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why China is light years ahead in the online payment revolution? [Copy link] 中文

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Post time 2017-9-10 11:39:34 |Display all floors
This post was edited by senoritazhao at 2017-9-10 11:39

It is quite common to live in China without paper money or bank cards and discover how online payments have dethroned cash as king in digital revolution that’s being led by two big players – Alipay and Tenpay.

It’s just a matter of time before we won’t even need a device to pay. Our fingers, our irises, even our ears will be payment devices

Luis Galán, chief executive of Chinese e-commerce consultants 2 Open

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Post time 2017-9-10 11:41:22 |Display all floors
What has made this revolution possible?

“First and foremost, the fast penetration of smartphones and mobile internet,”

Government statistics reported in state-owned media show there were 731 million internet users in the mainland at the end of last year, 95.1 per cent of them using mobile phones for access and 60 per cent using computers.

According to digital-news site China Internet Watch, 469 million Chinese made online payments in 2016, a 31.2 per cent rise from 2015, and 50.3 per cent of them used phones to pay in offline retail stores.

“Young Chinese are avid gadget lovers and early tech­nology adopters,”

China Internet Watch found Chinese people who were born in the 1980s and shop online spent an average of 120,000 yuan per person last year, making them the highest spending demographic. Those born in the 90s spent less because their budget was usually lower, but 92 per cent shopped online compared with a national average of 35 per cent.

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Post time 2017-9-10 14:53:01 |Display all floors
This post was edited by twa at 2017-9-10 15:10

One of the biggest drawbacks of chinese online payment is the requirement of shenfenzhen. While it may not be required to have a shenfenzhen to sign up for alipay/tenpay, you most certainly will need it when linking it to your bank account. Even if you signed up for your bank account with a passport, alipay/tenpay tends to accept only shenfenzhen when linking the two. From what ive heard, alipay, and tenpay is almost impossible for foreigners to sign up for because most of the systems in china require a shenfenzhen, and that is a huge barrier for even hongers and taiwanese. While some may think that chinese online payments are advanced, they are so advanced that many people can't use them. It;s also been my understanding that alipay was actually easier to sign up for and use 5yrs ago as compared to today. Today's chinese online payment is heavily reliant on cell phones. if someone doesnt have a chinese phone number, it's almost impossible for him to sign up for alipay, or tenpay. What makes alipay/tenpay even more difficult to use is that they require a chinese bank account. Foreign bank accounts can't be linked to alipay, or tenpay. Even if a foreigner succeeds in siigning up for alipay with a chinese cell phone, foreigners are not likely to keep their chinese phone number for long periods of time. Therefore it would be difficult for him to use the alipay account in the future after he throws away his chinese sim. Paypal, however deceptive they may be, makes it much easier for foreigners to sign up, not requiring an american phone number or bank account like alipay and tenpay tends to require chinese phone number and bank account. Users from across the world can use their local bank accounts, and phone numbers to sign up, and use the site.

The same drawbacks can be applied to online payment in general. Online payment via banks tend also to rely heavily on the use of cell phones. Cell phone numbers change, and it's extremely inconvenient to have to go into the bank to change your cell phone number each time you change numbers. Chinese banks don't allow customers to change their cell phone numbers over the phone or online, therefore it is required that you visit the bank each and every time. If you can't receive texts on your chinese phone number, you can't use online payments. Western online payments are much less reliant on cell phones and utilize passwords instead of sms verification. This makes things much easier for consumers. While there is more fraud this way, users find it easier to make payments, and as a result, more commerce will be conducted that way. This also allows users from overseas to make purchases, whereas it is nearly impossible for overseas users to use taobao, guomei, or suning for example. On the other hand, users from across the world can use ebay with their local bank account, or credit card.

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Post time 2017-9-10 15:10:54 |Display all floors
One of the biggest drawbacks of chinese online payment is the requirement of shenfenzhen. While it may not be required to have a shenfenzhen to sign up for alipay/tenpay, you most certainly will need it when linking it to your bank account. Even if you signed up for your bank account with a passport, alipay/tenpay tends to accept only shenfenzhen when linking the two. From what ive heard, alipay, and tenpay is almost impossible for foreigners to sign up for because most of the systems in china require a shenfenzhen, and that is a huge barrier for even hongers and taiwanese. While some may think that chinese online payments are advanced, they are so advanced that many people can't use them. It;s also been my understanding that alipay was actually easier to sign up for and use 5yrs ago as compared to today. Today's chinese online payment is heavily reliant on cell phones. if someone doesnt have a chinese phone number, it's almost impossible for him to sign up for alipay, or tenpay. What makes alipay/tenpay even more difficult to use is that they require a chinese bank account. Foreign bank accounts can't be linked to alipay, or tenpay. Even if a foreigner succeeds in siigning up for alipay with a chinese cell phone, foreigners are not likely to keep their chinese phone number for long periods of time. Therefore it would be difficult for him to use the alipay account in the future after he throws away his chinese sim. Paypal, however deceptive they may be, makes it much easier for foreigners to sign up, not requiring an american phone number or bank account like alipay and tenpay tends to require chinese phone number and bank account. Users from across the world can use their local bank accounts, and phone numbers to sign up, and use the site.

The same drawbacks can be applied to online payment in general. Online payment via banks tend also to rely heavily on the use of cell phones. Cell phone numbers change, and it's extremely inconvenient to have to go into the bank to change your cell phone number each time you change numbers. Chinese banks don't allow customers to change their cell phone numbers over the phone or online, therefore it is required that you visit the bank each and every time. If you can't receive texts on your chinese phone number, you can't use online payments. Western online payments are much less reliant on cell phones and utilize passwords instead of sms verification. This makes things much easier for consumers. While there is more fraud this way, users find it easier to make payments, and as a result, more commerce will be conducted that way. This also allows users from overseas to make purchases, whereas it is nearly impossible for overseas users to use taobao, guomei, or suning for example. On the other hand, users from across the world can use ebay with their local bank account, or credit card.

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Post time 2017-9-10 19:22:01 |Display all floors
cause online shopping is go viral in those years ...

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Post time 2017-9-11 17:07:10 |Display all floors

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Post time 2017-9-12 21:34:20 |Display all floors
The digital revolution will be short-lived for a whole host of reasons.

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