Smart payments gaining ground in small ticket spending among Vietnamese consumers

10:51:34 AM | 8/25/2021

The Consumer Payment Attitudes study by Visa, the world’s leader in digital payments, highlights a growing interest in digital banking and other new payment technologies that would fuel the ascent of a digital economy in Vietnam.

Findings from Visa’s study show that digital banking has a strong following among Vietnamese consumers with a majority (77%) aware of digital banking and as many as 31% using these services. The driver of adoption is the convenience of being able to bank any time without having to visit a bank branch. Vietnamese consumers show the strongest preference for services to pay bills (72%) and transfer money to family and friends (67%).

Mrs. Dang Tuyet Dung, Country Manager for Visa Vietnam and Laos shared: “Our Consumer Payment Attitudes study has shown that Vietnamese consumers are increasingly willing to put their trust in new payment services provided by brands they trust. In addition to the safety and security these payment methods provide, they are also valued for the increased control and oversight over personal finances.”

At the same time, there is a growing interest in emerging payment methods. Biometric payments (such as fingerprint scan, voice/facial recognition or retina scan) are a subject of particular interest. Eighty-three percent of local consumers are now aware of the existence of these payment methods and the vast majority are also interested in trying them. Numberless cards are also gradually gaining recognition as 62 percent of consumers are now aware of the existence of this option while as many as 77 percent said they would use them for transactions.

“The COVID-19 pandemic has given a tremendous push for all forms of cashless payments across small ticket categories,” added Mrs. Dang Tuyet Dung. “These trends found extremely fertile grounds among Vietnam’s young and adaptable population, with Gen Z consumers showing significant trust and excitement about new payment services and consumption channels like social commerce.”

Indeed, Gen Z consumers seem to be the beating heart of social commerce, with as many as 85 percent of Gen Z respondents aware of social commerce and 68 percent using social media to read or watch at least three reviews before making a first-time purchase.

The significant interest shown in digital payments will help to drive adoption and put Vietnam on the path to a cashless society, providing advances in safety, security and convenience.

Thu Ha (Vietnam Business Forum)