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[Alpha Biz=(Chicago) Reporter Kim Jisun] There is a controversy over expedient rebates as marketing by VAN agents to sell Near Field Communication (NFC) terminals that can be paid by Apple Pay shows signs of overheating.
According to the industry on the 11th, some van agents are carrying out advertisements that include the phrase that the POS system and paper will be provided free of charge when purchasing a terminal that supports Apple Pay. It emphasizes the benefits of purchasing NFC terminals such as 'If you buy an Apple Pay terminal, you can buy OOForce', 'Apple Pay payment, free paper support', etc.
"As Apple Pay is released in South Korea, demand for NFC payment terminals is steady," an industry source said. "Realtors also think this is a new opportunity, so related sales and marketing are being strengthened in areas where Apple Pay users are concentrated."
As the new handset market opened with the landing of Apple Pay, competition for benefits such as handset discounts is intensifying at sales sites. The government will also supply NFC terminals to small merchants.
A VAN industry official said, "Most of the franchises are less than 300 million won in Korea, so I don't think there will be a big problem with the rebate," he said. "However, if you buy a NFC terminal, advertising or marketing such as providing a force system or paper for free can be seen as a 'rebate benefit' depending on the point of view."
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
