PayPay is Japan’s leading QR code payment app, used by over 70 million people and accepted in stores nationwide. For merchants, it offers fast, secure transactions, lower cash-handling costs, and access to a customer base that prefers mobile payments over cash. This guide explains how PayPay works, what it costs to accept, and how to get started.
What is PayPay?
What happens when a mobile-first society meets a preference for precision? You get Japan’s leading QR code wallet: PayPay. As the most widely used Japanese mobile payment app, PayPay has grown into a local powerhouse by making cashless payment intuitive and widely accepted.
PayPay is backed by SoftBank and Yahoo Japan, giving it deep infrastructure and user acquisition power. It operates as a mobile-first payment app, with QR code technology at its core. Users can scan barcodes to pay at over 10 million locations across Japan—from small family-run restaurants to major convenience stores and online checkouts.
Not just for shopping, the app also supports peer-to-peer transfers, bill payments, online gaming purchases, and even ATM withdrawals. It has become a central wallet for many Japanese users who prefer fast, secure, and widely accepted digital payment options.
How does PayPay work?
At checkout, customers open the app, scan the merchant’s QR code, and confirm payment. That’s it. No card swipes. No PIN entry. No delays. The simplicity is what drives PayPay’s success, but it’s not just about speed.
The app offers a fully integrated loyalty ecosystem. Frequent use is rewarded with cashback offers, coupons, and stamp cards, all within the app’s interface. These incentives reinforce user engagement and help merchants retain customers.
Funding the PayPay wallet is straightforward. Users can top up via linked bank accounts, registered cards, or accumulated loyalty points. Integration with Japan’s banking infrastructure makes the experience seamless. The app also permits real-time balance checking and instant refunds for cancelled transactions.
Who uses PayPay and why it matters
With more than 70 million registered users as of 2025, PayPay commands a significant share of the Japanese QR code payment method market. It attracts a broad customer base, especially millennials and working-age adults, while also actively targeting younger users.
But it’s not just age that drives usage. The app is widely accepted at convenience stores, pharmacies, taxis, vending machines, and e-commerce sites. This ubiquity matters for global merchants: if you're selling in Japan, and you don't offer PayPay payment, you're missing a core local payment option.
Adoption also signals trust. As with consumers everywhere in the world, Japanese users value familiarity and reliability in financial tools. A presence in the PayPay app store directory gives merchants visibility and reputational credibility.
Is PayPay only for Japanese users?
Here’s where it gets nuanced. To set up PayPay, users must have a Japanese phone number and a local bank account. That means tourists and temporary visitors can’t register. The system is purpose-built for residents.
However, international merchants can still accept PayPay. For example, through Alipay+, PayPay becomes available to global merchants without needing a domestic entity. This connection gives merchants access to millions of users who are cashless and mobile-first.
So while you can't use PayPay in Japan as a tourist, you can absolutely accept it as a merchant, especially via platforms like Antom, which support PayPay account acceptance through a unified integration.
How does Paypay compare with a payment method like Paypal?
PayPay vs. PayPal
Two popular payment methods, two very different roles. Let’s take a look:
|
Feature |
PayPay |
PayPal |
|
Primary Market |
Japan |
Global |
|
User Verification |
Local phone and bank account |
Email and credit/debit cards |
|
Technology |
QR code payments (Japan) |
Card-based digital wallet |
|
Availability to tourists |
No |
Yes |
|
Loyalty Integration |
Yes |
Limited |
|
Alipay+ Compatibility |
Yes |
No |
Put simply, PayPay Japan is a QR code-based mobile payment system designed for the Japanese domestic market. PayPal is more of a universal digital payment solution. They address different use cases, and treating them interchangeably risks misalignment.
Why offer PayPay at checkout?
Japanese consumers increasingly demand local payment options tailored to their habits. PayPay has a strong track record of reducing card decline rates and increasing cashless transactions. Offering it also demonstrates localisation and understanding of user preferences. It’s not just a payment method, but a trust signal.
Moreover, PayPay is a brand that users already sign into daily. Adding it means lowering purchase resistance and building rapport. For any merchant targeting Japan, PayPay is essential.
How to accept PayPay as a merchant
With Antom, getting started is straightforward. As a partner of Alipay+, Antom lets you integrate PayPay payments with your existing setup through a single API.
The process includes:
- Fast onboarding via Antom Dashboard
- Real-time transaction insights and automated reporting
- Settlement to your local bank account in your preferred currency
- Support for other Alipay+ wallets such as Alipay and Kakao Pay
No new terminals. No local incorporation. Just plug and start accepting a QR code payment that resonates with Japan's mobile-first market.
Final thoughts
If Japan is part of your growth plan, your payment methods need to match local habits—and in Japan, that means including PayPay. It’s one of the most widely used QR code wallets in the country, and skipping it can lead to friction at checkout and lost sales.
With Antom, you can add PayPay acceptance alongside other alternative payment methods through a single integration. This gives you instant access to a market where QR payments are already mainstream, and PayPay is the wallet millions choose every day.
