At the Singapore FinTech Festival 2024, PayPay, Japan’s leading QR payment operator, unveiled an expanded partnership with Alipay+, a cross-border mobile payment solution provided by Ant International. The collaboration, which will connect over 3 million merchants in Japan to a global payment network, aims to offer seamless and secure payment options to international visitors.
This partnership comes in response to the rising demand for “in-depth tourism” experiences, where travellers are seeking authentic local engagements beyond popular tourist hotspots like Tokyo and Osaka. Japan, as the top destination for international visitors in the Asia-Pacific region, continues to see an increase in inbound tourism. With this, there is a growing need for payment systems that allow foreign visitors to make payments using their preferred domestic e-wallets.
With the expanded partnership, tourists can now use Alipay+ partner wallets to scan PayPay QR codes at a wide range of merchant-presented locations, even if the merchant has not yet displayed Alipay+ point-of-sale signage. This means tourists can pay in their local currencies, with the added benefit of promotional discounts during the peak Christmas and New Year seasons. From December 20, 2024 to January 10, 2025, customers using participating apps like Alipay, GCash, Kakao Pay, and others can access exclusive discounts and cashback offers.
Alipay+ now connects 16 e-wallets and bank apps to its platform, allowing users from around the world to engage in cross-border transactions. With partners spanning across China, Hong Kong, South Korea, Singapore, Malaysia, the Philippines, Thailand, and even Italy, Alipay+ continues to grow its influence across 66 countries and regions.
The expansion into Japan’s local merchant ecosystem is designed to enhance the travel experience for foreign tourists. Alipay+ focuses not only on large retailers but also aims to support small and medium-sized enterprises (SMEs), which are critical to Japan’s regional economies. From anime shops to local guesthouses near Mount Fuji, Alipay+ is helping SMEs tap into the lucrative tourism market by facilitating seamless payment experiences for tourists.
This initiative is part of a larger strategy by Alipay+ to support “hyper-local” tourism experiences. According to the company, transactions through Alipay+ apps in Japan nearly tripled year-on-year as tourists increasingly spent on local experiences such as dining and entertainment, rather than traditional retail purchases. Food and beverage, along with entertainment, have emerged as the top transaction categories for Alipay+ users in Japan.
The partnership also brings promotional campaigns that will run across PayPay merchants, including department stores, convenience chains, and health and beauty shops. With over 300,000 merchants involved, the initiative is expected to increase both the exposure of SMEs to international markets and the overall spending of tourists in Japan.
Douglas Feagin, President of Ant International, stated, “Through our partnership with PayPay, we are creating a more connected and seamless payment ecosystem that helps businesses of all sizes connect with international visitors and unlock new growth opportunities.”
This collaboration underscores the growing trend of mobile payment integration for global tourism and positions Japan as a leader in offering frictionless cross-border payment solutions.
