#Japan #Tokyo #Contactless Payment #YTGATE #Payment Errors

Over 40% of Contactless Payment Users Experience Errors

A recent study conducted by YTGATE, a Tokyo-based company, highlights significant issues faced by contactless payment users in Japan. The nationwide survey, conducted on December 8, 2025, targeted 1,007 individuals aged between 10 and 70 who have used online shopping services. The findings indicate that over 45% of respondents using contactless payments have encountered payment errors, revealing underlying challenges in consumer digital transaction experiences.

Key Findings of the Survey

The survey delved into three primary areas: contactless payment errors, recurring payment issues, and the use of Japanese-issued cards for international transactions. The respondents reported various errors when utilizing contactless payment systems, with the most common causes being:
1. Communication Errors (58%): Frustrating interruptions in the transaction process.
2. Device Malfunctions (33.5%): Problems stemming from the terminal used to process the payments.
3. Card Defects (25.3%): Specific card-related issues contributing to transaction failures.

Moreover, the study found that 23.3% of respondents reported facing errors during subsequent payments after an initial successful transaction. The most common issues arose in cases involving:

• - Travel-related expenses (38.3%)
• - Commuter passes or tickets (36.6%)
• - Transportation charges (30.7%)

In addition, the survey revealed that 23% of users had experienced complications while using Japanese-issued cards overseas. The solutions consumers opted for included: 53.9% choosing to pay cash, 38.8% using different cards, and 28.9% withdrawing cash from local ATMs.

Detailed Insights

Research Methodology

The survey was conducted through internet research by Nouns Co., Ltd., with a representative sample from across Japan. Respondents were asked about their experiences and challenges when making various types of payments, both domestically and internationally.

Consumer Experience with Payment Errors

From the data collected, it became evident that consumers often struggle to identify the reasons behind payment errors. These errors can be attributed to various factors encompassing the merchant's terminal conditions, card specifications, and security verifications. Such situations create frustration and confusion among users, which may lead them to abandon transactions altogether.

Unexpected errors can significantly impact user behavior, leading to lost sales opportunities for merchants and e-commerce operators. Particularly concerning is the issue of recurring payments, where users may not immediately realize that payments have failed, possibly affecting their ongoing service subscriptions.

The Complexity of International Use

For overseas transactions, the intricacies of user experience become even more pronounced. The existing security measures in place to mitigate fraud can inadvertently result in successful payment attempts being rejected. While such systems are vital for preventing fraud, there's a clear need for continued improvements in user experience during critical transactions involving higher amounts or international use.

Implications for Stakeholders

The insights gained from this survey provide a roadmap for businesses and stakeholders involved in payment services. Collaboration among companies is crucial to developing an environment where consumers can confidently engage with payment systems without fear of unexpected failures.

YTGATE aims to contribute to enhancing the overall payment experience, advocating for education and industry research that supports these initiatives. Their mission, “Optimizing Payments, Connecting the World,” reflects their commitment to improving transaction efficiency and security for both domestic and international businesses.

As the payment landscape continues to evolve, addressing these consumer pain points will be paramount in fostering trust and satisfaction in digital commerce. The knowledge gained from this research can guide companies in creating more robust solutions that prioritize user experience while ensuring security against potential fraud.

Conclusion

This survey sheds light on the complexities of payment errors faced by users, emphasizing the need for industry-wide improvements. YTGATE encourages other stakeholders in the payment ecosystem to integrate these insights to create a seamless and secure payment experience for all. For any citations regarding this study, please refer to “YTGATE Consumer Behavior Study on Payment Errors 2025.”