NAVER Pay Quick Settlement Expands to Third-Party Stores, Providing Industry-First Cash Flow Support to Order-type Merch
NAVER Pay Quick Settlement Expands to Third-Party Stores, Providing Industry-First Cash Flow Support to Order-type Merch
NAVER Pay Quick Settlement Expands to Third-Party Stores, Providing Industry-First Cash Flow Support to Order-type Merchants
- Order-type merchants that integrate NAVER Pay’s Order Management can use the quick settlement service free of charge, opening the opportunity to about 14,000 merchants
- Quick settlement becomes the industry’s representative mutual growth program, having provided KRW 24.7 trillion in quick settlements to 100,000 business owners to date
July 6, 2023
Third-party merchants that have integrated NAVER Pay can now enjoy the benefits of the quick settlement service, allowing them to receive payments the day after the orders are collected for shipping. NAVER FINANCIAL is the first in the industry to provide a quick settlement service for free to external online stores.
On July 6, NAVER FINANCIAL (CEO Park Sang-jin) announced the expansion of its “NAVER Pay Quick Settlement” to order-type merchants, providing a valuable cash flow solution for online businesses. Starting today, order-type
merchants that have integrated NAVER Pay’s order management service are eligible for application to use the quick settlement service.
[Note] Order-type merchants are third-party stores that use NAVER Pay’s Order Management service. Through Order Management, users can log in with their NAVER ID and place orders with NAVER Pay, and all processes, including shipping, exchanges, returns, reviews, and point accumulation, are conducted through NAVER Pay.
The service’s benefits and application requirements are the same as for Smart Store. Order-type merchants that meet the requirements can conveniently apply online without submitting additional documents and use the service free of charge. Currently, around 14,000 order-type merchants that have met the application criteria are eligible for quick settlement benefits.
[Note] Quick settlement is available to business owners who have had at least 20 transactions per month for the last three consecutive months and a return rate of less than 20%, and they can use the service from the day after applying.
NAVER Pay’s quick settlement service pays out 100% of the settlement amount the day after the orders are collected for shipping and three days after payment is made. The service supports online businesses struggling with cash flow and has become a leading program in the industry for mutual growth. By implementing a fraud detection system (FDS) that identifies irregular transactions such as cross trading, the payment cycle, which ranges from 7 to 50 days depending on the e-commerce platform, has been drastically reduced to achieve the shortest cycle globally. The service has also continuously eased application requirements for improved accessibility to business owners.
Since its launch in December 2020, the quick settlement service has benefited approximately 100,000 Smart Store owners as of June this year, 91% of which are small and medium-sized enterprises (SMEs) with relatively small sales. The total amount of Smart Store settlements paid through quick settlement has reached KRW 24.7 trillion, and in June alone, about 45% of the transactions settled in Smart Store were processed using this service.
A NAVER FINANCIAL representative said, “Leveraging the shipping information provided through NAVER Pay’s Order Management service and the advanced FDS model, we successfully introduced quick settlement to third-party stores beyond Smart Stores. We hope that more online SMEs will utilize the quick settlement service to improve their cash flow management.” <END>