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Online payment methods are becoming increasingly popular and convenient, allowing users to transact without bank cards, reducing the risk of card information and personal data leaks. This trend is also aimed at replacing the long-standing habit of using cash, contributing to the formation of a safe and transparent transaction system.
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| QR code payments save time and minimize the risk of personal information being leaked. Photo: HOANG HUNG |
E-wallets are expanding their reach.
The rollout of Apple Pay, an online payment service used in many countries, in Vietnam has further stimulated the already vibrant cashless payment market. Mr. Hoang Van Son (resident of District 3, Ho Chi Minh City) stated: “Apple Pay is safer than using credit, debit, or prepaid cards. Each transaction on Apple devices requires authentication via Touch ID, Face ID, or a PIN. Card numbers and user identities are securely protected, not shared with merchants, and not stored on any devices. This gives me peace of mind.”
Specifically, Apple has enabled Vietnamese users to make payments via Apple Pay using Visa cards from Tien Phong Bank ( TPBank )...
Most recently, on August 2nd, several banking apps such as Techcombank and MBBank also received updates ready for Apple Pay in Vietnam. Before Apple, Samsung Pay, an application supporting payment cards for users on Samsung mobile devices, was launched very early by Samsung and is now connected to the banking system to provide mobile payment services in a simple and secure way.
Currently, consumers have many popular e-wallet payment methods such as Momo, Zalo Pay, VnPay , SmartPay, Shopee Pay, etc. Mobile banking has become commonplace for smartphone users with bank applications installed. Even banking experts believe that these new payment methods are becoming increasingly efficient, making card payments obsolete despite their widespread use.
Contactless payment trends
According to research by Visa (an international payment network), the use of cash in Vietnam has decreased significantly in recent years, especially after the Covid-19 pandemic. Surveys show that currently up to 89% of consumers use e-wallets, and 85% prefer credit and debit cards, mainly for online and contactless payments.
Mr. Kelvin Utomo, Head of Product and Solutions Development (Visa Vietnam and Laos Network), shared: “Digital payments, especially contactless payments, are a rapidly growing trend in Asia in general and Vietnam in particular. The Visa payment network has seen a significant increase in the number of payment acceptance devices and card acceptance points… As a result, the total value of card payment transactions in the entire Vietnamese market in 2022 increased by more than 50% compared to 2021.”
Data from the State Bank of Vietnam also shows that non-cash payment indicators have increased significantly in both the number and value of transactions. In the first five months of 2023, compared to the same period last year, non-cash payment transactions increased by 52.35% in number; via the internet increased by 75.54% in number and 1.77% in value; via mobile phone increased by 64.26% in number and 7.65% in value; via QR code increased by 151.14% in number and 30.41% in value; via POS increased by 30.35% in number and 27.27% in value; and via ATM decreased by 4.62% in number and 6.43% in value…
"These figures clearly reflect the trend of shifting towards electronic and cashless payments," a leader of the State Bank of Vietnam shared.
According to experts, cashless payments are increasingly developing as the State Bank of Vietnam has implemented schemes and policies to promote cashless payments. On the other hand, the development of the smartphone market and technology is also having a significant impact. Insider Intelligence forecasts that in 2023, the number of smartphone users in Vietnam is expected to reach 63.8 million, an increase of 1.6% compared to 2022 and accounting for 96.1% of internet users nationwide.
According to data from the Telecommunications Department (Ministry of Information and Communications), at the end of 2021, the whole country had 91.3 million smartphone subscribers, and by April 2023, there were more than 2 million additional subscribers, bringing the total number of smartphone subscribers in Vietnam to 93.5 million, with an estimated 73.5% of adults using smartphones.
According to Dr. Nguyen Quoc Hung, Secretary General of the Vietnam Banking Association, the number of individual accounts opened at commercial banks nationwide is approximately 68.7 million. 70 credit institutions have provided internet payment services, and about 36 commercial banks offer mobile payment services. The State Bank of Vietnam has also granted licenses to 21 non-bank organizations to operate as payment intermediaries… This has contributed to accelerating the cashless payment process.
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