INTERVIEW Fintech CEO enhances tourists' financial experience in Korea with WOWPASS

Orange Square CEO Lee Jang-back poses after the interview at the startup's headquarters in Seoul, March 20. Korea Times photo by Lee Yeon-woo

Korea can be a fun destination for travelers. In 2024, its food, nightlife, attractions and K-pop culture attracted about 16.3 million travelers. Their financial experience, though? Well, not so fun.

While Koreans routinely use mobile payments and a variety of credit or debit cards, the country's payment system isn't as accommodating to foreign travelers. Without a Korean phone number and credit card, it’s difficult for visitors to use essential services like delivery and taxi apps.

"Foreign travelers hope to experience the authentic Korean lifestyle as they've seen in K-dramas. However, their experiences can be filled with inconveniences," Lee Jang-back, CEO of Orange Square, said in a recent interview with The Korea Times. "Everything is so convenient and comfortable here that Koreans often don’t realize the barriers."

To enhance foreign travelers’ financial experience, Lee launched a service called WOWPASS in 2022.

At 274 machines nationwide, foreign travelers can scan their passports to receive physical cards that work at most Korean stores, including public transportation. Travelers can top up their cards with foreign currency, or Korean won at the kiosks or via the app. When their trip ends, they can withdraw the remaining balance the same way.

Travelers line up in front of Orange Square's kiosks at Gimpo International Airport in Seoul, in this undated photo. Courtesy of Orange Square

The service supports seven languages, including English, Chinese, Japanese, Thai and Vietnamese. If travelers have trouble using the service, they can simply pick up the phone at the kiosks, which will connect them to in-house consultants available 24/7.

As the travel industry continues to recover from the aftermath of COVID-19, the service is experiencing record-breaking growth. It is on the verge of reaching 2 million accumulated app users, with the total card top-up amount nearing 800 billion won ($546 million). In 2024, every key metric at Orange Square was expected to double compared to the previous year, including transaction volume, sales and profits.

"We scan passports to ensure that the pass isn’t issued to Korean nationals. While many services in Korea are limited to locals, ours is one of the few designed exclusively for international visitors," Lee said.

Lee's experience as an international student in Hong Kong inspired the creation of the service.

"In Hong Kong, there's the Octopus card — a prepaid card you can use almost everywhere. After I returned to Korea, friends from abroad would visit, and I had to prepare them before they traveled — take them to a currency exchange counter and buy transportation cards. Sometimes, I had to pay for things first and get reimbursed later," he recalled.

Lee believes the strength of Orange Square's service stems from the details directly collected from foreign nationals. During the preparation stage, they sent messages to hundreds of social media users who love to travel and requested interviews or a survey. Most of its marketing teams also consist of foreign nationals.

A person uses Orange Square's kiosk in this undated photo. Courtesy of Orange Square

"Ultimately, I believe it comes down to how attuned we are to the voice of the customer — and whether the teams building and running these services are truly customer-centric, especially when it comes to understanding and addressing the needs of foreign users," Lee said.

Reflecting the customers' voice, the service is undergoing consistent transformation.

For instance, they recently launched a service that allows users to split bills through the app and provides banking transfers at stores that only accept cash. They've also partnered with the Seoul Metropolitan Government to offer free admission to over 70 tourist attractions in Seoul and with shopping brands to enable cashback rewards.

"The combined spending by foreign travelers in Korea has reached 30 trillion won. Yet, Korea does not have a single corporation worth trillions in this sector," Lee said. "We hope to become a 'super-app' in five years, where foreign nationals can solve every issue, including complex verification process, payment, language and digital environment all in our app. With this scale achieved, I believe that we can become a company worth trillions of won."