It’s a given that businesses are continually searching for an easy, financially savvy approach to include new customers. Often times they should invest more in their item, marketing or sales to do as such. In any case, imagine a scenario in which basically accepting a specific type of payment method meant access to a lucrative new market. That open door is sitting directly before American and European companies.
Information shows that offering a mobile payment alternative to Chinese consumers – who rely heavily on the mobile payment stages Alipay and WeChat Pay for their buying needs – is a surefire approach to pull in their business.
93% of Chinese visitors said they prefer to use mobile payments when overseas. 73% said they would spend more if a business offered them a mobile payment choice. As indicated by a recent survey conducted by Nielsen, “Chinese sightseers expressed ‘convenience, speed, and commonality’ (64%) as the essential reason for utilizing mobile payment while abroad. ”
Even more information backs up what intuitive people could have likely concluded: That offering a recognizable payment method that breaks through any language barrier would make shopping at their store more desirable. WeChat Pay and Alipay likewise make figuring a U.S. price equivalent in Chinese currency simple for its users.
Be that as it may, shouldn’t something be said about the market size? Is this really something U.S. also, European companies should put on their need list?
The answer is in the numbers. There were 3 million Chinese vacationers who visited the U.S. simply a year ago. On average they spent $7000, two times higher than their Japanese and Korean counterparts. By 2020, it’s estimated that $60 billion will be spent by Chinese consumers in the U.S. It’s plentifully clear that the companies who need to win in the future will begin catering to Alipay and WeChat users now.
Whether it’s the retail or friendliness industries, or e-commerce companies, Alipay and WeChat Pay users need to be head of psyche. These two payment stages have an incredibly large and active user base. iResearch conducted an incredibly canny report a year ago about the Chinese mobile payment market. Coming up next are key information focuses from their investigation:
- 92% of the mobile payment in China is made through Alipay and WeChat Pay
- 62% of business-related exchanges are through Alipay
- There was a 381% increase in mobile payment exchanges in 2016 and they’re expected to achieve a 68% development rate next year
- 74% of every single online payment are mobile
- Two fifths of in store payments are cashless
The numbers show exactly how ingra mobile payments are in the life of Chinese consumers. This is as an unmistakable difference to their U.S. furthermore, European counterparts. Mobile payments are not a staple of either populace, which is the reason businesses here don’t recognize the need to adjust.
Concerning the stages themselves, their simple ease of use correlates with their prevalence. For example, if a Chinese visitor enters a storefront retailer in the U.S. what’s more, needs to use their Alipay or WeChat Pay account, the U.S. merchant would simply need to have a QR code they can output, or better yet, a POS machine which will permit the Alipay or WeChat Pay user to deduct money from their record, transfer it to the seller and print a receipt on the spot.
E-commerce companies have an even easier time accepting WeChat Pay or Alipay. It works like an in-store purchase, just a QR code springs up on the screen, and the user then outputs it to deduct assets from their record.
What’s more, E-commerce companies should note exactly how rapidly this payment method is developing for online shoppers. The diagram below shows that double the number of WeChat users preferred the WeChat Pay method in 2016 compared to 2015.
What’s even better is that through WeChat Pay, brands can market and message their reliable customers. As per a post on Medium, “92% of these worldwide brands actively manage their WeChat open records. Unlike conventional CRM apparatuses, WeChat enables brands to improve targeted crusades based on consumer persona utilizing WeChat information, just as 1-on-1 customer interactions by means of the messaging and chatbot channels.”