Read the Environmental Improvement Study Group for Further Promotion of Cashless Payments to SMEs (3)
Nov 17, 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.
Opinions of other members of the "Cost Structure Analysis"
●Disclosure of interchange fee standard rate is the first step. We should also keep an eye on whether the standard rate has become a benchmark and has not become a cooperative and promotional practice that encourages rate agreements among credit card companies.
● Two years have passed since the Fair Trade Commission made an important recommendation . Now is the time to discuss the future prospects.
●Regarding franchise fees, it should be shown that there is a gap between the level expected by franchisees and the actual level.
● If merchant commissions rise, they may be passed on to the prices of goods and services, which may affect not only business operators but also consumers. It is useful to consider the impact of cost structure analysis from the dual and multifaceted nature of the market for merchants and the market for users.
●If payment service providers become too locked in and exclusive trade practices become rampant, it will be harmful to consumers.
Opinions of Observers in "Cost Structure Analysis"
●Cost structure analysis and transparency are important, but with regard to optimization, in the previous survey by the Japan Fair Trade Commission, it was found that there were no Antimonopoly Act problems in the relationship between credit card companies and member stores. It is necessary to be fully aware of the fact that discussion of optimization differs depending on the position of the person involved in the discussion, and that it is a sensitive issue as to whether it will impede competition.
Here is a supplement.
☆ It says two years from the date of the Fair Trade Commission's important proposal, but I think this refers to the Antimonopoly Law Amendment Act in the first year of Reiwa. Click here for details
* Observers include the Fair Trade Commission of related ministries, the Financial Services Agency, and the Ministry of Economy, Trade and Industry. They are affiliated organizations EC Settlement Council, Cashless Promotion Council, Japan Credit Association, Japan Payment Service Association, Fintech Association, and Japan Credit Card Association.
Observers have said that there are no problems with the Antimonopoly Act , so I don't think there will be any immediate major changes in the cost structure. I saw the link when I learned about the Antimonopoly Act Revision Act in 2019. Various incidents and cases of the Fair Trade Commission aroused my interest.
I will end here for now.
In the next issue, we will discuss the opinions of committee members who provide payment services on topics related to areas of competition and cooperation.
Thank you for reading.