Source: China Business News Network
Exploiting the unlimited potential of overseas markets, more and more Chinese companies are taking advantage of the wind to go overseas - some sell Chinese smart manufacturing to the world with the help of cross-border e-commerce, some use technology to go overseas to start content production locally, and some Bring more Chinese people's familiar way of life to the world...
During the May Day holiday this year, consumers in the Philippines have experienced a different consumer life. When they are watching iQiyi's online dramas at home, they are changing new clothes for the upcoming summer on the cross-border e-commerce platform SHEIN, and when they order takeaways on the local "Meituan", there is one more payment option. Alipay+, through Alipay+, they can pay with Gcash, which is familiar to locals, and enjoy various exclusive offers.
The consumption scenarios and methods that Chinese consumers have become accustomed to are still a novelty in many Asian countries. However, as the world enters the era of mobile payment, Asia is in a period of opportunity for overtaking on the curve, and the "new species" brought by Chinese companies is becoming the promoter.
Leading the trend of mobile payment
Asian cornering overtaking can help
The COVID-19 pandemic has accelerated the digital payments revolution. The "2022 Global Payments Report" released by WorldPay shows that in 2021, e-wallet payments will account for 48.6% of global e-commerce transactions, exceeding US$2.6 trillion, and it is expected that this proportion will rise to 52.5% by 2025. Among them, in the Asia-Pacific region, the proportion of using electronic wallets is expected to rise from 68.5% in 2021 to 72.4% in 2025.
At the same time, the use of mobile wallets offline is also growing as contactless payments make consumers feel more secure amid the pandemic: mobile wallets will account for 28.6% of global POS transactions in 2021, exceeding $13.3 trillion, and by 2025 In Asia Pacific, mobile wallets are expected to account for more POS transactions than all other payment methods combined by 2023.
"During the epidemic, the process of industrial digitization continued to accelerate, and users' acceptance of digital payment was also increasing. We believe that the era of mobile payment based on smartphones is coming." Jia Hang, general manager of Ant Group's Southeast Asia region, told the International Business Daily reporter. Compared with the mature traditional payment foundations of many European countries and Asia, which has many developing countries, the penetration rate of traditional financial services such as bank cards and credit cards is low, and the merchants' ability to afford traditional financial payments is low, which limits the popularization and use of bank cards. "And this is an opportunity for Asia to develop mobile payments."
According to Boku, a global mobile payment company, the number of e-wallet users in the Asia-Pacific region will increase from 1.8 billion in 2020 to 2.6 billion in 2025, and e-wallet transaction volume will increase from $4.1 trillion in 2020 to 70,000 in 2025. One hundred million U.S. dollars. Although mobile payment in the Chinese market has become normalized, other emerging markets in Asia-Pacific, mainly in Southeast Asia and South Asia, will still show explosive growth.
However, despite the rapid development of mobile payment, wallet fragmentation has become a pain point affecting the digital upgrade in Asia. Unlike the Chinese market, which is dominated by Alipay, WeChat payment, and cloud flash payment, although there are many electronic wallets in the Asian market, most of them are small in size. The connection scenarios are closed and limited, and users have to switch between various wallets. . In this regard, merchants are also very helpless. For example, in a small town with a population of less than 200,000 in East Java, Indonesia, there is a grocery store full of various POS machines and payment codes. Do not block the glass counter, and stick them in a book like a stamp collector.
In order to solve the imbalance of regional development and participants' technical capabilities, as well as the differences in efficiency, usability and compatibility of technical standards and protocols, and the lack of interoperability among various digital payment methods in many Asian countries and regions, Ant Group is taking innovations. Alipay + overseas assistance for global cross-border payment "technical solutions + marketing solutions".
"Since 2013, Alipay has started to serve Chinese tourists to travel around the world with one mobile phone, and has covered more than 56 countries and regions so far. However, the local version of "Alipay" in Asian countries is still mostly in a "digital island" state, even if it is local The biggest, it is still very difficult to expand the multinational merchant network and match the cross-border payment capabilities, not only the local application scenarios are limited and cannot be fully covered, and there is no way to go abroad." Jia Hang said, based on Ant's years of experience in Internet technology and data interaction With the exploration and accumulation of standards, through the connection of technology, it helps more e-wallets to share technical resources and merchant networks, which can make it easier for overseas merchants to accept overseas e-wallets, and allow consumers in many countries to use commonly used e-wallets. Cross-border consumption can be easily and safely achieved, and finally "one account pays the world".
Integrated payment fragmentation
Helping multinational businesses recover
As a new species of global digital economy services, Alipay+ has been adopted by more than 1 million merchants around the world, connecting hundreds of mobile payment methods, and serving more than 1 billion potential Asian consumers in addition to Chinese consumers.
At the beginning of 2022, San Marino, the oldest "China" in Europe, took the lead in accessing the Alipay+ service in Europe. More than 90% of the local online and offline merchants can connect to more than 10 electronic wallets in Asia at one time. As a result, its business has also changed from the previous service. Chinese tourists are now directly connected to 1 billion potential Asian consumers and online "sea shoppers".
Fabio, Minister of State for Industry of San Marino, is full of expectations for this innovative solution initiated by China: "This is the combination of business opportunities and the most advanced payment technology, which is in line with the long-term development needs of our country, and makes San Marino a further step towards internationalization and digitization."
"Accessing Alipay+ can provide merchants with a more convenient consumption experience, and in the long run, it will help GS25 convenience stores increase their sales in South Korea." Following Shinsegae Duty Free and Lotte Duty Free, GS25, a convenience store popular with locals, will open in 2022. It also became the first Korean convenience store to join Alipay+ in early April 2019. Over 15,000 GS25 chain stores have been upgraded to the Alipay+ model. Jung Jae Hyung, Director of the Convenience Store Division of GS Retail, believes, "Overseas tourists will gradually return, so we have to prepare early. ".
"It's time to get ready for recovery!" said Lee Li Meng, CEO of Razer Fintech, a Malaysian financial technology company. Recently, Razer Fintech teamed up with Ant to connect Alipay+ innovative solutions to 60,000 offline and online retailers in Malaysia stores, covering local tourism, groceries, food and beverages, and taxi hailing, including Riding Pink, the first female-only ride-hailing platform in Malaysia.
"Alipay+ can connect local merchants with global digital payments through a simple integration, which alleviates the pain point of fragmentation of cross-border payments in the past." Lee Li Meng said that recently Southeast Asian countries have opened their doors to seek post-epidemic recovery. Ant Group's innovation The solution can help more local merchants find new passenger flow and harvest new business opportunities. "This year, Razer Fintech is also looking to bring Alipay+ to the merchant network in Singapore."
As the epidemic is steadily brought under control, the tourism market is expected to recover. Not only will the international flow of people become more frequent, but also the demand for cross-border consumption and payment will gradually pick up. And Alipay+ is open to all acquirers and digital payment tools, which can not only expand usage scenarios, but also provide local merchants with more possibilities for cross-border business.
Zhao Ying, president of Ant Group's international business, said: "By working with global partners, Alipay+'s innovative payment and marketing solutions can accelerate the digital transformation of global merchants, create an interconnected global digital ecosystem for the local area, and bring new overseas opportunities. Consumers and business opportunities, using technology to help the recovery of the global economy.”
