Chinese travelers are spending more and more money while they're on an overseas trip due to the rise of mobile payment services, a new report suggested.
In a Nielsen and Alipay report titled 2018 Trends of Chinese Mobile Payment in Outbound Tourism, it was suggested that in 2018, the budget of tourists from China increased significantly to over $6,026. The figures are based on a per person margin.
According to China Daily, the report discovered that about 69 percent of travelers utilized mobile payment in their spending. This percentage is higher by 4 percent compared to 2017 data.
The survey that featured insights from 2,806 Chinese participants came up with more enticing results for entrepreneurs who would like to capitalize on mobile payment. The survey found out that 93 percent of the participants said they would most likely increase spending through mobile payment if the service becomes more visible in other tourist-friendly countries.
One of the companies that spearheaded relations with European businesses is Tencent. The Chinese tech giant's payment service, WeChat Pay, recently collaborated with Paris-based Le BHV Marais to improve exchange between Chinese customers and businesses in Europe.
The joint venture allows WeChat Pay users to have more access to customized products offered by Le BHV Marais. In fact, the department store has set up a pop-up branch as Chinese consumers celebrate the Lunar New Year.
President of International Business at WeChat Pay, Li Peiku, said in a statement, "Many Chinese people have now long been accustomed to going out without their wallet. Together with our global partners, we hope to extend the convenient experience of WeChat Pay overseas, so that global businesses can share the dividends of China's growing outbound travel market."
For Aja Godais, director of the customer service and international development for Le BHV Marais, the partnership is beneficial for both parties. Godais noted that WeChat Pay now has more chances of getting the attention of French brands.
Financial experts have recommended that companies should understand the payment preferences of Chinese travelers as this is a vital factor that will affect customer spending.
Last week, businesses in Southeast Asia revealed that their China mainland sales and customers increased significantly after they started using Alipay, Alibaba's mobile payment service.
An earlier report by analytics firm Nielsen revealed that almost 60 percent of merchants from Thailand, Malaysia, and Singapore experienced growth in their respective fields after they included Alipay in their modes of payment.
