Starbucks is among the first RMS merchants to pioneer Atom’s flexible payment method through this partnership. Through this partnership between RMS and Atome, customers of Starbucks and other B2C merchants with BNPL enabled can benefit from flexible deferred payments, making their products more accessible.
Thanks to the partnership between Atome and RMS, the two companies wish to continue supporting merchants by offering a flexible, secure and transparent experience to their customers. To pay, users must first download the Atom app and create an account, before selecting Atom as their payment option at checkout.
Razer Fintech is one of the largest O2O (offline-to-online) digital payment networks in emerging markets. Its B2B (business-to-business) arm, RMS, includes RMS Online, a card processing gateway supporting global program cards and more than 110 payment methods; and RMS Offline, an offline payment network of over one million physical acceptance points across SEA.
Atom and RMS’ recent partnerships
Partnering with card networks, tech companies, and fintechs is one of the easy ways banks and credit unions can get new digital services. The payments landscape is changing at a rapid pace. This move towards cardless commerce has exposed businesses to a high risk of card fraud and chargebacks.
In the payments industry, a partner will assess the current climate, upcoming trends, the pros and cons of different gateways, and the scope of work required for each. Collaborating with other fintechs remains the factor that allows companies to move forward faster. The right kinds of fintech partnerships create opportunities to meet the demands of our common end users.
Since the start of 2022, Atom and RMS have signed partnership agreements that could benefit both themselves and their users. Atom has partnered with digital travel platform Agoda, helping travelers pay for their domestic travel accommodation in three interest-free payments; and more recently with payment processor PayMongo, offering API integration with retail websites or apps.
RMS, on the other hand, has become an acquirer of Discover Global Network to enable card acceptance at online merchants in Malaysia. Additionally, it has integrated Alipay+ for online and offline merchant touchpoints across Malaysia.
Defining the BNPL space in Asia
Asia is highly fragmented, with a large unbanked and underbanked population, especially in emerging markets such as Indonesia, Thailand and Vietnam. In the Asean bloc, there are about 290 million unbanked adults.
Jeremy Wong, Head of Strategic Partnerships at Atom, explained that SEA is also leading the shift in digital consumption, having added 60 million new digital consumers to the internet economy since the start of the pandemic. Retailers are partnering with BNPL platforms to tap into these emerging young digital consumers.
Despite the recent flurry of mergers and acquisitions as well as seemingly strong early investor interest, the BNPL industry in Asia-Pacific still faces an uphill battle to gain momentum and generate profits.
In 2021, for example, BNPL accounted for 3% of payment methods used in e-commerce, compared to 10% for credit cards. Malaysia has a BNPL share of 4% in e-commerce compared to 42% for credit cards. The Philippines is at 2% versus 16% for credit cards. BNPL accounted for 4% of e-commerce payment volume in Singapore, compared to 42% for credit cards.
To learn more about Atom, check out their profile in our business database.