Using the strengths honed in our telecommunications business, we are taking steps to create and expand innovative new businesses in collaboration with investees of our parent company, SoftBank Group Corp., and powerful companies both inside and outside Japan.
Three competitive advantages
1. Dominant number of customer touchpoints
The Group possesses one of the largest user bases in Japan across a wide range of fields, including telecommunications, e-commerce, payment services, and social media. Moreover, it has mobile phone stores across the country serving as a touchpoint with consumers, and has also worked with nearly all of the large enterprises in Japan. Through customer touchpoints across multiple fronts, with both individuals and enterprises, in-person and online, our new businesses are able to reach an extensive range of consumers and companies from the early phases of launch.
2. Cooperation with SoftBank Group investees and other companies
Our parent company, SoftBank Group Corp. invests in unicorn companies worldwide through funds and other means. As a member of the SoftBank Group, we are able to collaborate with such unicorn companies and develop cutting-edge technologies and business models into new businesses.
3. Powerful sales and technological capabilities
Our marketing team boasts strong business capabilities, being well known for the way it explosively popularized ADSL in Japan in the early 2000s through ground-breaking sales methods. We have also made sure to secure engineering human resources. The total number of engineers in our group is more than 10,000. Utilizing these powerful sales and technological capabilities, we can rapidly launch new businesses.
- *Number of engineers: Total number of engineering employees of SoftBank Corp., Yahoo Japan Corporation, and LINE Corporation (as of March 2022)
PayPay was launched in 2018, combining the marketing capabilities of SoftBank Corp. and the development capabilities of Yahoo Japan, with technological support from Paytm, a global cashless payment business which is an investee of the fund in which SoftBank Group Corp. invests.
PayPay is expanding its profits by rolling out various services from its starting point of cashless payments. It has already started personal loan and investment services for users, and will further expand its service lineup focusing on finance in the future. We started charging the payment system fees to small and medium-sized merchants from October 2021, aiming to continue to expand the number of merchants through the lowest level fee rate in the industry and special campaigns.
The primary advantage of PayPay is its product development capabilities. By insisting on in-house user interface development, currently we are providing updates at the pace of approximately once a week. It instantaneously adapts to changes in user needs while also continually enhancing security. And, utilizing our strong marketing capabilities, we are building a network of merchants broadly throughout Japan. Another unique advantage for PayPay is its ability to roll out highly original promotions. Each campaign has a clear goal, such as to raise recognition or tighten its position for everyday usage, implementing effective marketing geared to its business phases.