[Alpha Biz= Paul Lee] Seoul, September 16, 2025 — Naver Pay will officially launch its new offline payment terminal, Connect, in October, signaling the company’s full-scale expansion into the offline payments market. With this move, competition in Korea’s digital payments sector is expected to extend beyond online transactions into offline commerce.
According to industry sources, Naver Pay began beta testing of Connect on September 15 to review functionality and stability ahead of the official rollout. On the same day, the company published terms and conditions and began engaging value-added network (VAN) agencies to onboard merchants. Merchant partners have also been notified of the October launch.
Connect is an integrated terminal that supports multiple payment methods, including credit cards, Naver Pay, NFC, and QR codes. Beyond simple payment processing, the device serves as a bridge between the Naver ecosystem and offline stores.
One of its key features is integration with Naver Map’s SmartPlace service. Through the terminal, customers can place advance orders, automatically apply online coupons at checkout, and earn Naver Pay points. After payment, customers are directed to a review page, enabling stores to gather feedback easily. Merchants can also leverage the data provided by Connect to strengthen customer relationship management and personalized marketing.
By rolling out Connect, Naver Pay aims to unify online data with offline experiences, accelerating its offline expansion. Currently, offline payments account for about 14% of all Naver Pay transactions, up sharply from less than 1% just three years ago. The company plans to extend Connect to its 2.6 million SmartPlace merchants nationwide by the end of this year.
Importantly, Connect is not limited to Naver Pay payments. The terminal also supports rival mobile payment services such as Kakao Pay and Toss Pay. Beginning with face-recognition payments, Naver Pay also plans to expand into other biometric payment methods in the future.
Alphabiz Reporter Kim Jisun(stockmk2020@alphabiz.co.kr)
