论文总字数：24586字

The Development of Mobile Payment in Kazakhstan

by

Suleimen Aruzhan

Under the Supervision of Fei Zhong Lin

Submitted in Requirements for the Degree of Bachelor

International economics and trade Department

School of Overseas Education

Nanjing Tech University

June, 2019

Abstract

The use of mobile devices in Kazakhstan is getting higher and higher. Therefore, the development of mobile payment has been paid attention to. This study explores the development of mobile payment in Kazakhstan, mainly comparing the previous and current payment data of Kazakhstan mobile payment. Therefore, the study of Kazakhstan mobile payment is of great significance to Kazakhstan's science and technology and network, and it can also have certain significance for Kazakhstan's economic development. The reference research provide some clues. On this point, thesis presents the findings of a review of literature aimed at identifying the key research themes, methodologies research and SWOT analysis as well.

Key words: Kazakhstan; mobile payment; development, third-party platform

Table of Contents

Abstract I

Chapter I Introduction 1

1.1 Research background 1

1.2 Literature review 1

1.2.1 The introduction of mobile payment 1

1.2.2 The history of mobile payment in Kazakhstan 2

1.2.3 The development of mobile payment in Kazakhstan 3

1.3 Research methodolgy 3

1.3.1 Document research 3

1.3.2 Contrast amp; Deduction. 3

Chapter II The Developement history of Mobile Payment Services in Kazakhstan 5

2.1 Stage I (1950-2011) 5

2.2 Stage II (2011-now) 5

Chapter III The environment of the mobile payment industry in Kazakhstan 7

3.1 The Opportunities of third-party platform payment in Kazakhstan 7

3.2 The Threats of third-party platform payment in Kazakhstan 7

3.3 Summary 8

Chapter IV The Strengthens and Weaknesses of the mobile payment industry in Kazakhstan 9

4.1 The Strengthens of the third-party platform payment in Kazakhstan 9

4.2 The Weaknesses of the third-party platform payment in Kazakhstan. 9

4.3 Summary 10

Chapter V Conclusions and Implications 11

5.1 Conclusions 11

5.2 Implications 11

References 13

Chapter I Introduction

1.1 Research background

In recent years, Kazakhstan has actively followed the trend of e-finance and network industry development, and the number of residents using mobile payment systems has continued to grow. Despite the emergence of online banking 13 years ago, the development of mobile banking, e-money and banking terminals between Kazakhstan is still in its infancy. Residents are not ready to bid farewell to traditional currencies when they handle financial business.

Mobile payment is an important step for Kazakhstan because it offers small and medium businesses a solution that will significantly improve their sales and turnover.

Mobile payment is an important step in Kazakhstan because it provides SMEs with a solution that can significantly increase sales and turnover. Kelia, a subsidiary of TeliaSonera, is the first mobile payment terminal to offer mobile phones in Kazakhstan. The operator, the service can be used anywhere in the mobile coverage.

The research objective of this course is the organization and development of his scheduled payment. This paper analyzes the development of mobile payment in the Republic of Kazakhstan and analyzes the development of mobile payment in Kazakhstan by SWOT analysis of mobile payment in Kazakhstan. The opportunity for mobile payment in Kazakhstan is that mobile payment is supported by the government and merchants. This mobile payment device is set up in various places in Kazakhstan, which is beneficial to the development of mobile payment in Kazakhstan, and its external threat is that various industries Between, the competitiveness of third-party mobile payment, which will cause the price change of mobile payment; and its advantage is to save customers time and expense, and its shortcoming is that customers have low trust in mobile payment. Through these questions, the author proposes relevant countermeasures for the development of mobile payment.

1.2 Literature review

1.2.1 The introduction of mobile payment

Hwang R J, Shiau S H (2007) think that, mobile payment (also referred to as mobile money, mobile money transfer, and mobile wallet) generally refer to payment services operated under financial regulation and performed from or via a mobile device. Instead of paying with cash, cheque, or credit cards, a consumer can use a mobile to pay for a wide range of services and digital or hard goods. Although the concept of using non-coin-based currency systems has a long history. it is only recently that the technology to support such systems has become widely available.^[1] G Lao ，H Liu (2011) commend that, the mobile payment system is a mechanism for making payments and money transfers from one bank account to another, according to the laws, rules and standards established in this country. The effectiveness of the functioning of financial markets and the banking sector of the economy largely depends on the country's current payment system.^[2] E Lai ，S Fong ，Y Hang  (2008) believe that, mobile payments are becoming a key instrument for PSPs and other market participants, in order to achieve new growth opportunities, according to the European Payments Council (EPC). The EPC states that "new technology solutions provide a direct improvement to the operations efficiency, ultimately resulting in cost savings and in an increase in business volume".^[3]

Mobile payment is being adopted all over the world in different ways. The first patent exclusively defined "Mobile Payment System" was filed in 2000 (Feig, Yang,2007). ^[4] In 2008, the combined market for all types of mobile payments was projected to reach more than $600 billion globally by 2013. which would be double the figure as of February 2011. The mobile payment market for goods and services, excluding contactless payments using near field communication (NFC) and money transfers, is expected to exceed $300 billion globally by 2013. Investment on mobile money services is expected to grow by 22.2% during the next two years across the globe. It will result in revenue share of mobile money reaching up to 9% by 2018. ^[5]Asia and Africa will observe significant growth for mobile money with technological innovation and focus on interoperability emerging as prominent trends by 2018 (Y Yang ，Y Liu ，H Li ).^[6]

1.2.2 The history of mobile payment in Kazakhstan

J Fan ，M Shao ，Y Li (2018) think that, Kazakhstan National financial mobile payment systems include remote financial services and banking (non-bank) terminals, which are divided into mobile (mobile and SMS) services, non-bank mobile services (online banking) and non-bank non-mobile services (electronic money). Non-cash payments can be made directly via the Internet or via a mobile phone using a regular mobile phone, smartphone, tablet or computer. Banks currently use POS machines, printers, ATMs, and bank multifunction machines.^[13]

H Tian and D Liu (2012)index that, designed and acting in the Republic of Kazakhstan the national payment system has the advantage of payment systems of other countries of the Commonwealth of Independent States (CIS) and may be offered as a base for the establishment of a common scheme first for Eurasian Customs Union (EACU) and then the CIS.^[4]

YG Sui ，Y Wei and JH Guo (2011)think that, each payment system in Kazakhstan has its own features of operating and is focused on specific market segments. In the ISMT, systemically important payment system of the country, the settlement of payments in conducted in real time, i.e. each payment document after entry into the system is processed immediately within few seconds. The system operates all days of a week except holidays and weekends^[5]

1.2.3 The development of mobile payment in Kazakhstan

In the mid-1990s, with the emergence of bank ATMs and POS machines in Kazakhstan, the electronic payment service has undergone major changes, and the bank's multi-function machines have also achieved nothing. In 2000, online banking appeared. In 2005, the People’s Bank of China launched the mobile banking business. In 2011, electronic money and the first payment system appeared. Since then, Ha интервэйл Co., Ltd. and the People's Bank jointly launched the MyPay system, and Regional Payment Systems Ltd. introduced HandyPay. As a result, mobile e-commerce began to appear. Three e-wallets appeared: KZM (Harbin United Bank), Tau e-wallet and Russian QIWI e-wallet.^[9]

XH Yang and L Wang (2014) report that proclamation of sovereignty by Kazakhstan and transition to a market economy resulted in the need of structural reform of the economy, including the financial system. Major importance then was construction of a fundamentally new payment system with distinguished reliability and efficiency. The main objectives of the payment system reforms of the Republic of Kazakhstan were the acceleration of payments settlements between banks and their customers (at the beginning of the 90s completion of one payment took 3-12 days), as well as a wide introduction to circulation of various payment instruments (orders, checks, payment requests). In construction of a modern payment system, the National Bank of Kazakhstan studied the experience of the European Union, Eastern Europe, Baltic and CIS countries (XH Yang ，L Wang,2014).^[8]

1.3 Research methodolgy

1.3.1 Document research

During the research, the author read a large number of domestic and foreign literatures on the development of mobile payment in Kazakhstan. He conducted extensive reading and classic literature intensive reading, and found his own entry point from the previous literature results. Finding relevant restrictive factors and expanding them provides a solid theoretical basis for this study.

1.3.2 Contrast amp; Deduction.

In the analysis of the literature and materials of this thesis, I have used the investigation and research method. The main ways are: library books, journal borrowing, and HowNet's network approach to obtain relevant literature and data, and analyze them to improve the paper through specific data. Persuasive.

Chapter II The Developement history of Mobile Payment Services in Kazakhstan

2.1 Stage I (1950-2011)

In the mid-1990s, with the emergence of bank ATMs and POS machines in Kazakhstan, the electronic payment service has undergone major changes, and the bank's multi-function machines have also achieved nothing. In 2000, online banking appeared. In 2005, the People’s Bank of China launched the mobile banking business. In 2011, electronic money and the first payment system appeared. Since then, Ha интервэйл Co., Ltd. and the People's Bank jointly launched the MyPay system, and Regional Payment Systems Ltd. introduced HandyPay. As a result, mobile e-commerce began to appear. Three e-wallets appeared: KZM (Harbin United Bank), Tau e-wallet and Russian QIWI e-wallet.

2.2 Stage II (2011-now)

There are currently 11 payment systems on the market: National Payment System, MyPay, HandyPay, KZM, Tau Wallet, QIWI, iKassa.kz, Quickpay, M'Pay, KiberPlat, Taulink and Yandex Money. What is urgently needed is the mobile phone operator's payment function (mobile payment service), which is a direct payment from the operator rather than a payment card. It is still difficult to promote the service at present, because it is difficult to obtain a bank license in Kazakhstan.

In 2012, 24 of the 38 banks and the Kazakhstan Post Office issued payment cards, and the international payment cards issued by the secondary banks accounted for 95.1%. Twelve banks provide services for payment and transfer via the Internet, and six of them require payment cards for business. Six banks opened mobile banking financial services, four of which used payment cards, and only two had electronic money.^[12]

The mobile terminal is a compact card reader that can be connected to an iOS or Android-based smartphone and works through the free app K-Pay available on the AppStore or Play Market. The terminal is connected to the phone through the headphone port and has an optional stand for more stable fixing.

There has been a dynamic increase in cashless payments through Kazakhstan bank cards. As of December 1, 2017, the bank issued 15.1 million payment cards, holding more than 13.4 million. The main share of non-cash payments in 2013 was through POS terminals and ATMs. As of the end of 2013, the number of POS terminals installed by entrepreneurs increased by 46.8% to 40,117. The number of outlets installing POS terminals has also increased significantly by 58%, with a total of 33,709 units as of the end of 2017.^[13]

Chapter III The environment of the mobile payment industry in Kazakhstan

SWOT is a strategic analysis method. Through comprehensive evaluation and analysis of the advantages, disadvantages, opportunities and threats of the analyzed objects, the conclusions are drawn. Through the organic combination of internal resources and external environment, the resource advantages of the analyzed objects are clearly determined. Defects, understand the opportunities and challenges, and adjust the methods and resources at both the strategic and tactical levels to ensure the implementation of the analyzed objects to achieve the desired goals.

This study introduces SWOT analysis of mobile payment by taking mobile payment software-- RАHМЕТ APP as a case study. This chapter mainly analyzes the opportunities and threats of RAHMET APP.

RАHМЕТ APP is a kind of recommendation and discount software that has been diffracted with the development of technology. You can use this software to realize the discount or cashback function by ordering or paying on the mobile phone, which brings great convenience to customers.

3.1 The Opportunities of third-party platform payment in Kazakhstan

The acceptance of mobile advertising by commercial advertising also plays an important role in the development of electronic payment systems. As of the end of 2016, a total of 47,173 trade and service companies signed mobile payment agreements with banks. There are five WAN mobile payment services and trade outlets, mainly in Almaty (34.6%) and Astana (14.4%).

At present, the Kazakhstan market is hot, commercial advertising of RAHMET(PAXMET) APP can expand the publicity, increase the number of users, social networking sites, etc., to expand the website; and investors value the online market in Kazakhstan;

3.2 The Threats of third-party platform payment in Kazakhstan

Kazakhstan's mobile payment app is becoming a hot product, and the mobile communication market is growing rapidly. This trend is expected to continue for several years. However, in the future, the market growth rate will slow down, competition will intensify, and prices will gradually decline. Currently, RAHMET APP users place higher demands on the operational network. Competition will of course lead to price declines. When the market has only one-to-one competitors, the usage of the app declines. Once a third operator similar to the RAHMET APP appears, the number of mobile payment apps may drop significantly.

3.3 Summary

The opportunity for mobile payment in Kazakhstan is that mobile payment is supported by the government and merchants. This mobile payment device is set up in various places in Kazakhstan, which is beneficial to the development of mobile payment in Kazakhstan, and its external threat is that various industries Between, the competitiveness of third-party mobile payments, which will cause price changes in mobile payments.

Chapter IV The Strengthens and Weaknesses of the mobile payment industry in Kazakhstan

This chapter mainly analyzes the strengthens and weakness of RAHMET APP.

4.1 The Strengthens of the third-party platform payment in Kazakhstan

The various ways in which payments are made using innovative technologies are rapidly evolving. In the mobile payment service market, merchants have opened services and Java attachment services. Mobile payments can save consumers a lot of time and effort to pay a flat fee and reduce face-to-face service. The fees charged by the bank increase the transparency of the transaction.

РАХМЕТ(RAHMET) APP is a software that can be paid with a bank card. It not only brings convenience to users, but also saves customers time and cost, and also has profits.

If you compare RAHMET with China's XX mobile payment software, both companies' APPs can save customers time and money, and provide some good suggestions for customers. The purpose of both is the same, but RAHMET still has There is a lot of room for improvement. For example, in terms of user comments and feedback, for example ALIPAY software has a very detailed comment and feedback platform, and because of the large number of people, the number of comments is much higher than that of Kazakhstan, so that businesses can be better. Improve the software.

4.2 The Weaknesses of the third-party platform payment in Kazakhstan.

Residents’ trust in non-cash electronic payments over the Internet is low. According to the survey, only 37% of residents in Kazakhstan trust non-cash online electronic payment methods in 2017. 61.1% are willing to pay with a bank card, and 22.4% are willing to pay in electronic money. The least attractive payment method is SMS payment, with its supporters accounting for 11.3%.

The main factor limiting the development of mobile payments is that most mobile payments in Kazakhstan do not have network capabilities. The attitude of the Kazakhstan Bank is relatively conservative. Worried about third-party illegal use of mobile payments to bring losses to residents and businesses, and choose to disable the network function by default. In developed countries to prevent risks, mobile payments have an online payment function by default, but you can also submit an application to close the network. Kazakhstan is the opposite.

RАHМЕТ APP is a new type of software due to the distrust of mobile payment software by Kazakhstan users. This is not a good trust, only a few people are using it. In addition, due to the limitations of the Kazakhstan network, the geographical nature of software development cannot be achieved. It exists only in the two main cities of Kazakhstan, Astana and Almaty, and there are not many introductions of merchants or locations. Big data is incomplete and insufficient content. This makes it impossible for users to experience the convenience of the software and the software cannot get positive feedback.

Here, comparing the ALIPAY APP with the PAHMET APP, the regional spread of PАHМЕТAPP does not reach ALIPAY APP. As a large population country, ALIPAY APP can be used in every city, except for rural and remote areas. It reached 85%, while RАHМЕТ APP only existed in two cities.

4.3 Summary

In Kazakhstan, the SWOT analysis of mobile payment can be known that mobile payment itself is convenient for residents, but nowadays, residents who use mobile payment in Kazakhstan still think that the disadvantages outweigh the benefits, and mobile payment has many advantages, but due to The impact of Kazakhstan's economic development, mobile payment can not be all-round, there are still many problems, so it requires active cooperation between the government, businesses and residents. Only then can mobile payment be developed.

Chapter V Conclusions and Implications

5.1 Conclusions

In conclusion, Kazakhstan has been paying attention to the development trend of e-finance and network industry, and the number of residents using mobile payment systems continues to grow. However, the development of mobile banking, electronic money and banking terminals between Kazakhstan is still in its infancy. After SWOT analysis of mobile payment in Kazakhstan, it is learned that mobile payment can use commercial advertisements to attract more residents to use mobile payment; threats are threats of other competing enterprises; internal analysis knows that the superiority of mobile payment is Customers provide convenience, saving users time and money costs, and the lack of regional limitations. Therefore, active cooperation between the government, enterprises and residents is needed. Only in this way can mobile payment be developed.

5.2 Implications

The slow development of the mobile payment industry is often not caused by the lack of advanced mobile payment equipment. For the issue of mobile payment, all departments should vigorously coordinate and develop the business standards and technologies of relevant organizations, and implement different security mechanisms in mobile payment systems. Coordinate and organize the conversion between mobile payment systems to improve the efficiency of mutual cooperation between telecommunication service providers and users.

Customers are always on the move, and most of them are used to putting a “all-round remote control” (including mobile payment service) that can be operated and managed in any corner of the world, and such devices (mobile) already have However, the service is not perfect enough.

Innovative methods of remote access to mobile payments and other services via electronic terminals and systems are becoming one of the main factors influencing.

For example, if there is no extensive network mobile payment office payment can attract more customers, through the Internet, mobile banking and electronic terminals to introduce services. Therefore, consideration must be given to assessing the status and development prospects of a national science and technology sector, including the infrastructure operator of the payment system account, mobile communications, and the availability and availability of electronic terminals as a major part of the development of mobile payments.

The K-Pay terminal is suitable for all areas available for the Kcell mobile network and can also be used via WLAN. Kazkommertsbank has become a service partner of Kcell, which accepts VISA and MasterCard.

References

[1] Hwang R J , Shiau S H , Jan D F . A new mobile payment scheme for roaming services[J]. Electronic Commerce Research and Applications, 2007, 6(2):184-191.

[2] Lao G , Liu H . Study of Mobile Payment Business Model Based on Third-Party Mobile Payment Service Provider[C]// International Conference on Management amp; Service Science. IEEE, 2011.

[3] Lai E , Fong S , Hang Y . Supporting mobile payment QOS by data mining GSM network traffic.[C]// International Conference on Information Integration amp; Web-based Applications amp; Services. ACM, 2008.

[4] Tian H , Liu D . Research on ECP3 Mobile-Payment[J]. Advances in Information Sciences amp; Service Sciences, 2012, 4(5):703-707.

[5] Sui Y G , Wei Y , Guo J H . A Mobile Payment Based on-Street Parking Management System[J]. Advanced Materials Research, 2011, 378-379:319-322.

[6] Yang Y , Liu Y , Li H , et al. Understanding perceived risks in mobile payment acceptance[J]. Industrial Management amp; Data Systems, 2015, 115(2):253-269.

[7] Hu J Y , Sueng C C , Liao W H , et al. Android-based mobile payment service protected by 3-factor authentication and virtual private ad hoc networking[C]// Computing, Communications amp; Applications Conference. IEEE, 2012.

[8] Yang X H , Wang L . Research and Design of Mobile Payment Platform Based on Hybrid APP Technology[J]. Advanced Materials Research, 2014, 1044-1045:1262-1265.

[9] Hou Y R , Wang Y H . Telecom Operators O2O Model and Suggestions to Mobile Payment[C]// Proceedings of the 2013 International Conference on Management of e-Commerce and e-Government. IEEE Computer Society, 2013.

[10] Ma L , You Y . The Research on Mobile Payment Marketing of China[M]// Advances in Applied Economics, Business and Development. Springer Berlin Heidelberg, 2011.

[11] Gerdes M , Holtmanns S . Mobile Payment Solutions[M]// Towards the E-Society. Springer US, 2002.

[12] Gao J , Kulkarni V , Ranavat H , et al. A 2D Barcode-Based Mobile Payment System[C]// 2009 Third International Conference on Multimedia and Ubiquitous Engineering, MUE 2009, Qingdao, China, June 4-6, 2009. IEEE, 2009.

[13] Fan J , Shao M , Li Y , et al. Understanding users’ attitude toward mobile payment use: A comparative study between China and the USA[J]. Industrial Management amp; Data Systems, 2018, 118(1):00-00.

[14] Yan W , Wong D S , Huaxiong W . Employ a Mobile Agent for Making a Payment[J]. Mobile Information Systems, 2008, 4(1):51-68.

请支付后下载全文，论文总字数：24586字