Read the Environmental Improvement Study Group for Further Promotion of Cashless Payments to Small and Medium Enterprises (2)
Nov 12, 2021
I think I'll do it because it will also be my social study.
(From 2021/10/18 new information from the Ministry of Economy, Trade and Industry council / study group)
table of contents
1. Review of the first discussion
2, Cost structure for credit card, electronic money, code payment
3, Draft plan well known to consumers
4, Progress of verification at stores related to cashless payment
Let's start with a review of the first discussion. I will look up technical terms in the materials, words that I do not understand, and parts that I am concerned about, supplement them, and read on. The main opinions from the committee members are as follows.
"Cost structure analysis" member of the introduction side of payment services
●Introduction costs, franchise fees, and complicated cash register operations are issues facing stores. In particular, the cost burden is large.
● Settlement fees exceed the business's operating profit margin, which is a heavy burden. Some companies are making efforts to reduce fees by using their own electronic money.
●From the perspective of small and medium-sized merchants, it is difficult for them to accept that the settlement fees paid by their own company are used as a payment business operator's cost to retain customers, rather than being returned to their own company. Wouldn't it be better to cover the consumer return portion with the consumer's burden and reduce the store commission?
Here is a supplement.
☆Introduction costs include terminal costs for credit card payments (100,000 yen/device, 4-year amortization), network usage fees (6 yen/case), and slip storage fees (1 yen/case).
☆The merchant fee will be 3.25% of the unit price.
☆The operating profit margin here is, for example, when one item of 5,000 yen is paid by credit card, the settlement fee is 5,000 * 3.25%, or 162.5 yen. The operating profit is the amount obtained by subtracting the cost of the product and sales and administrative expenses (all costs from manufacturing to selling this product, including outsourcing costs, labor costs, rent, etc.) from 5000 yen. In other words, we are in trouble because the operating profit is less than 162.5 yen. It refers to
Looking at the opinion of the card payment introduction side, 100,000 yen per terminal dedicated to card payment is plainly unpleasant. Also, it would be a serious problem if card payment fees exceeded operating income and resulted in a deficit. It seems to be the reason why the introduction of in-house electronic money has increased at AEON and convenience stores.
I will end here for now.
The next issue will be the opinions of observers and other committee members.
Thank you for reading.