How Do QR Code Payments Work?

A QR code payment lets a customer pay by scanning a printed or on-screen code with their phone instead of tapping a card or entering card details. The QR code carries the information the payment app needs, such as the merchant identifier and, in some cases, the amount, so the customer can confirm the payment in a few taps.

In South Africa, QR payments became familiar through apps such as SnapScan and Zapper, and most major banking apps now include a scan-to-pay feature. Interoperability initiatives in the local payments industry mean that many banking apps can scan third-party QR codes, so a single code at the till can often be paid from several different apps.

How Does a QR Code Payment Work?

A typical QR payment follows these steps:

1. The merchant displays a QR code at the point of sale, on an invoice or on a checkout screen.
2. The customer scans the code with a payment app or their banking app.
3. The app reads the merchant details from the code and shows the payment to the customer.
4. The customer confirms the amount and authenticates in the app.
5. The merchant receives a payment notification and the transaction settles through the normal card or account rails behind the scenes.

The customer's card or account details are never handed to the merchant, which reduces the risk of card data being compromised at the point of sale.

What Is the Difference Between Static and Dynamic QR Codes?

Static codes are cheap and simple: a printed sticker works indefinitely. Dynamic codes are generated for each sale, so the amount and a unique reference are baked in, which reduces keying errors and makes reconciliation far easier.

Which QR Payment Apps Do South African Customers Use?

• SnapScan and Zapper, the well-known standalone scan-to-pay apps.
• Banking app scan-to-pay features built into the major banks' mobile apps.
• Wallet apps that include QR scanning alongside other payment features.

Because of interoperability work in the industry, a merchant no longer needs a separate code for every app. Many banking apps can scan and pay codes issued by third-party providers, and interoperable schemes take this further — see What Is QR Plus? for how one code can be paid across participating apps.

Why Would a Merchant Accept QR Payments?

• No card machine is required — a printed code or a screen is enough.
• Setup is quick and hardware costs are low.
• The customer authenticates in their own app, so no card data touches the merchant.
• Dynamic codes carry references that simplify reconciliation.
• QR works in person, on invoices and in online checkouts alike.

QR payments suit market stalls, delivery drivers, restaurants and service businesses, and they complement card acceptance rather than replacing it. For a broader look at in-person options, see How Do You Accept In-Person Payments?.

What Should Merchants Consider Before Adding QR?

• Reconciliation. Prefer dynamic codes with unique references where volumes justify it.
• Coverage. Check which apps can pay your provider's codes so customers are not turned away.
• Settlement. Confirm how and when QR transactions settle to your bank account.
• Fees. Understand the transaction fee structure before committing, as it differs by provider.
• Display quality. Damaged or poorly printed codes fail to scan; keep codes clean and well lit.

Tips

• Place static codes where customers can scan them without reaching or queuing.
• Use dynamic QR codes at checkout so the amount and reference are embedded.
• Train staff to confirm the payment notification before releasing goods.
• Offer QR alongside cards and other methods rather than as the only option.

Related Topics

• Other Payment Methods
• What Is QR Plus?
• How Do You Accept In-Person Payments?
• How Do You Choose Payment Methods?
• What Are Digital Wallets?