QR code payments: Everything you need to know for your business

If you’re a business that accepts cashless payments, displaying a QR code at your point-of-sale is a must. From hawker centres to eCommerce, QR code payments are everywhere in Singapore. 

A 2019 survey of Singapore residents discovered that 48% of 25 - 34-year-olds have used QR codes like NETS QR or DBS PayLah, a trend that reflects a consumer shift towards mobile wallet payments.¹

While cards remain the most popular payment method in Singapore², the number of mobile wallet users is projected to grow to 3.2 million by 2025.³ These apps have built-in QR scanning capabilities, so we can expect QR payments to grow with the number of mobile wallet users. 

In this article, we'll explain everything you need to know about QR payments and how they work. We'll also explore how Airwallex takes QR codes beyond the point-of-sale so your business can accept QR payments from GrabPay, Alipay and 160+ payment methods on invoices, eCommerce, and more. 

What is a QR code payment?

A QR code payment is a digital payment performed by scanning a QR (Quick Response) code via a smartphone app. This method provides a quick, secure way to pay without needing cash or cards. 

QR codes come in two types: static and dynamic. A static QR code holds fixed information, such as the business’s name.  Scanning a static QR code takes a customer to a payment page or their digital wallet, where they need to manually enter the payment amount. You’ll encounter static QR codes at hawker centres, donation drives, or peer-to-peer payments. 

Dynamic QR codes, on the other hand, are generated in real time with unique details for each transaction, such as the exact payment amount. The customer simply confirms the payment without needing to enter any additional information. Invoices, eCommerce, and some restaurants use dynamic QR codes for more accurate payments.

Popular QR code payment methods

As a business owner, it is essential to meet evolving consumer preferences for contactless payments. Here are some QR payment providers you should consider for your Singaporean and global customers.

Singapore QR code payment

Instead of displaying different codes for each provider, businesses can display a unified QR code called the Singapore Quick Response Code (SGQR). This national initiative consolidates various Singaporean and international payment providers into a single static QR code. 

With SGQR, businesses don’t need to print and display a separate QR code for each payment provider. Showing one QR code prevents confusion for customers at the point-of-sale too. 

To pay with SGQR, customers need to scan the QR code using their preferred payment app or digital wallet. They enter the payment details, verify your business’s name and complete the transaction.⁴

SGQR supports several Singaporean payment providers, such as PayNow, PayLah, and GrabPay: 

PayNow QR Code

PayNow is a digital payment service that allows users to send and receive money instantly. It enables quick cashless transactions between individuals and businesses, even if they use different bank accounts. 

DBS Business Account holders and OCBC business banking customers can use PayNow Corporate to receive customer payments via their Unique Entity Number (UEN). Here’s how to do it⁵:

• Register your UEN for PayNow corporate. On the DBS IDEAL app or OCBC Business app, navigate to “Manage PayNow”. Follow the instructions for registering your UEN.

• Generate a PayNow QR code. Once registered, follow the on-screen instructions to generate a PayNow QR code.  

Aiwallex also supports PayNow QR payments via our multi-currency payment gateway and Payment Links. This lets you create a dynamic PayNow QR code that you can display on your eCommerce payment page or invoice. 

PayLah QR Code 

The PayLah QR Code is a feature of the DBS PayLah app that allows users to receive payments quickly by generating a unique QR code linked to their PayLah account. 

DBS Business Account users can generate a PayLah QR code through DBS MAX portal, a payment gateway that lets account owners accept payments via PayNow, PayLah, and other methods.⁶ 

GrabPay QR

GrabPay Merchants can generate a QR code to accept payments via GrabPay and PayNow.⁷ You can also use the GrabPay QR code to offer buy-now-pay-later (BNPL) to customers via Grab PayLater. 

Grab users who scan the GrabPay QR will receive GrabReward points for their transaction, and the funds will be credited to your GrabMerchant account.⁸

You can generate a GrabPay QR via the GrabMerchant portal.⁹ Airwallex also lets you accept GrabPay payments via QR code.

International QR code payment

Alipay QR code

Alipay is used by approximately 660 million active users per month.¹⁰

If you sell to Chinese customers or tourists, you must offer Alipay to drive sales. Merchants display Alipay QR codes, enabling customers to scan and pay using their Alipay app.

Alipay lets you generate dynamic QR codes that auto-fills the payment fields with the transaction amount.¹¹ You may need the assistance of a developer to set up the flow for the dynamic QR code.¹²

Airwallex also makes it easy to accept Alipay payments directly on your website or eCommerce store. With Airwallex, you can embed a dynamic QR code on your payment page or share a payment link through social media or invoices—offering greater flexibility than traditional QR solutions. Your customers can then scan the QR code with their Alipay app and complete the payment in just a few taps—quick, seamless, and convenient.

WeChat Pay QR Code

WeChat Pay is a popular Chinese superapp and a great way to accept payments from Chinese customers. Once you sign up with WeChat Pay, generating a static QR code is simple and easily available on the merchant portal.¹³ You can also generate unique QR codes for individual purchases. 

Similarly, Airwallex can also support WeChat Pay payments. 

UnionPay QR Code

UnionPay’s QR code payment is accepted by over 16 million merchants in mainland China and is available in 31 countries, including Singapore.¹⁴ You can initiate payments using two modes:

• Push Mode, where the customer scans the merchant's QR code using their mobile app to make a payment

• Pull Mode, where the merchant scans the QR code in the customer's app to initiate the payment.

PayPal QR  

PayPal’s QR code lets you receive payments in person by simply displaying your QR code for customers to scan using the PayPal app. 

Creating and sharing a QR code is a straightforward process:¹⁵

• Open the PayPal app

• On the top right corner, tap on the QR code icon

• Create a QR code and ask your customer to scan with their PayPal app

​​Like SGQR, Airwallex supports a multi-payment method QR code solution. Additionally, Airwallex offers dynamic QR codes unique to each transaction, supports multiple e-wallets (e.g., WeChat Pay, Alipay) through a single integration, and easily integrates with eCommerce platforms like Shopify and WooCommerce.

Dynamic QR Codes: Each QR code embeds the exact payment amount, reducing errors and simplifying payments.

Flexible Payment Links: Businesses can share QR codes via email, social media, or invoices, making payments accessible without needing a website or extensive tech resources.

eCommerce Integration: Airwallex’s QR code solution integrates seamlessly with platforms like Shopify, offering businesses easy setup for QR payments on their online stores.

How QR code payments work

QR codes allow consumers to make transactions by scanning the code with their smartphones. Here’s how it happens:

Step 1: Business displays the QR code. Generate a QR code through your business account or your payment gateway. Then display the QR code at the point of sale, either on your POS device’s screen or printed on paper.

Step 2: Customer scans the QR code.  The customer uses their smartphone's camera or a payment app to scan the QR code.

Step 3: Customer enters payment details, or reviews pre-populated details.  Depending on the type of QR code, the customer will either be prompted to enter the payment amount or review the pre-populated merchant and payment 

Step 4: Customer completes the payment. Once the customer confirms the transaction, they can send and complete the payment.

Step 5: Payment is processed. The payment gateway processes the transaction, securely transferring the funds from the customer's account to the merchant.

Step 6: Transaction confirmation. Both the customer and the merchant receive confirmation that the payment has been successfully completed.

Benefits of QR code payments for businesses

QR codes are one of the simplest forms of contactless payments to set up - all you need is a smartphone. Here are some other ways your business can benefit from QR payments:

• Ease of implementation. QR payments require no significant investment in new hardware, and generating a static QR code from your payment provider takes only seconds. 

• Less friction during checkout. The fewer steps it takes for customers to check out, the more likely they’ll complete their transaction. With QR codes, customers don’t need to fumble for their wallets or key in a UEN; all they need is to scan with their mobile device.

• Accept payments without a digital storefront. No website or eCommerce store? No problem - QR codes and payment links can be embedded directly on invoices or shared through messaging apps. This lets customers make online payments without the hassle of bank transfers. 

• Smoother entry into new markets. QR codes give customers the flexibility to choose their preferred local payment method, which makes entering new markets easier. 

Accept 160+ local payment methods from 180+ countries with Airwallex

Airwallex’s all-in-one Business Account makes it easy to accept online payments worldwide, even if you don’t have a website or eCommerce store. 

Through Airwallex, you can generate a dynamic code that supports 160+ payment methods, such as  PayNow in Singapore, AliPay in China, and DuitNow QR in Malaysia. All payments are settled and held into 23+ multi-currency Global Accounts. You can withdraw these currencies into your bank account without converting to SGD, or use these currencies for international transfers or debit card transactions.

Our QR codes also come with 3D secure authentication and fraud protection, so you can protect yourself from fraudulent transactions while boosting your conversion rate. 

How to generate Airwallex QR codes 

There are 2 ways to generate dynamic Airwallex QR codes.

• Payment Links APIs. This streamlines QR code creation, allowing you to share dynamic QR codes through invoices, social media, and emails with minimal tech resources. Singaporean businesses like Wine Kin have used Airwallex’s Payment Links to generate online sales via WhatsApp.

• Payment Gateway. eCommerce businesses or those with tech resources may prefer to use the Payment Gateway. Our Payment Gateway displays a QR code option on your checkout page, allowing shoppers to scan and pay through supported e-wallets like WeChat, Alipay, etc. Our documentation outlines the steps for generating QR codes for guest checkout and registered user checkout journeys.

Final thoughts

QR payments are widely used in Singapore and Southeast Asia, and bring benefits to customers and businesses alike. For customers, QR codes offer a quick and convenient way to pay without cash or physical cards. For businesses, QR codes streamline the payment process, especially with initiatives like SGQR and companies like Airwallex. 

Brick-and-mortar businesses in Singapore can now accept a range of payment methods using the static SGQR code. For online businesses, Airwallex offers a seamless way to enable dynamic QR payments across multiple digital channels.

With Airwallex, you can offer QR code payments even if you don’t have a website or technical resources for a payment gateway. Our Payment Links let you send QR codes via emails, WhatsApp messages, or social media. You can even embed dynamic QR codes into branded invoices. 

Airwallex also has a Payment Gateway that supports QR payments for eCommerce businesses . The QR Code Element allows you to embed a dynamic QR code checkout option on your store’s payment page.

However, Airwallex is more than just a way to accept QR code payments. We’re an end-to-end financial platform that lets businesses enter new markets quickly and save on currency conversion through the following services: 

• 23+ multi-currency accounts. Instantly open an account in more than 60 countries with local bank details (so you don’t have to open bank accounts in markets where you operate) 

• Fast, low-cost transfers. Pay zero or close to zero fees for international transfers to 110+ countries when you use local payment rails. 90% of transfers arrive on the same day. 

• Interbank exchange rates. Reduced foreign exchange risk with interbank exchange rates and risk management solutions 

• Multi-currency cards. 1% unlimited cashback on all local and international spend with the Airwallex Borderless Card, on all categories like SAAS subscriptions or travel expenses.

Open a free Airwallex Business Account and start offering your customers a secure, convenient way to pay. 

Frequently asked questions

1. What is the difference between PayNow QR and SGQR?

The difference between PayNow QR and SGQR is the payment options they support. The PayNow QR  is linked to the PayNow service, allowing customers to transfer funds using a mobile number, NRIC/FIN, or UEN. SGQR is a unified QR code that consolidates multiple payment options, including PayNow, NETS, and various e-wallets, into a single code. This means that a single SGQR code can accept payments from multiple payment methods.

2. What are the risks of QR code payment?

The risk of QR code payments is that they are vulnerable to phishing scams. According to the Singapore Police Force (SPF) and Cyber Security Agency of Singapore (CSA), QR codes can be tampered with and used to redirect unsuspecting customers to fake websites.¹⁶ To protect your customers, make sure your QR codes lead to a branded checkout page. Airwallex lets you link a custom domain and logo with your QR code payment.

3. How do I choose the right QR code payment methods for my business?

To choose the right QR code payment method for your business, consider factors like security, ease of use, and compatibility with your existing systems. Look for providers that offer strong encryption and fraud protection to safeguard your transactions. It's also important to select a solution that supports the payment methods your customers prefer. Airwallex’s QR payments support digital wallets like GrabPay and Alipay, which make it a great choice for global businesses.

4. Can I use Airwallex to accept payments from multiple QR code systems?

Yes, you can use Airwallex to accept payments from multiple QR code systems. With just one QR code, customers can access a wide variety of digital wallets that include GrabPay, WeChat Pay, and Alipay.

5. How can I manage and track QR code payment transactions?

Managing and tracking QR code payment transactions depends on your chosen payment gateway. Payment specialists like Airwallex have a dashboard where you can monitor transactions in real-time, view detailed reports, and track payments by date, amount, and customer.

6. What are the costs associated with setting up QR code payments?

The costs associated with setting up QR code payments can vary depending on the provider and pricing model. Some providers may charge a flat monthly rate while others like Airwallex operate on a pay-per-transaction model, where you only pay per transaction processed. Fees can vary based on the customer’s chosen payment method.

Sources 

1. https://www.statista.com/statistics/1031146/singapore-age-distribution-of-online-shoppers-who-use-qr-code-as-e-payment/

2. https://www.statista.com/statistics/1296909/preferred-payment-methods-singapore/

3. https://2c2p.com/blog/singapore-payment-methods

4. https://www.mas.gov.sg/development/e-payments/sgqr

5. https://www.dbs.com.sg/corporate/solutions/cash-management/paynow-corporate

6. https://www.dbs.com.sg/corporate/solutions/cash-management/max

7. https://help.grab.com/merchant/en-sg/4667774463513

8. https://help.grab.com/merchant/en-sg/4413970042393-Receiving-GrabPay-payments-via-PayNow-QR

9. https://merchant.grab.com/portal

10. https://www.statista.com/statistics/1395691/china-alipay-monthly-active-users/

11. https://global.alipay.com/docs/ac/transactionqrcodenew/intro

12. https://global.alipay.com/docs/ac/transactionqrcodenew/flows

13. https://pay.weixin.qq.com/wechatpay_guide/qrcode_payment.shtml

14. https://www.unionpayintl.com/my/servicesProducts/products/innovativeProducts/mobilePayment/

15. https://www.paypal.com/ma/cshelp/article/how-can-i-use-paypal-qr-code-to-send-or-receive-payments--help1113?locale.x=en_MA 16. https://www.police.gov.sg/Media-Room/News/20230522_ joint_advisory_on_protecting_yourself_from_malicious_qr_codes

This publication does not constitute legal, tax, or professional advice from Airwallex nor substitute seeking such advice, and makes no express or implied representations / warranties / guarantees regarding content accuracy, completeness, or currency. If you would like to request an update, feel free to contact us at [[email protected]]. Airwallex (Singapore) Pte. Ltd. (201626561Z) is licensed as a Major Payment Institution and regulated by the Monetary Authority of Singapore.