Consumption tax increase Intensified competition of payment operators with the point return system September 22 4:19

In line with the increase in the consumption tax rate next month, a pointless system for cashless settlement will begin. Competition among payment service providers is fierce to attract users by returning points independently of the system.

In the cashless payment point return system implemented in conjunction with the increase in the consumption tax rate, cashless payments at small and medium-sized stores will receive a maximum of 5% as points.

Cashless operators are making a series of efforts to return their own points separately from the system in order to incorporate users at this opportunity.

Among them, SoftBank Group PayPay will add a maximum of 5% points to users who used the point reduction system for two months from next month.

Also, Rakuten Pay will give a flat 5% point until December 2 at stores that are not eligible for the point redemption system.

On the other hand, as a return policy for stores, Melpay will eliminate the commission for settlement until the end of June next year and cash back 5% to stores.

Cashless payments may have become unstable due to the continued entry of companies, and active competition to increase users is likely to continue even after the consumption tax rate is raised.