Does Rakuten Card Reader work well with Shopify POS in Japan?

Topic summary

Main Issue:
Merchants in Japan cannot use Shopify’s card reader with Shopify POS and are exploring whether Rakuten Card Reader works as an alternative payment solution.

Key Findings:

  • Rakuten Card Reader does not charge additional Shopify payment fees when used solely for POS transactions (only for online payments)
  • Monthly subscription fees still apply based on chosen plan
  • Credit card processing fees: 3.3% domestic, 3.85% overseas

Rakuten Approval Challenges:

  • Approval process takes 3+ weeks, handled by JCB
  • Extremely strict documentation requirements: landline phone at business location, store signage, construction/design plans, and even photos of inventory with barcodes and price labels
  • Multiple merchants report rejections despite providing extensive documentation
  • One merchant successfully approved after providing landline number, construction photos, and professional architectural plans

Alternative Considered:

  • Square processes faster (2 weeks) but requires mandatory customer signatures, which is a dealbreaker for some merchants
  • Rakuten offers advantage of Rakuten Pay integration for customers wanting to use loyalty points

Status:
Discussion remains open with mixed results—some merchants approved, others rejected and considering switching to Square despite preferring Shopify’s ecosystem.

Summarized with AI on October 28. AI used: claude-sonnet-4-5-20250929.

Hi Kitikate,

That is great news. I’m extremely happy for you. Unfortunately, we were rejected. We sent pictures of the building, a copy of the lease contract, copy of the Internet/phone application. But there is nothing that can tell we are really opening a furniture/decor shop “Birch&Hue”. They wanted pictures of the store with a sign already on it. We are a new business and the carpenters are pushing fast to get the sign and I’m working on the website.

If there are any details I missed on the application process, please let me know. Square process is far easier, but I’ve already put too much time in Shopify to back out yet. You gave me hope. I really appreciate you staying in touch.