Bangkok Bank (BBL) has expanded payment service to cardless QR codes through the e-wallet platform, targeting a new customer base under a partnership strategy.
BBL, in collaboration with Thai Payment Network and China-based UnionPay, conducted a soft launch of its e-wallet app, BBL BeWallet, offering a cashless debit card via QR code payment under the Europay, Mastercard and Visa standards.
As a pilot project, the service was offered first in Singapore through merchant networks of United Overseas Bank, focusing on Thais visiting Singapore and spending money in the city state.
For the next phase, the service is expected to support payment in Asean countries such as Thailand, Vietnam and Malaysia for outbound and inbound payments, as well as in China once the bank receives approval from the Bank of Thailand, said Shoke Na Ranong, executive vice-president and card division manager.
The central bank will spend more time testing the readiness of the service before allowing an official roll-out. However, the service does not need to be tested in the central bank's regulatory sandbox.
Some 6 million merchants worldwide accept UnionPay cards, of which 20,000 are in Asean markets.
BBL expects to expand its customer base in the region under the cooperation with card service providers. It also predicts greater business opportunities to cross-sell products and services to clients.
E-wallet payment service will not contribute significantly to the bank's direct income, but it offers options for expanding into other value-added financial services and generating revenue, especially for digital lending.
The e-wallet platform can also become a new channel to raise deposits.
"The bank's core businesses are deposits and lending," Mr Shoke said. "BBL will serve as a financial gateway offering e-wallet service to expand its core banking business."
Amid growth in online shopping, the bank plans to expand its debit and credit card businesses. In addition to cardless payment service, BBL wants to work with an e-marketplace and logistics partner to develop this segment.