Ant Financial Services and First Data have announced a partnered with First Data to enable users across US to make payments at over 4 million merchant partners of First Data. The launch will commence with clients using First Data’s Clover platform. The partnership will enable merchants in the US to accept Alipay payments from Chinese travelers, and send offers and relevant information to them when they arrive in US.
Alipay has a network of over 100,000 retailers in around 70 markets. Currently, Alipay holds approximately 68% of the Chinese mobile wallet market share with 455 million users. US lags China in ecommerce transactions – China represents almost half of the world’s ecommerce sales with 47% market share whereas ecommerce sales in US account for approximately 20% of the global sales. US mobile payments market is not significantly dominated by any firm. Apple Pay and PayPal are the leading mobile payment firms in the country and this offers room for Alipay to grab the mobile payment market.
Alipay focuses on targeting the Chinese travelers across the globe, who are comfortable using its payment services in China. In 2016, Chinese tourists spent over $250 billion while traveling abroad. Over the last year, Alipay entered into partnership agreements with 10 international airports along with Tokyo, Munich, and Auckland. In October 2016, Alipay announced partnership with DFS Group to enable payments via Alipay at San Francisco International Airport.
The mobile wallet market in United States in terms of transaction volume is projected to reach 41,859 million in 2021 from 10,126 million in 2017; recording a CAGR of 42.6%.
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