash payment transactions increased by 57.54% in quantity and 34.54% in value compaed to the same period in 2023.