LG Electronics unleashes mobile payments in South Korea
LG Pay offered first as a service that allows users to pay offline in the same way as a credit card (Image source: LG Electronics)
Watch out Samsung Pay, but South Korean titan LG Electronics has unleashed its mobile payment service in the country.
Called LG Pay, it will be offered first as a service that allows users to pay offline in the same way as a credit card. Its use is limited at the moment to Shinhan, KB, BC and Lotte card companies in South Korea. LG says It will be extended to all card companies in the country by September.
LG says it offers “high levels of security” as payments have to be made by fingerprint. Users of the LG G6 smartphone will find they are already equipped with the LG Pay hardware, so can use the service through their next software update. Not surprisingly, LG says it plans to continue expanding products that support LG Pay.
LG Pay users can register up to ten credit cards and other cards. For the latter, these include various membership cards, such as mobile carriers and retail stores.
In addition to its offline payments, LG plans to expand its LG Pay function by offering various services such as online payment and banking services. No specifics or timelines were given – which is pretty much the norm nowadays.
LG has also unleashed its marketing minions to promote its service. LG will offer smart watches, Bluetooth headsets and other gifts for customers who have captured SNS shots of an LG Pay screen for a limited period. Appeal to greed! Good idea.
The idea that a non-bank or non-payment specialist could launch its own payments service is not surprising. LG can bring its name, advertising budgets and captive customer base into its fold – and potentially keep them there.
The payments space just keeps getting more and more crowded. But there can be casualties now and then.
