Mobile payment options are now widely accepted worldwide. And there are a variety of factors that influence the acceptance of this kind of technology. For example, the development of eCommerce, the deployment of high-speed data networks, and the widespread use of smartphones.
China mobile payment data demonstrate the payment method’s undeniable popularity. Additionally, China accounts for more than half of all users globally. Which mobile payment options are now the most popular? How many people do they serve? Continue reading to learn more!
Editor Choice: China Mobile Payment Statistics
- The number of people using proximity mobile payment in China is expected to rise to 60.5% in 2023
- More than 90 percent of the Chinese tourists are likely to use mobile payment while overseas if they are given the opportunity
- China is still ahead of other countries in mobile payment since it has approximately 47% of mobile users, those using mobile and digital wallets
- 47 percent of people living in the rural areas in China are reported to use mobile payments regularly
- 81.1 percent of individuals with smartphones in China use the proximity mobile payments
- The number of transactions made through mobile payment reached over 50 billion in 2018
- The mobile payments market attained 38 trillion yuan in 2016
1. The number of people using proximity mobile payment in China is expected to rise to 60.5% in 2023
This only means that consumers are ready to adjust to proximity payment. And it can be the case provided their shopping adventure is easily accessible and enriched. The retailers need to be mobile devoted and ready to take advantage of the technology.
They need to consider accepting payment from the consumers securely. Thus, it will enable them to win their client’s loyalty with a lot of conveniences.
2. China is still ahead of other countries in mobile payment since it has approximately 47% of mobile users, those using mobile and digital wallets
(Research and Markets)
Chinese consumers are embracing cashless and e-commerce tools at a high rate. This implies they like how convenient mobile payments are. According to statistics China had over 700 million internet users in 2016.
This is more than the U.S. and European Union combined. Even though China adopted the technology faster than the others, it’s likely to remain at the top for a longer period.
3. More than 90 percent of the Chinese tourists are likely to use mobile payment while overseas if they are given the opportunity
There are several driving forces behind the travelers overseas using the payment method. For example, the tradition of using mobile payments in China and extra discounts earned due to the use of the technology. However, insufficient merchant coverage in those countries is reported as the main barrier.
Alipay and the other world’s top online and mobile payment brands are committed to adequately support Chinese tourist needs. This is through offering more convenient and efficient payment methods via their platforms.
4. 65 percent of the Chinese tourists use mobile payments abroad and the younger individuals are leading the trend
The potential of mobile payment applications to steer China outbound tourism does not only benefit clients. According to reports, over fifty percent of businesses also experience a rise. This is in their store’s foot traffic and the number of transactions made by the Chinese travelers.
And it’s after adopting Alipay which is a payment application owned by Alibaba.
5. 81.1 percent of individuals with smartphones in China use the proximity mobile payments
This is a good number of users, though when it comes to the general population, those involved are less than half. Still, there is big room for growth as the rate at which Chinese citizens are adopting the techniques is also high. Besides, mobile payments imply a little amount of time dealing with the banks and people. And not to forget counting the change.
6. Over half a billion of those in China will be using their phones at the point of sale in 2021
This corresponds to a penetration rate of over 30 percent which is the highest across the globe. Moreover, the country’s flourishing payment application market is overwhelmed by great players like WeChat pay and Alipay. These two have been acknowledged widely by consumers, restaurateurs, and shopkeepers.
There are tons of small businesses with a variety of clients and credit card usage has never been embraced that much. This, therefore, creates an opportunity for businesses to shift directly from using cash to mobile payment apps.
7. The number of transactions made through mobile payment reached over 50 billion in 2018
This was an increase of 61% compared to the previous year. Many have had the habit of using this type of technology every day. The third-party mobile payment penetration rate has reached a high record.
This shows the thriving period in China has declined. Besides, the execution of tons of related policies and provisions commemorated a constant advancement of the third-party market. For instance, removing direct connections between banks and third-party payment firms.
With that said, the fast growth of mobile finance. And extra penetration of recent payment methods in offline payment might be the primary market improvement driver.
8. The number of Alipay active users rose from more than 100 million to 900million in 2013 and 2018 respectively
As for WeChat pay, it increased from approximately three hundred and fifty million to 1.1 billion. This means mobile payments are now a norm in China. Apart from small-scale vendors and vegetable markets, people from all walks of life are embracing technology.
There are tales of beggars carrying QR codes and this is to allow people to scan them. Thus, nobody is excluded from this new cashless method of payment. Not even the inmates at Beijing prison have been left out.
Moreover, there isn’t external competition from PayPal, Mastercard, Visa, and many others since they are prohibited.
9. 47 percent of those in the rural in China are reported to use mobile payments regularly
(In The Black)
Mobile payment has made transactions more convenient and faster in remote areas where banks aren’t easy to access. The popular financial technology in China has been thriving fast in rural areas. Take note that these regions do remain behind when it comes to banking infrastructure.
Nearly 50% of the offline deals in rural areas are through mobile payment services. According to reports, it’s anticipated that the areas are a feasible market to the digital economy. And this is where online payment is important to the increasing third-party platforms like Wechat Pay and Alipay.
10. Mobile payments market attained 38 trillion yuan in 2016
This is equivalent to 5.5 trillion dollars and it’s nearly fifty times the American market which reached 112 billion dollars. The number of those using mobile payments in China at least once in 6 months has been rising for many years. That’s from just 35% in 2015 to more than sixty percent in 2018.
In the U.S., 25 out of eighty-five million grown-ups have used Apple pay once. The main reason why lots of Americans haven’t made an effort to use mobile payments is, they aren’t satisfied with them. And they don’t see the need to use those methods.
However, in China, credit cards were so sluggish to gain popularity. They were majorly accepted in the tourist locales. Furthermore, Chinese firms were hesitant to implement the credit card system.
And it’s because they would need to pay some fee for the transaction to the American credit card firm.
11. Alipay and WeChat Pay have got millions of day-to-day users in China
This is quite impressive and when compared to the western options like Apple Pay, the two are more developed. They have amazing features which make many people use them. WeChat pay exceeded one billion users three years ago while Alipay attained 1.2 billion users per month in 2019.
The payment methods are leveling an equal number of users as the country’s population. This is a sign of the two dominating the market altogether.
With the China mobile payment statistics, it’s clear that the technology is prevalent in China. And there’s no doubt that the trend will be more evident in the coming years. Therefore, those who will adopt an assertive mindset will remain a step ahead.