VietNamNet Bridge - Established in 2013, 1Pay is a startup project developed by MOG Vietnam. However, unlike other mobile payment platforms, which focus on the domestic market, 1Pay developers have decided to take risks to develop overseas.

Unlike technology firms, 1Pay focuses on attacking a niche market.

1Pay provides payment services to mobile app producers and users. The products 1Pay targets are mobile games. It allows game producers to open accounts on its system. 

Users, when downloading or buying items in games, can pay manufacturers through tools provided by 1Pay such as SMS, online payment or pre-paid cards.

When choosing to make payment via SMS, for example, game item buyers will make payment via 90xx and 8xxx phone numbers by sending the codes of scratch cards. 

Money will be remitted to 1Pay’s accounts. After that, 1Pay’s partners will get paid in accordance with profit sharing contracts signed between the parties.

Established in 2013, 1Pay is a startup project developed by MOG Vietnam. However, unlike other mobile payment platforms, which focus on the domestic market, 1Pay developers have decided to take risks to develop overseas.

The strength of 1Pay is that it can take full advantage of the holding company. In 2015, MOG, its holding company, cooperated with over 25 mobile game producers in Vietnam, recording about 50,000 app downloads and installations daily.

However, analysts said that 1Pay will meet challenges ahead. Though Vietnam has Asia’s fastest growth rate in the number of mobile device users, especially smartphones, people do not have the habit of buying goods and making payments with online tools.

The Vietnamese ‘cash’ culture is the reason why even Uber, the app relying on online tools, also has to accept payment in cash from Vietnamese customers. 

Cash is the chosen payment method in 90 percent of total transactions.

According to MOG Vietnam, 1Pay is officially available in Indonesia, providing mobile device-based payment for digital services.

The strategy 1Pay follows in Indonesia is allowing users in the market to make payments easily through local payment channels such as SMS, SMS Plus and Card when users want to buy more or upgrade services on similar services in Vietnam.

Vietnamese technology firms will meet problems when attacking the foreign market because they cannot fully exploit all sources of revenue from digital content products, as there is no payment platform that supports fee collection from users in international markets.

Because of this, Vietnamese businesses have to provide products free of charge in foreign markets and live on the sale of ads on Google. 

Analysts said that 1Pay takes a risk when conquering the Indonesian market because it will have to compete with Apple, the technology giant which has launched Apple Pay, the online payment app and e-wallet service.


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