According to the most recent data, WeChat has passed a milestone of a billion users which puts it far ahead of any other Chinese social media platform. Measuring trends on such an enormous network could potentially bring the most statistically accurate data to marketers.

Up until a few weeks ago, it was not possible to get a hold of such metrics on WeChat. Fortunately, the platform has just released a new WeChat Index tool that allows viewing some basic trends on keywords.

The good news is that, from marketers’ perspective, WeChat is finally moving in the right direction. However, the bad news is that the data that is generated by WeChat Index is very limited. There are no any equivalents to options available from the previously reviewed tools: Baidu Index, Qihoo Index and Weibo Index.

In order to access the tool, user has to enter Chinese words “微信指数”into the search bar and tap on the first result. This opens up the prompt as shown above.

If one is planning to use WeChat Index frequently, it easier to simply pin this page to the top of the chat sessions by choosing option “Sticky on Top”.

Typing the keyword “iPhone8” returns the search trend graph:

Just like with the other index tools, the data can be viewed for 7, 30 or 90 days but there is no option to customize the date range:

It is still not clear what the total number (350,016 in this example) actually represents. In fact, it remains the same no matter what date range is chosen (a bug?):

Although, WeChat Index is a good start, in its present form, it can hardly offer any useful information. Also, it seems that only popular keywords, probably those with high enough search volumes, can be viewed.

Despite the fact that WeChat could record all the search and user related data, WeChat Index doesn’t display any geographical distribution, audience analysis or related keywords. So, essentially, it is only good for getting an idea on general search trends within the network for certain popular keywords.

Release of WeChat Index to the public is still a very good start and points to the possible course correction by Tencent. It has started to move, albeit slowly, from a private communication network to discovery platform.

Also, WeChat search function now has more options and is increasingly used for searches on wide range of topics. In order to read the articles from the search results, one has to follow the account it was posted on which opens another route for official WeChat accounts to acquire new followers.

Here are our tutorials on China keyword research tools:

Keyword research on Baidu: Baidu Index

Keyword research on Qihoo: Qihoo Index

Keyword research on Weibo: Weibo Index

Keyword research on WeChat: WeChat Index

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If you are on a bootstrap budget, the first thing to try would be finding a freelance translator through sites like Upwork or Freelancer. It’s by far the cheapest option but could also be a hit and miss. Typically, we always suggest to have your site translated to both Simplified Chinese for Mainland China  audience and to Traditional Chinese used in Hong Kong and Taiwan.

Even though, both Taiwanese and Hongkongneese  would have little problem reading content in Simplified Chinese, having those two choices would be seen as showing respect to millions of Traditional Chinese readers. Large number of corporate executives and managers of companies in China are from Taiwan and Hong Kong and it would certainly be a good idea to offer them proper translation as well.

Many freelance translators, who are native Chinese speakers, don’t have a good grasp of Traditional Chinese and would simply use machine translation program, like Baidu or Google Translate, that simply substitute Simplified to Traditional characters. As a result, Traditional Chinese translation would often look awkward and, sometimes, completely unreadable. If you use any of the freelance translators, make sure to test them first by asking them to translate a paragraph to both languages and have it verified with a native Taiwanese or Hongkongnese.

Never hire translators who are not native Chinese speakers, this would be a complete waste of your money. You should also make sure to verify the work before you release the payment.

Localization is not the same as translation of the content, although translation is the major part of it.

Another option is to hire a professional translation company but, unfortunately, many of them are simply a one-two man operation, regardless of what they say about themselves on their website. Large number of them would use machine translation software with some corrections afterwards. Be prepared to shop around for a while as, in our experience, 80% of such firms provide very low quality work.

Just like with the freelancers, you should test the quality first by asking them to translate one paragraph and, if you suspect that machine translation has been used for any of the languages (most likely Traditional Chinese), don’t hire them.

If you are prepared to spend anywhere around $1,000 or more, make sure to have a written contract with such company. The contract should stipulate that the company must correct the translation within 2-4 weeks after submitting it to you if you find any issues. There must be a legal recourse clause in the contract in case of substandard quality of the translation but it’s always time limited, so make sure to check their work carefully as soon as you receive it.

In the coming post, we will discuss other aspects of web presence localization specific to China market.

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Here are some of the examples of the most common questions:

• When it comes to China B2B marketing, what tools are the most effective?
• Is it critical to establish B2B company’s presence on Chinese social media and if so, which platforms are the must have?
• How can companies re-purpose their existing campaigns on traditional Western platforms for Chinese market?

In this post we have attempted to consolidate our answers to those questions in an easily digestible Q&A format.

China B2B Marketing Q&A

Q1: What is the significance of digital marketing in the China B2B (Business-to-Business) market?

Chinese workforce is very well connected digitally, hence reaching it via those channels is an effective way to engage with the decision makers at all company levels. A lot of communication is taking place within WeChat, both on one-to-one basis as well as in the groups. Taping into that space can prove extremely beneficial for brands selling products to other companies.

Q2: Are there any differences between B2B and B2C?

Yes, some digital platforms are less suitable for B2B, however that would also depend on the type of business you are in. B2B sales process is generally longer and involves more than a single decision maker while this is usually not the case for B2C. Since there is practically no impulse buying in B2B, the marketing should focus on stressing product’s benefits and establish trust rather than relying on the emotional appeal.

Q3: Should companies manufacturing and distributing industrial goods invest in digital marketing activities – in general and especially in the Chinese market?

Yes but, perhaps, not to the same extend as B2C companies. Depending on the niche, B2B companies should invest in quality content that can be distributed to the target audience via WeChat or company blog.

On the other hand, digital marketing helps to establish brand reputation which goes a long way in developing trust, a critical component in B2B sales.

Q4: What are the most important instruments of digital marketing in China in relation to industrial goods?

In our experience, the most effective tools for such companies are WeChat official accounts, search engine marketing and email marketing. They can target potential buyers at different levels of the sales funnel and, if done correctly, will complement and leverage each other.

Q5: Should all these instruments be used in parallel or does their use depend on product group and target group?

Depending on the niche, some channels can be more of less effective. It also depends on where the potential customer is in the sales funnel: SEM is best for finding new business while WeChat and EDM are best for getting repeated business and strengthening brand image and reputation.

Q6: What hurdles do B2B companies have to overcome if they want to start digital marketing activities in China to reach their target group?

It is unrealistic to only rely on digital tools to grow business in China B2B marketing context. Direct marketing and trade shows should be used in the combination with online platforms.

Both digital and offline methods should ideally complement each other and be a part of coordinated strategy. For example, a sales person meeting with a client should have that client’s email recorded in the email database that will be later used for targeted email marketing campaign (with their permission of course). At the same time, that same sales person should also encourage a client to follow company’s official WeChat account, so he or she will be included in a more extensive long term WeChat based marketing effort in the future.

Q7: What is your opinion on data protection with regard to the collection of personal data using digital marketing tools?

Chinese are generally less concerned with privacy compared to Westerners but there are relevant laws and regulations that must be followed. Cybersecurity law that was adopted about 1.5 years ago is very detailed and fairly complex. Companies who collect and store personal data must make sure to stay in compliance with the law or face heavy penalties.

Q8: Which digital marketing instruments should be part of a strategy for the Chinese market and why?

The big ones are WeChat, Weibo and search engines like Baidu and 360Search. WeChat presence is a must for most brands, but Weibo is more suitable for brands that have a social element in their marketing approach. Baidu and 360Search are used to target potential customers early on in their search or discovery stages.

Q9: Is there a need for a different digital marketing strategy for the Chinese market than, for example, for the European or American market?

There is no direct equivalent to WeChat in the Western markets, and there are no direct parallels with Twitter or Facebook in China. Each Chinese platform is a combination of some of those features. Therefore, copy and paste of Facebook/Twitter marketing to those channels would probably not work.

Brands should familiarize themselves with pros and cons of each platform and adjust their strategies accordingly. For example, the requirements for content size, style and formatting are different among those services and may be suitable for different purposes.

Q10: What approach do you recommend to newcomers to creating a digital marketing strategy in B2B for the Chinese market?

Newcomers should start off investing in SEM and WeChat marketing in combination with traditional direct marketing which is aimed at building networks of business contacts at traditional offline events such as trade shows.

If a foreign company is at the beginning of their journey in Chinese market, they will be better advised to outsource such efforts to professionals.

Q11: How important are defining the target group, analysis and selection of suitable measures and instruments for the creation of a suitable digital marketing strategy?

B2B companies usually have a good idea of who their customers are and what they are interested in. Therefore, detailed definition of target audience like it is common in B2C (psychographics, behaviors, interests etc.) is often less relevant when applied to China B2B marketing context.

Q12: Where do you see opportunities but also risks here?

Prevalence of digital tools in China presents a unique opportunity to have a direct access to customers and engage them on a constant and intimate basis as long as the company can offer good value with their content.

The risk is mainly over-reliance on digital tools neglecting traditional “offline” methods that are still the most effective in building business networks and develop brand trust in China B2B marketing environment.

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Should marketers adopt cross-cultural approach in marketing communication or attempt to take into account psychological and socio-cultural associations and meanings that different colors convey in various cultures?

Most of the research on color theory has been done in the West and was primarily focused on Western color perceptions. It comes to no surprise that those perceptions differ significantly in the East. Since the color is an integral element of corporate and marketing communications it is important to understand those differences and make necessary adjustments in order to induce desired moods and emotions, which in turn, will help influencing consumers’ perceptions and behavior.

In this post we’ve pulled together information from several sources: article by MUBEEN M. ASLAM in Australian Journal of Marketing Communications (Vol. 12, No. 1, 15–30, March 2006); A Look into Color Theory in Web Design by Sixrevisions.com and Color Branding: The Meanings Behind Colors by Everyjoe.com.

Let’s start looking at each of the main colors:

Red

Western perception: Masculine, Love, Lust, Fear, Anger

Chinese perception: Love, Happiness, Luck

Summary: while powerful and strong, red also carries some negative connotations in Western culture. For Chinese, however, red is almost universally associated with the positive and good taste;

Yellow

Western perception: Happiness, Energy, Jealousy

Chinese perception: Pure, Good taste, Royal, Authority

Summary: yellow is perhaps the second most culturally important color after red for the Chinese. Historically, red & gold (yellow) were the colors associated with royalty;

Green

Western perception: Growth, Harmony, Good taste, Lack of experience

Chinese perception: Pure, Reliable, Happy

Summary: green has been extensively used in web design and remains popular across all the cultures, one of the “safest” colors in marketing design;

Blue

Western perception: High quality, Trust, Dependability, Coldness

Chinese perception: High quality, Trustworthiness

Summary: universally perceived as a “color of trust”, blue remains the most popular design choice for corporate sites across the continents, excellent fit for health products;

Purple

Western perception: Authority, Power, Sophistication, Luxury, Feminine (lighter), Sadness (darker)

Chinese perception: Expensive, Luxury, Love

Summary: there are definite similarities in the perception of purple across most of the cultures and it remains a popular choice for designs reflecting sophistication and high value;

Black

Western perception: Expensive, Elegance, Sophistication, Fear, Grief

Chinese perception: Expensive, Powerful

Summary: for the Chinese, black doesn’t carry the same negative association common in Western cultures (death, unknown) which may complicate its usage to fit both markets.

White

Western perception: Purity, Happiness, Innocence, Cold, Distant

Chinese perception: Death, Mourning

Summary: perception of white couldn’t be more different between Western and Eastern cultures. While gaining popularity in modern design in the West, it should be used with caution for the Chinese audience;

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In the second part we are going to look at each of the remaining communication channels:

Email

Email communication is one of the preferred ways to communicate with your customers in China, also being the most convenient method to maintain contact with your existing clients. While many Chinese may feel embarrassed of the low level of their oral English communication abilities, they would feel quite comfortable discussing the same issues in the written communication.

In fact, most business people in China today have a very decent level of written English making it preferable to direct phone calls. Email is a great way to follow up on meetings and provide more details after initial contact. Make sure to write your emails in plain language and avoid long sentences to keep it more readable.

Websites

Having a localized website is essential for promoting your business in China, a country with the estimated 400 million email users. Localization of your website requires a well planned effort with the most important aspect of it, translation, discussed in our previous post.

 92% of Chinese internet users use some sort of social media platform making it essential to maintain your presence there as well.

Having professionally designed, modern looking website may also set you apart from most Chinese based competitors that tend to have messy and cluttered sites. Remember, that your website is probably the first place an interested client will go to after meeting your for the first time.

Social Media

92% of Chinese internet users use some sort of social media platform making it essential to maintain your presence there as well. Sina Weibo, Chinese micro blogging platform and WeChat, mobile network, are by far the most popular of those services. The great thing about Weibo and WeChat is the ability to spread your message instantly and directly to your followers’ mobile devices.

Once you’ve setup your Weibo account, make sure to put its URL and QR code on your printed and digital marketing material and encourage your customers to connect (WeChat is different from Weibo in that way).

LinkedIn is currently not as popular in China as the alternative professional networks, we will review those services in subsequent posts.

Face-to-face meetings

Personal connection still rules in Chinese business environment. Taking time to personally visit your customers is one of the best investments you can make.

Insist on accompanying your sales people, your agent or distributor on their visits even if you don’t speak any Chinese. If you make a presentation, make sure that someone from your company, who knows the material, provides proper translation.

Phone calls

While phone calls can be of limited use if your clients have a difficulty understanding your English (or your accent) they still can be an efficient way to keep in touch with those who do speak it well enough. However, with the proliferation of instant messaging, where one can control his/her availability, calling someone’s cell phone directly may seem less considerate.

Great mobile instant messaging services, such as WeChat, could be a great way not only to communicate but also to spread your marketing message as well.

Post (Regular Mail)

Mailing printed material is one of the least efficient ways to communicate in modern times and China is no exception. In B2B marketing settings, mailing information by post is quickly losing its value and I’d advise to avoid it;

Relationship and Networking

Chinese guanxi remains important in Chinese business environment, although the whole concept can be alien to many foreigners. Guanxi refers to one’s network of personal relationships in a business context. The concept of guanxi also implies that business relationships can often transform into personal friendships, and indeed many Chinese business people consciously spend a great deal of time and energy nurturing such relationships. This can take the form of banqueting, evening entertainment or gift-giving – activities that can seem onerous and unnecessary to many Westerners.

As Matthew Harrison and Mark Hedley of B2B International write in their white paper: “Although such networking and relationship-building is clearly important to the sales process in China, there is a tendency among some commentators to overemphasize its importance when trying to penetrate the Chinese market.

As in any market, building strong relationships is extremely important to achieving market success, although guanxi is no substitute for a strong product offering or a trustworthy supplier. What Western companies sometimes have difficulty coming to terms with is the way in which this trust is gained, and the time it often takes to convince the customer that yours is the product or service that meets their needs. The overriding piece of advice for Western companies would be to understand the importance of establishing relationships when targeting Chinese companies, and to be prepared for the patience required for this.”

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The following conclusions are primarily based on our B2B marketing experience in China as well as the research by Matthew Harrison and Mark Hedley of B2B International.

Exhibitions and Conferences

Exhibitions and Conferences are one of the most efficient ways to establish the first contact and help maintaining brand awareness in the market. Largely seen as a waste of time and money by Westerners, trade shows enjoy huge popularity in China with their number growing every year.

Obviously, setting up a trade show presence is one of the most expensive marketing promotion events but it is essential at the introductory stage and is great to establish the first contact. Cost can also be kept lower if you decide to partner up with another company, your agent or distributor. You don’t need to have a grand booth with lots of square footage to make an impression but an attractive and memorable design is very important.

Your spending time and money on trade show presence also would help to convince potential buyers that you are committed to the local market and are here to stay.

Well designed posters, strategically positioned video monitors and nice gifts to your visitors can go a long way in bringing traffic to your booth which is, ultimately, what you want at a trade show.

As Matthew Harrison and Mark Hedley of B2B International noted in their white paper:

“Chinese visitors would feel much more comfortable dealing with a company that they have seen at the exhibition, even if it was just a first introduction. Your spending time and money on trade show presence also would help to convince potential buyers that you are committed to the local market and are here to stay.

It is also worthwhile remembering that exhibitions are an indirect form of marketing and seldom result in immediate sales leads in the short term. The benefits of attending such exhibitions can seem frustratingly intangible to Western companies, since there is no way to assess their true impact on sales. It may be the case that Chinese business people are culturally disposed to over-emphasize the importance of trade shows and exhibitions, although it is also the case that companies that fail to attend key exhibitions can create a negative impression with customers just by virtue of being absent.”

Vast majority of the trade shows take place in 1st tier cities: Shanghai, Beijing, Shenzhen and Guangzhou but recently, more and more of them are getting organized in 2nd and 3rd tier cities as well.

Here is a great resource listing nearly all exhibitions, trade shows and conferences in China: http://www.eventseye.com/

If you are contemplating your first trade show in China, this is what I suggest to consider in advance:

1. Always go for the largest and the most attended show in the primary location of your customers;
2. Make a booking as early as possible as good spots are gone very quickly. Some organizers sell the spots by bidding which you, or someone from your staff, has to attend;
3. Visit the show a year earlier to get the feel of it. Look for the most interestingly looking booths and inquire about their building contractor who you contact later;
4. Quality of the booth building could be a major problem, so look for a reputable contractor in advance and monitor their progress during the actual construction by being on site all the time;
5. Make sure to have enough souvenirs for your visitors – some cheaper ones, like pens, as well as more expensive ones for selected customers who take their time to ask your questions and seem genuinely interested.
6. There is nothing more frustrating that running out of souvenirs and handouts before the show is over, on the other hand, if you still have a surplus – you can always use them next year or at another show;
7. Prepare your marketing material (brochures, datasheets etc.) in Chinese with smaller quantities in English for international visitors;
8. Choose a “featured product” and build the entire theme around it. Focus on one message you want to convey and avoid confusing your visitors (especially those who don’t know you yet) by being all over the place;
9. Instruct your staff to keep an eye on the competitors by not offering them your material and handouts. Eventually, they will probably get what they want anyway but why make it easy?

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If you have spent some time looking at Chinese ecommerce websites, you can’t help but notice how incredibly cluttered they look. In fact, most of that apparent clutter is a result of link-heavy nature of Chinese internet in general.

What might strike a Westerner as an overwhelming overload of information is likely to be perceived as a content rich and intuitive site by the Chinese.

Here are just a few examples of the most popular sites in China:

Contrast it with the clean and modern look of the Western equivalents:

Chinese website designs seem to be completely avert to modern look with its extensive use of white space, large fonts and well designed color patterns.

Since, apparently it works in China, otherwise they would have “modernized” their designs by now, I became determined to find out why is that the case.

First explanation that I came across was given by Yu Gang and David Wei in their interview with CNN correspondent Kristie Lu Stout in one of CNN episodes “On China”:

The full transcript of the interview can be found here.

Another explanation on what is causing the preference towards link heavy sites in China was given by Barry Lloyd’s, President of WebCertain Asia (read the full article):

…when you go into the Chinese consumer psyche, they want to have a chaotic bazaar type experience…They want to create this shopping atmosphere

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International education in China: facts and trends

The main reasons behind increased demand for international education are internationalization of labor, the rapid growth of academic mobility at the higher education level, and the increasing dominance of English as the language of business.

International education in China has been mainly the market for the children of expatriate families. Government regulations have been holding back the development of this sector for locals which, potentially, could be practically unlimited. Therefore, 410 international schools in China have mostly been teaching foreign children or those from mixed marriages where one parent is a foreigner.

Dulwich College has been one the most well represented international schools in China with facilities in Beijing, Shanghai, Suzhou and Zhuhai. Presently, every single first tier city and larger number of second tier ones, have at least one American and one British school and their numbers keep growing.

Some of the most well-off Chinese parents go as far as obtaining for their offspring passports from African and Caribbean countries which are used for the sole purpose of qualifying them for international schools. This is why it is not uncommon to come across Chinese kids with Gambian or Senegalese passports enrolled in some of those prestigious educational institutions.

Moreover, international education in China is also one of the most expensive in the world with fees reaching $40,000 per year for high-end Shanghai and Beijing schools. Such price level is already comparable to tuition fees of top Western universities.

Trying to tap into this lucrative market, increasing number of private Chinese schools are now offering international curriculum for locals. Students in such schools can choose to opt out of traditional Chinese programs in favor of English based ones in order to boost their chances of enrolling in top Western universities.

There are also signs of authorities gradually easing their strict rules with regards to international education in China. One of them was a relatively recent relaxation in the regulations for Sino-foreign school partnerships. If the regulations are eased further, and given Chinese students’ demand for overseas universities,  the market will most certainly grow further.

Considering Chinese parents insatiable drive to invest in the their children education combined with the means of large number of them to do so, international education in China is well on the way to become the largest market globally.

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The latest China cybersecurity law have had broad implications to technology companies operating in the Mainland. It also covers wide range of areas which were not explicitly defined up until the enactment of the law.

In this post, we are going to summarize most important points of the law, specifically those having the broadest implications.

5 Most Important Takeaways from China cybersecurity law

#1: Real name requirements

The law makes sure that user’s anonymity online will no longer be tolerated – every messaging service and social network operating in China is now required to verify users’ identity. Only real names must be used and user’s personal information must be verified by providers who are required to deny service to anyone who refuses to comply.

Many Chinese internet companies have already been gradually implementing these requirements before the law took effect. After it has become official,  some retroactive action also affected existing users who haven’t been properly verified. Failure to pass verification now typically results in account suspension.

#2: Data localization

Article 31 of the new China cybersecurity law requires that citizens’ personal information must be stored within China borders. In addition to personal data, the regulation loosely defines “other important data gathered and produced during operations” which must also be stored on local servers. This clause is applied to “critical information infrastructure operators” which, in effect, means any network provider with large user database.

This requirement has already affected companies that presently have to move users’ data overseas for processing. Such companies are not be able to continue doing this without applying for a government’s permission. Some foreign tech companies such as Apple, were forced to store their user data locally which already caused backlash from some users.

#3: Prohibited content

Network operators are officially required to censor content and remove any prohibited material. The law states that “any person and organization shall, when using the network, abide by the the Constitution and laws, observe public order and respect social morality”.

It further expands to what is considered illegal content to be circulated online: “activities harming national security, propagating of terrorism and extremism, inciting ethnic hatred and ethnic discrimination, dissemination of obscene and sexual information, slandering or defame others, upsetting social order, harming the public interest, infringing of other persons’ intellectual property or other lawful rights and interests”

#4: Technology “backdoors”

The “cybersecurity” part in China cybersecurity law was further expanded by including requirement to submit to security reviews by authorities. Article 23 stipulates that “for the needs of national security and criminal investigation, investigating organs may request network operators provide necessary technological support and assistance in accordance with laws and regulations.”

This part has already been causing concerns to foreign technology companies as the requirement could also mean providing encryption backdoors or other surveillance assistance to the government. Fortunately, the requirement of source code disclosure in earlier draft version was removed amid protests from US and other countries.

#5: Critical information infrastructure sectors

The law further defines so called “critical information infrastructure” industries that includes telecommunications, energy, transportation, information services, finance, public services, military and government networks as well as “networks and systems owned or managed by network service providers with massive numbers of users”.

Those sectors are specifically singled out for additional checks and measures for establishing security safeguards enacted by the State Council.

#6: Legal responsibility

Chapter IV of China cybersecurity law prescribes punishments and penalties for violators. The fines range from RMB 10,000 to 1 million and can be applied to both organizations and individuals.

Repeated violations will result in temporary or permanent service suspensions, revoking business licenses, freezing assets and criminal responsibility.

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The rapid adoption of digital payment systems continues to transform Chinese economy and society in unprecedented ways. Nowadays, handling cash seems like a thing of the past with nearly everyone in China using one of the two main payment systems: AliPay or WeChat Pay.

When is comes to digital payments, China is, undoubtedly, the technological leader. Once Chinese payment systems have become the primary payment method online, brick-and-mortar stores started to adopt them for offline payments as well.

Today, practically every business in China, big or small, finds it much more convenient to settle bills via AliPay or WeChat Pay compared to traditional cash.

Several factors are responsible for such universal adoption of digital payments in China. The fact that it is backed by ecommerce giants such as Alibaba and the top tech innovator, Tencent, was the most critical component. Also, as it turns out, having digital cash is a much safer way to handle money in China – it is harder to lose, there is no problem with fake bills and there is almost always a recourse to get money back in case of a fraudulent transaction.

Another big reason for wide adoption of digital payments in China is the fact that those platforms integrate seamlessly with a bank accounts using real name authentication. This is another reason why the fraud with those system is rare and much harder for criminals to pull off (although it does happen).

Two if the largest Chinese payment systems are AliPay, backed by Alibaba and WeChat Pay, introduced by WeChat maker Tencent. Although, WeChat Pay was a relative late comer, it quickly catches up with AliPay in terms of market share.

In fact, most Chinese have both AliPay and WeChat Pay wallets and use them interchangeably. Other payment systems platforms have sprung up as well, achieving a fare amount of success, although nothing on the magnitude of AliPay or WeChat Pay.

QQ Wallet is a system used by QQ, an ecosystem of apps and digital products by the same Tencent. Baidu has it’s own system called Baidu Wallet which was launched even earlier then WeChat Pay.

Out of non-Chinese payment systems, only ApplePay has reached some degree of recognition, although it enjoys much less popularity. Since it uses NFC technology, it often cannot be used with more popular Android phones. QR code based Chinese payment systems of AliPay and WeChat Pay are much more flexible as they don’t require any special reading devices besides a simple camera.

AmazonPay, PayPal and others remain relatively unknown and are unlikely to gain any meaningful market share in China. One of the issues with those platforms are high transaction fees when funds are withdrawn back to a bank account. AliPay and WeChat Pay don’t charge anything for the amounts that most people use them for (some fees start to kick off when a certain transaction limit is reached).

Here is the chart put together by Statista showing the market share of various Chinese payment systems:

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