Influx of Chinese tourists drives mobile payment providers expansion

MANILA, Philippines — Mobile payment providers are expanding their reach across the country, particularly targeting tourists destinations, due to the growing number of Chinese tourist arrivals.

WeChat, through its Philippine partner 58Pay Inc., is targeting to reach more resort and hotel merchants.

“We already have several hundreds (merchants) and hundreds more coming in,” said Robert Yupangco, board of directors of WeChat Philippines.

Yupangco said they are targeting to expand in areas such as Davao, Cebu, Boracay, Palawan, among others, in a bid to cater to the growing number of Chinese tourists entering the country.

From January to September, China remained the country’s second top source market accounting for 18.14 percent of total foreign arrivals with 972,550 arrivals, a 34.91 percent hike from 720,875 a year ago.

“They have nothing except little cash and WeChat phones. They are going all around the Philippines enjoying the tourism and all. And this is why we’re saying we’re here to accredit as much establishments,” Yupangco said.

He added the company is already in talks with a Boracay association of hotels and restaurants for a partnership to provide WeChat as mode of payment for tourists visiting the island.

Meanwhile, Alipay, through SmartPay Asia Philippines Inc. is also eyeing to provide more mobile payment options to tourist destinations frequented by the Chinese.

SmartPay president and chief executive officer Henry Diaz said Alipay is currently concentrated in Davao and Cebu, but is targeting to expand its services to Boracay.

He added they are also targeting to provide mobile payment options in Metro Manila to cater to tourists in shopping destinations.

Yupangco echoed this sentiment as he said WeChat is also targeting malls in Metro Manila such as SM Mall of Asia, Eastwood, Bonifacio Global, among others.

WeChat and Alipay recently partnered with Duty Free Philippines Corp. to be the official mobile payment providers for its stores.

“We welcome our partnership with WeChat and Alipay to provide an easier and more accessible payment option for our customers,”DFPC chief operating officer Vico Angala said.

He said the partnership is expected to increase DFPC’s sales from the Chinese market.

Property consultancy firm Colliers International Philippines earlier urged retail operators to adopt mobile payment schemes to lure more Chinese tourists.

Retail developments are urged to tap the growing foreign arrivals market by implementing more mobile and digital payment schemes to their stores, a property consultancy firm said.

“Colliers encourages mall operators to cash in on rising tourist arrivals and spending by acquiring mobile payment schemes that cater to Metro Manila’s major tourists markets such as the Chinese and Korean visitors that cover about 40 percent of the country’s tourist arrivals,” Colliers earlier said in a report.