Suica benefits: Though they have different branding local 2 in 1 cards are Suica cards with all the Suica infrastructure benefits including Mobile Suica, Shinkansen eTickets, Transit IC compatibility, eMoney, etc.
Contactless: eliminating paper tickets and hard cash in areas without Transit IC cards in the COVID era is a good thing though credit card companies are marketing the hell out of it too. More on this in a later post.
Super Suica offers the benefits of Suica infrastructure to local transit agencies within the JR East area who don’t have the resources to launch or maintain their own Transit IC card system. Plugging those orphaned areas into the wider transit network with the same infrastructure is the sensible thing to do, I wish JR East had done this years ago. We should see more announcements in the coming months and Japanese press coverage when the first services launch in March 2022.
The real test of Super Suica is the wider definition and how it plays with both private transit companies inside and outside of the JR East (JRE) region, JR Group companies and what infrastructure resources JRE is sharing to eliminate needless duplication and save costs for all players. In the COVID era of constrained public travel, reducing costs while maintaining good service is more important than ever.
On the mobile front I think we can safely say that Mobile PASMO is an unannounced joint effort between JR East and PASMO Association. Mobile PASMO service and software is Mobile Suica dressed up in PASMO colors, the penguin character swapped out for a robot. The JR West announcement of Mobile ICOCA one week after the Apple Pay PASMO launch is no coincidence. The Super Suica mobile template is in place and road tested, PASMO and ICOCOA are the first 2 customers.
Who’s next? Junya Suzuki pointed out that Suica and PASMO together account for 80% of Japanese transit card issue, ICOCA added in makes that 90%. The next largest market and logical choice is manaca, the Nagoya area equivalent of PASMO. Forget about the Kansai area PiTaPa, the credit card as transit card concept was a bust and will likely never go mobile unless it’s repositioned as just a credit card. JR Central’s TOICA has deep pockets, and it’s said that TOICA runs on Suica servers, but JR Central has a sibling rivalry thing with JRE that might get in the way.
I’m taking a wild guess but I think manaca will be the next mobile service announcement with the Kyushu area transit cards (SUGOCA and nimoca) following soon after. The next development to keep an eye on is the ‘2 in 1’ Super Suica local transit card model and if other major JR Group members offer a rebranded version of it in their respective transit regions.
From a western perspective people wonder ‘why not just have one national transit card and be done with all this nonsense’. A national transit card has been discussed by various Japanese governments from time to time, and gone nowhere. The shared infrastructure Super Suica model that aims to lift all boats certainly plays more to the traditional Japanese business mindset. In these challenging times that can be a good thing.
The every reliable Junya Suzuki has posted exactly what I hoped he would: nitty gritty launch day event details. A quick rundown with commentary if you can’t read his original Japanese post.
Big Apple Presence A large number of Apple Japan folks were on hand at the October 6 Apple Pay PASMO press event with media invited from America. Apple Pay VP Jennifer Bailey also checked in with a message via video link. Highly unusual given that a single person is what Apple usually fields for recent Suica announcements like the Apple Pay MIZUHO Suica. This is big in itself but it’s helpful to know some basic Transit IC card market share numbers. Suica and PASMO are #1 and #2, combined they represent 80% of all transit IC card issue. ICOCA is #3, manaca is #4.
The addition of Apple Pay PASMO is why Suzuki san now refers to Tokyo as a “キャッシュレス経済圏 “Cashless Economy Zone”. The Suica and PASMO zones blur and become one thing in a digital wallet. Mobile Suica membership passed 10 million users last month, total Suica issue (plastic and mobile) is about 85 million.
Out of the Suica issue numbers Suzuki san pulls an important growth figure: the 2020 Suica mobile to plastic ratio is 12%, at the 2016 Apple Pay Suica launch the ratio was 7%. That growth is the power of Apple Pay in action, and also Google Pay. The mobile growth curve will accelerate with the addition of Garmin Pay Suica and wena 3 Suica. That’s why Apple Pay PASMO is a big deal, not only for Tokyo, but for PASMO and Apple too. It is this shift that Suzuki san says finally drove PASMO to commit to delivering a mobile service after years of dithering.
But what about the other transit card economic zones and how will they be integrated into the mobile mix? For ICOCA the only question remaining is ‘when’ Mobile ICOCA arrives, ‘if’ is no longer an option. ICOCA is the Suica of the Kansai area, manaca is the Suica of Aichi. Osaka and Nagoya don’t want to be left behind the Tokyo cashless economy zone.
My own take outlined in Hello Apple Pay PASMO and Road to Super Suica is that PASMO is a dry run for other mobile cards. The template is ready to roll, right down to the recycled but sleeker modernized Suica App stuff in PASMO App.
Yesterday, October 1, was the 15th day of the month by the lunar calendar. October is always a rush season of product announcements but the news cycle this year has been…well crazy doesn’t even begin to describe it. Part of the problem is COVID driven online announcement events. These were new and sorta cool 3 months ago but have degraded into slapdash scheduled info dumps.
It’s been especially brutal in Japan this week with the Docomo Account/Yucho Bank security crisis and NTT Docomo buyout stories soaking up all the media attention. On the ides of October we had Pixel 5, Wena 3 smartwatch, Apple Pay PASMO announcements, and the Tokyo Stock Exchange outage. Japanese IT journalists holed up at home or tiny APA HOTEL rooms are overwhelmed trying to keep up.
The Wena 3 announcement got a little lost in the shuffle but had some interesting e-payment developments: Suica, iD and QUICPay joined Rakuten Edy which has been on Wena for some time. It’s weird that Sony has taken this long to add, more or less, full FeliCa support in their home market.
Most of the online buzz was centered on Wena 3 Suica support which follows the Garmin Pay Suica launch in May. Wena 3 Suica shares the same Google Pay recharge backend that Garmin does, I suspect Wena 3 and Garmin both use Mobile FeliCa Cloud. The same Garmin restrictions also apply: no plastic card transfers, no Suica commuter passes, no auto-charge, no Green Seat upgrades.
That said I think many users will enjoy using Suica, iD and QUICPay wrapped in the strikingly designed Wena 3 lineup. My only regret is I don’t have one to tryout.
I’ve always said that if Apple Watch ever gained direct Suica loading with parental controls, Apple could make a killing selling it into the Japanese education market. watchOS 7 Family Setup is almost there for the JP market but needs one more thing: Family Suica.
The service outline is simple and combines what car keys do in Wallet with digital key sharing and Apple Cash Family does with transfers and limits. A master Apple Pay Suica ID is setup on an iPhone and manages family member Apple Pay Suica on other devices. The master ‘organizer’ would transfer stored fare (SF) via Messages and set spending limits just like Apple Cash Family does. Simple intuitive convenience.
Apple Pay Family Suica also needs transferable commuter passes. That way a parent can set one up for a child, transfer it to Apple Watch and renew it remotely. Transferable commuter passes would also be handy in our COVID teleworking era as working parents might not need a pass every working day. A “hey honey can I borrow your pass today,” thing that plastic transit card users do all the time.
So far nobody has managed to to produce a smartwatch that matches the super convenience of Apple Watch and Apple Pay Suica. If JR East and Apple produce Family Suica, they would effectively future-proof both next generation Suica and Apple Watch in the Japan market.