Skyzer Blog

How Chinese Consumer Culture is Impacting Payments

20 Dec

Chinese consumer culture has had an impact on almost every dimension of the world market, and when it comes to EFTPOS machines, that effect is no different. With such a large population, as well as a reputation for being one of the more technologically advanced countries in the world, the direction Chinese consumerism is taking can have a significant influence on what gains traction in other countries.

When it comes to payments, the introduction of Chinese payment apps AliPay and WeChat Pay have affected some significant changes in the industry. These third-party payment apps are changing the way that customers and businesses interact in brick-and-mortar establishments, altering the dynamic of payments and therefore redesigning customers’ needs in-store.

In this blog post, we’ll be discussing how popular payments apps AliPay and WeChat Pay originated, how they’ve evolved, and what impact they’ve had on modern consumer culture all over the world.

What are AliPay and WeChat Pay?

AliPay is a Chinese third-party payment app designed for managing finances on smartphones. You can pay your credit card bills, manage your bank balance, and even select insurance as part of the features they offer. Most notably, the app allows users to pay by linking their bank account and then scanning a QR code in-store, allowing for paperless, contactless transactions made quickly and easily. First launched in 2003, the app has now made its way over the ocean to countries like Canada and even good old Aotearoa.

WeChat, on the other hand, isn’t just used for financial management. The multi-purpose, super lifestyle app includes messaging and social media features alongside mobile payment capabilities. It currently has over a billion users and is described as China’s “app for everything”, with WeChat Pay as the in-built payment software. Similar to AliPay, WeChat Pay also uses QR code payment, but the latter also offers Quick Pay (where merchants scan payment codes) and Mini Program Payment (where users pay for goods on mini programs created inside WeChat itself).

These apps take contactless payments to another level, allowing people to go out into the world with little more than their phone in their hand, no cards needed.

What does this mean for Kiwi Businesses?

The rise in popularity of these apps has prompted businesses all over China to evolve their in-store payment methods quickly. Major chains all over the country like McDonald’s and Circle K accept payments via AliPay and WeChat Pay, which makes them a standard fixture in the Chinese economy.

As with many things, this has prompted the spread of these payment apps across the world. Tourism, immigration, and the currents of consumerism have carried the apps across the water, and now Kiwi businesses need to be able to keep up. In 2018 alone, travellers and tourists from China spent $115 billion overseas, so Kiwi business owners need to make sure they don’t miss out.

Business owners can choose to install software on their terminals—mobile EFTPOS or standalone POS—which allows AliPay and WeChat Pay users to pay using their apps. The apps actively advertise locations with these payment methods enabled, which means foot traffic and revenue will see a significant bump from overseas visitors alone.

If you want to start capturing the Chinese market, especially during peak tourism/travel season, be at the forefront of payment methods by including AliPay and WeChat Pay software in your EFTPOS machine today!

Tap into the Chinese consumer market with an enabled EFTPOS terminal

Talk to Skyzer about how you can enable third-party app payments on your business’ EFTPOS terminals, and join a growing number of Kiwi business owners who are benefitting from evolutions in Chinese consumerism. Offer your customers what they want—talk to our team today.