A year-on-year increase of 167%! PayPay settlement transaction volume exceeded 3 trillion yen in 2020

As the traditional telecommunications market becomes saturated, SoftBank is actively expanding the potential of new businesses. As Japan's third largest telecommunications company's ambitious plan for the payment market , PayPay has grown rapidly since its official launch in October 2018. With its aggressive feedback strategy, it has attracted nearly 40 million users and changed the Japanese habit of using cash for consumption.

According to data released by SoftBank Group at a settlement briefing on May 11, the settlement transaction volume of the smartphone payment service "PayPay" in 2020 was 3.2 trillion yen.

This figure is 2 trillion yen more than the previous year , and 2.6 times the previous year. When PayPay started providing services in 2018, the settlement transaction amount was only 80 billion yen (October 2018 to March 2019), and in 2019 it was 1.2 trillion yen (an increase of 167%). (The settlement transaction amount refers to the total amount of settlement through PayPay, excluding remittances between individuals, etc.)

The number of PayPay users exceeded 39 million in May 2021. The number of franchise stores includes 3.16 million convenience stores, drug stores, supermarkets, restaurants, etc. The number of settlements per year exceeds 2 billion times (about 2.5 times the previous year).

Currently, PayPay is operated by a joint venture between SoftBank and Z Holdings (Yahoo Japan). As a company owned 50% by SoftBank Group and 25% voting rights each by SoftBank and Z Holdings, PayPay is positioned as a company subject to SoftBank's equity method.

However, PayPay is not satisfied with its current status. CEO Junichi Miyagawa announced at the earnings conference : " We hope that PayPay will have an IPO in the future so that they can be independent. " According to information revealed by Japan's SoftBank Group , the listing of the payment application PayPay in the future will be a foregone conclusion .

However, according to Japanese media reports, after 2022 , through the exchange of preferred shares, SoftBank Group will hold a 28% stake, while SoftBank and Z Holdings will each hold 32% (a total of 64%) .

Paytm, a digital payment platform partner of PayPay ( SoftBank owns about 20% of Paytm's parent company One97 Communications ) , will acquire a 7% stake in PayPay Japan . Spokespersons for Paytm and SoftBank did not provide additional comments.

Payment

SoftBank

Japan