Recently, the world-renowned market research group Ipsos released the “Research Report on Third-Party Payment Users in the Third Quarter of 2018″ (hereinafter referred to as the report). The report pointed out that the total number of mobile Internet users in China reached 1.34 billion, and the penetration rate of third-party mobile payment among mobile Internet users was 92.0%. In the entire mobile payment market, TenPay and Alipay are on the same trend, but the advantages of TenPay’s offline consumption are more obvious. The transaction amount of offline payment scenarios accounts for 50%. Retail transactions accounted for 56%, while Alipay only accounted for 35%.
Small amount of high frequency WeChat payment leads the consumption of offline
Currently, the number of mobile payment users continues to grow, but the growth rate slows down. The Ipsos report shows that the penetration rate of third-party mobile payments among mobile Internet users (that is, the proportion used in the last three months) is 92.0%, which is basically the same as May 2018 (92.4%). According to the Ministry of Industry and Information Technology, as of the end of June 2018, the total number of mobile Internet users in China reached 1.34 billion, a year-on-year increase of 14.5%, and the number of users using mobile phones to access the Internet was 1.23 billion. Among consumers aged 16-59, mobile payment users are about 760 million, accounting for 80.9% of the total size.
It is not difficult to see from the above data that in the case that the penetration rate has reached a very high level, the growth of mobile payment users has slowed down, and the increase basically comes from new users of mobile Internet users. This means that the demographic dividend in the domestic market for mobile payments is disappearing, and market growth will have to rely more on the share of mobile payments on other payment methods. As a result, the innovation of payment scenarios for mobile payments has also been expected, and offline commercial payments have also flourished.
In response, the report pointed out that offline consumption is already leading the way, and the lead is still magnifying. Offline scene payment highlights the characteristics of small amount and high frequency, and is more suitable for Tenpay to use WeChat/QQ to penetrate social mode, especially when finding low-cost carriers such as QR code. The share of Tenpay online payment scenarios is fast and powerful, growing rapidly and surpassing Alipay.
At the end of 2016, Ma Huateng publicly stated that “WeChat payment online exceeds Alipay”. This is also confirmed by several reports including Ipsos. At present, the transaction amount of Tenpay and Alipay online payment scenarios accounted for 50% and 42% respectively, and TenPay basically maintained the leading position gained in the May 2018 survey; based on the number of transactions, Tenpay The lead is even greater.
Industry wrestling Tencent ride code covers more than 100 cities
Ipsos’ latest report further found that once the two giants had some advantages in offline payment scenarios, today, almost TenPay is dominant. In fact, public transportation is a payment scenario in which the industry giants have been competing in the past two years. The report pointed out that at present, TenPay is leading in the amount of transactions and the number of pens.
According to Tencent’s earnings report in March this year, Tencent’s offline commercial transactions have more than doubled in terms of offline commercial payments. Tencent this year has deepened its relationship with major channel partners and used technology to help small businesses improve their operational efficiency. At the same time, “Tencent Bus Code” has been launched in Guangzhou since July 2017, and now it is rapidly spread to more than 100 cities including Guangzhou, Beijing, Qingdao, Foshan, Hefei, etc. Multi-city personally for the bus code platform and test ride, widely reported by the media and regarded as a typical case of digital technology to help the traditional industry.
In addition, while actively covering the domestic market, Tencent Mobile Payment is also accelerating the pace of internationalization. In fact, Tencent has been strengthening the layout of the Hong Kong market and launched WeChat Hong Kong Wallet for Hong Kong users. Starting in October, Hong Kong users who use the latest version of WeChat can use WeChat to buy high-speed rail tickets, taxis, and food in the Mainland. When the user pays, WeChat Hong Kong Wallet will automatically convert the amount of RMB to be paid into the corresponding HKD amount, and the user can pay through the wallet balance, the bound credit card or the Hong Kong dollar in the bank card.
In addition to WeChat wallet products, Tencent Tax Refund will be officially launched in Russia in October, with the addition of Moscow Vnukovo Airport and Sheremetyevo International Airport. Chinese tourists can refund the tax to the WeChat wallet at the 9 airport counters in the new moscow bank. Convenient tax refund experience. At present, Tencent Tax Refund has supported real-time tax rebates at 81 airports around the world. The return tax rebate service covers 27 countries and regions. There are also 105 urban tax refund points in Korea, and it supports the tax rebates of 49 hotels in South Korea.
Tencent Financial Technology will continue to expand payment usage scenarios
At present, the development of China Online Payment is in a high-speed development trend. Thanks to the promotion of Tencent’s financial technology-related services, Tenpay has led users to pay habits and occupy most of the market share, and its leadership position is difficult to shake. According to Ipsos report data, Tenpay’s user penetration rate is 84.3%, compared to Alipay’s user penetration rate of only 63.6%.
In this regard, the report believes that the competition between the two giants is in a stalemate, and Tenpay continues to maintain its high-viscosity advantage with its social platform. Tenpay has the tool attributes of Alipay, while Alipay has difficulty copying the social attributes of Tenpay. It can be seen that TenPay will be irreplaceable in the field of mobile payment.
As the predecessor of Tencent Financial Technology FiT, TenPay has established a vision of “connecting people and finance” and connecting users, merchants and financial institutions based on the two platforms of WeChat payment and QQ wallet. At present, Tencent has successively reached strategic cooperation with financial institutions and financial regulatory agencies such as Ping An, Agricultural Bank of China, and Beijing Financial Bureau, aiming at helping partners to digitally transform and accelerate the innovation of payment usage scenarios.
Ma Huateng has said that Tencent is increasing its investment in video, payment, cloud, artificial intelligence and smart retail, which will have some impact on our earnings in the short term, but we believe that these investments will bring us long-term value. And growth opportunities. In the future, Tencent will continue to expand the use of payment-related services, promote the widespread use of merchants and users, and work with partners to promote the development of financial technology.