Through their collaboration, they aim to use “One Touch” payment technology to optimize the sequence of cash flow from collection to payment to settlement for businesses, Yedpay said in a Wednesday (Nov. 8) press release.
Traditionally, payment and settlement processes were managed separately, resulting in considerable delays in cash flow, according to the release. However, with the introduction of this technology, Yedpay and Mastercard aim to allow businesses to achieve collection, payment and settlement in just one step, simplifying fund management for enterprises.
Yedpay General Manager Leo Ngan said in the release that the use of Tap on Phone payment technology in their “One Touch” payment product enables credit card payment processing through mobile phones, eliminating the need for traditional point of sale (POS) machines. By downloading a simple application, businesses can collect payments anytime and anywhere, with instant settlement.
The collaboration between Yedpay and Mastercard comes at a time when the global payment industry is undergoing significant changes, the release said. The COVID-19 pandemic accelerated the shift towards contactless payments and eCommerce, particularly in emerging markets in Africa, Latin America and Southeast Asia. The Southeast Asia digital payment market alone is expected to reach a transaction value of $2 trillion by 2030.
Yedpay aims to capitalize on these opportunities by focusing on ASEAN as its core growth point, per the release. The company plans to launch diversified financial products, including merchant electronic wallets for collection and remittance.
The company’s instant payment and settlement technology offers several benefits for businesses, according to the press release. Large enterprises can improve the efficiency of fund settlement, increase fund flexibility, instantly control operations and reduce operational risks. Additionally, through the analysis of electronic payment data, companies can gain insights into consumer preferences, adjust operational strategies and forecast market trends.
PYMNTS Intelligence has found that Southeast Asia’s high level of digital payments penetration has made it a tempting area of expansion for international corporates. Nearly 90% of the region’s population uses digital wallets or other forms of electronic payment, according to “The Merchant’s Guide to Opportunities in High-Growth Markets,” a PYMNTS and Worldline collaboration.