Smart Bits: Japanese Group Says Visa Test Was a Success

Smart Commerce Japan, a consortium of 32 companies including Toshiba Corp. and Visa International, declared its smart card trial in the city of Kobe a success.

Noteworthy because it combined Visa Cash and credit functions on the same multifunction cards, the program reached almost 25,000 cards in the seven months through April.

Cardholders reloaded Visa Cash more than 7,400 times in that period with the equivalent of $640,000. There were more than 30,000 Visa Cash purchases, totaling $450,000.

The chip-based credit function was used about 8,000 times for $520,000 in purchases.

"These results are a clear indication that there is a market for the new method of card payment," said Hitoshi Kondo, general manager of Visa International in Tokyo.

He pointed out that Visa Cash was favored for small purchases, credit for larger tickets. The averages were equal to $15 and $65, respectively.

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