Mobile payment is one of the greatest features that internet giants in China offer to the Chinese consumers. Seamless and convenient, mobile payments in China have facilitated consumer spending and changing the purchasing habit in recent years.
With the year-on-year growth of almost 300 percent, mobile payment in China reached nearly 20 trillion yuan in Q4 2016. According to iResearch, Alipay accounted for half of the market share in 2016, while it’s main competitor Tenpay – including WeChat Pay possess more than one-third of the market. Alipay market share is significantly decreasing from its stronghold of 80 percent two years ago, while Tenpay market share has increased by almost three times compared to 2014.
With WeChat Pay’s increasing popularity and wide user base, what are the opportunities for brands to leverage this feature?
- Enhance customer relationship
When a customer purchases with WeChat Pay, he/she will automatically follow the brand’s WeChat official account and receive its latest content updates. This new follower’s information can then be connected to the brand’s database. This binding process allows brands to identify the followers and customers segment – which is a crucial step for brands to send targeted messages that appeal to the user’s interests, hence, better customer relationship between users and the brand.
For example, if Michelle bought a dress from Shop A in Shanghai with WeChat Pay, her information will be automatically binded to the Shop A’s Customer Relationship Management system. Shop A gets useful information about Michelle – including her gender, the city she lives in, her buying interests, lifestyle preferences, etc. This allows Shop A to send messages and updates that are relevant to Michelle on WeChat, such as store discounts in Shanghai. As a result, Shop A is able to maintain a better customer relationship and build brand loyalty with Michelle.
- Optimize user experience
In the mobile-driven economy, convenience is the key to attract and retain your customers. One of the ways to achieve this is to enhance and streamline the user flow by integrating WeChat Pay into your WeChat store or e-commerce platform – allowing customers to buy your products with a few clicks. Entering credit card details or processing payment with an external link gives your potential customers time to reconsider buying from you. They may not buy it right away because of the hassle or they simply buy from other shops with WeChat Pay, instead of yours. Integrating WeChat payment will help boost your sales.
How to open a WeChat official account and increase your e-commerce sales in China? Contact us now and let’s find the best solution for you.
Photo credit: Business Traveller