Vipps MobilePay rolls out P2P payment across the Nordic countries

Vipps MobilePay announces the launch of a private-to-private payment solution available in the Nordic countries. The aim is to offer a fluid, simplified mobile payment solution that can be operated in Norway, Denmark, Finland and Sweden. This news is the culmination of a long process that began in 2021 with a partnership between the players.

FACTS

• Vipps MobilePay has launched a new pear-to-pear (P2P) payment solution in the Nordic countries.
• The solution facilitates payments between individuals, and is available in Norway, Denmark and Finland. Vipps previously operated in Norway, while MobilePay offered its services in Denmark and Finland. The merger between the two fintechs has therefore brought together the areas they operate in, to offer a global solution.
• All you have to do to make a payment is register on the dedicated application and enter the recipient's telephone number.
• In terms of charges, cross-border payments will be billed at 4% of the transaction amount, and banks may pay exchange fees between currencies. However, receipt is free of charge for the beneficiary.
• The solution is also set to be extended to merchant payments. 350,000 merchants already use Vipps MobilePay solutions, which should facilitate deployment.

CHALLENGES

• Bringing Nordic countries closer together: The aim of this solution is to simplify transfers between northern European countries. Previously, for example, individuals had to enter the beneficiary's IBAN. Vipps and MobilePay offer an easier-to-use solution, which should also make cross-border exchanges much smoother.
• Sweden soon integrated: Vipps MobilePay has already announced that Sweden will also be integrated into the solution. Users will be able to download the Vipps application this autumn and join the Nordic network. Sweden is the largest of the Nordic countries, which is why it is so important to establish a presence there.

MARKET PERSPECTIVE

• The rapprochement between the two players began in 2021 with a partnership between Vipps, MobilePay, and Pivo. The aim was to overcome the disparity between standards and the different solutions offered by payment players, by offering a global mobile payment solution in Northern countries.
• A race is currently underway to impose a European payment solution. Vipps MobilePay is thus competing locally against a more global initiative: EPI. In Spain, Bizum is also expanding.
• The multiplication of major regional players could indeed slow down the adoption of a product proposed at European level.