China Payments Research

The recent announcement that there are now 190 million Alipay wallet users has confirmed Alipay as a real heavyweight and innovator within the mobile payments industry. What are the barriers for future growth?

Alibaba and Apple were in the same sentence quite a bit this week as rumours floated about a potential Alipay / Apple Pay tie-up. Beyond a potentially very unique name for a new payment service, what would a potential partnership bring to the table for the companies and consumers?

The launch of Apple Pay will likely have a profound impact on the payments industry in the US and potentially Europe, but what does it mean for China?

Beating Apple by nearing a week, on September 2nd, 2014, Alipay and Huawei announced the launch of their fingerprint payment service. The technology will be first shipped on Huawei’s Ascend Mate 7 phone, which was presented by the electronics giant on September 3rd.

QR code payment in China, suspended by PBOC on March 14th, 2014, have just been restarted by the Postal Savings Bank of China.

At the start of this month, leading global supplier of information and communications technology (ICT) Huawei had joined the board of Europe’s 5G Infrastructure Association.

According to PBoC 2013 Annual Report, the payments industry in China is growing fast, 17% in 2013 alone and 25% on average in the last five years.

After setting up its strategy as “All in Mobile E-Commerce” at the beginning of this year, Alibaba has been gradually building up its Online2Offline business - now focusing on healthcare. 

The latest payment report released by PBOC shows that by the end of 2014Q1, the cumulative number of bank cards issued reached 4.39 billion. Debit cards are still the most widely used card type, accounting for approximately at 3.97 billion.

The latest payment report released by PBOC shows that in 2014Q1, electronic payments kept a steady growth with the most eye-catching performance being from mobile payments.

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