BANGKOK, Thailand -- The Thai Smart Card Co expects its "digital purse" system to be available for payments on up to 30 percent of goods and services within five years, according to a report in the Bangkok Post.
Chalermchai Chatchaiganan, the company's chief commercial officer, told the Post he expects its user base to rise from 900,000 in the first year to 5.2 million people within five years.
He projected a revenue increase from 25 million baht (approximately $588,085 U.S.) to 500 million baht (approximately $11.7 million U.S.) in the same period, generated by merchant fees collected on transactions and income from electronic payment clearing and data services.
Thai Smart Card was launched last year by Bangkok Bank, CP Seven Eleven, the Government Savings Bank, Telecom-Asia, Visa International, Krungthai Card and Singapore's Network for Electronic Transfers.
Chalermchai said that 22 chain retailers, including fast-food restaurants, movie theaters, retail stores and the Bangkok skytrain, had already pledged to accept the new cards.
The company hopes to install 3,000 loading terminals, which will serve as combination ATMs, public telephones and locations for users to add funds to their digital purse, within three years, Chalermchai said.
Services are expected to begin in the first quarter of 2003, using account-linked cards where funds in a bank account are linked to a smart card as electronic money. Service fees are expected to range from 100 baht ($2.35 U.S.) to 150 baht ($3.52 U.S.) per year.
Another type of card, private cards, would allow the transfer of funds into a smart card through an ATM card, and carry various denominations ranging from 200 to 300 baht each.
"Our cards are not aimed at competing with credit cards. This is not a form of credit, but rather a payments system aimed at replacing cash,' Chalermchai said. "Everyone who uses cash now is a potential customer."
Chalermchai said services would be offered in Bangkok for the first two years before being expanded elsewhere.
