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  5. Target Date and Time Determined for Requesting Businesses to Complete Switching to Standard Barcodes Called “JPQR” under the Consumer-Presented-Mode QR Code Payment System

Target Date and Time Determined for Requesting Businesses to Complete Switching to Standard Barcodes Called “JPQR” under the Consumer-Presented-Mode QR Code Payment System

April 26, 2019

The Payments Japan Association decided on a target date and time for requesting businesses to complete switching to the standard barcodes called “JPQR” under the consumer-presented-mode QR code payment system.

1. Background

Currently, specifications of QR codes and those of barcodes, used in code-based payments, vary among businesses (hereinafter referred to “code-payment companies”), which raises concerns over increased burdens on stores and the undermining of the user-friendliness of such codes. In response, the Payments Japan Association formulated the specifications of the standard QR codes and standard barcodes, collectively called “JPQR,” for the consumer-presented mode and the merchant-presented mode, respectively, and released them on March 29, 2019 (observers of this project: the Ministry of Economy, Trade and Industry (METI) and the Ministry of Internal Affairs and Communications (MIC)).

Concerning the consumer-presented mode of the code-based payment system, a mode in which a user presents a QR code through his/her smartphone to a store and the store reads the code by a device, most code-payment companies may face difficulties in changing their services between their current own, unique QR codes or barcodes and JPQR according to the level of introduction of these codes into stores. To overcome this challenge, all related businesses across Japan (for e.g., code-payment companies, gateway businesses and stores) need to simultaneously switch their conventional codes to JPQR. Taking into account the current state that an increasing number of stores have been introducing code-based payments or the consumer-presented-mode code-based payments into their services, it is desirable for related businesses to switch to JPQR at or close to the same time so as to reduce the social cost associated with this switching.

2. Setting the target date and time of the switching

The Payments Japan Association set the following target date and time for switching to JPQR concerning barcodes of the consumer-presented-mode code-based payment system considering that an increasing number of stores have already been adopting this technology.

On August 1, 2019, MIC will launch its Project for Promotion of Mobile Payment Models under the FY2018 Supplementary Budgets, an initiative concerning the code-based payment system using JPQR.

The study group of the Payments Japan Association will advance discussions on details of switching to JPQR with related businesses, such as specific actions and schedules. Future schedules for requesting businesses to switch to JPQR will be released on the website of the association below soon after they are fixed.

The association will continue to hold discussions on the timing of switching QR codes used in consumer-presented mode to JPQR.

3. Future dissemination and other efforts

METI will strive to disseminate JPQR and encourage businesses to use it in collaboration with the association and MIC.

Division in Charge

Cashless Payment Promotion Office, Commerce and Service Industry Policy Group