Hong Kong smart card service in its 11th year

Established in 1997, the Octopus Card has become Hong Kong Citizen’s favorite means of payment. Accepted by over 1,000 service providers, 95% of the city’s 7 million inhabitants not only use it to settle bus, metro and ferry fares, but also to pay at convenience stores, supermarkets, fast food restaurants and vending machines.

According to the card’s site, more than 15 million Octopus cards are currently in circulation, and the system handles over 10 million transactions a day, with the daily transaction value exceeding HK$ 80 million [~US$ 10 million].

Sold at the airport and metro stations, the rechargeable card comes in different shapes and formats: personalized key-rings, Hello Kitty designs or watches with an in-built Octopus chip. The standard version is rented at a refundable fee of HK$ 100 (US$13); using the Octopus is free. To pay, the card is waved over magnetic card readers. A display indicates transaction amount and new balance, and different beeps inform the card holder if payment has been successful or recharging is necessary. The latter is done using cash at designated machines in metro stations or 7-11 outlets and other 24-hour stores.

While cities like Berlin or London struggle to implement similar systems, Hong Kong celebrates a decade of consumer convenience. The good news is that Hong Kong exports its technology – apparently, the Netherlands and Dubai will have a smart card system based on Octopus technology introduced by 2009.