Alipay continues its aggressive expansion with Yelp partnership BABAGet the Full StoryBI Intelligence
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Alipay, the Chinese mobile wallet, has partnered with Yelp to give its massive user base access to Yelp s local business content when traveling in select US cities, according to Finextra.
The 520 million users of the mobile wallet will be able to leverage the app in New York, San Francisco, Los Angeles, and Las Vegas by using the Discover tab to access Yelp information on local restaurants, shops, directions, and reviews, as well as to make reservations.
Alipay's international efforts have primarily focused on giving users access to payments functionality. In the last year alone, Alipay has given its users the ability to pay via the mobile wallet while traveling in Australia, Asia, Europe, and the US. This global expansion strategy has been a way for Alipay to keep a strong hold of its market share in China currently, Alipay controls roughly 54 of the 5.5 trillion mobile payments market. However, giving these users increased functionality while traveling could help the Chinese mobile wallet capture an even greater market share at home while also putting itself in a position to go after international users.
Offering Chinese travelers a familiar experience will keep them engaged and encourage loyalty. In China, users can not only make in-store purchases using Alipay, but they can also use the app to make bill payments, book hotel reservations, and order a taxi. By incorporating these features into the international experience, the large number of outbound Chinese tourists will have little reason to try alternative payment options while shopping overseas about 122 million Chinese tourists traveled in 2016, and an estimated 700 million trips are planned for the next five years
By partnering with global tech firms, Alipay could position itself as an attractive mobile wallet offering for international users. Mobile wallets have not taken off in foreign markets like the US for a number of reasons, one of the primary ones being a limited number of use cases. Consumers don't find the convenience of using their phone to pay for goods as enough incentive to adopt a mobile wallet. However, by offering consumers a full suite of local offerings, such as access to Yelp content, the ability to use a ride-sharing service, and the option to chat with friends, Alipay may be able to attract consumers and induce massive overseas adoption.
The U.S. payments ecosystem is in the midst of a shift toward mobile, and countless new and old stakeholders are attempting to accelerate this migration, which is moving at a glacial pace relative to other markets globally. But mobile payments can rise to the mainstream. For companies seeking to build out a robust mobile payments product, China's thriving mobile payments ecosystem offers some insight and some lessons.
BI Intelligence, Business Insider's premium research service, has compiled a detailed report on mobile payments in China that:
Forecasts and compares mobile payments volume, in-store mobile payments users, mobile payments volume per capita, and mobile commerce penetration in China and the U.S.
Overviews the key competitors in China's mobile payments market, and how new entrants may shuffle the hierarchy of dominant players.
Uncovers the key drivers propelling China's mobile payments market.
Identifies which drivers the U.S. can import from China, and which barriers may be standing in the way.
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