Mobile Payment in China: 2011-2012 Edition

• Publication date: January 2012

Mobile Payment in China: 2011-2012 Edition is the fifth and latest edition of our most popular report. Simply put, it is the most up-to-date and comprehensive study available on China's mobile payment sector today. The report focuses on the top issue for m-payment in China in 2011: government licensing for "non-financial institutions". In this report we profile all of the companies to have received mobile payment licenses; they include many of C...

Mobile Payment in China: 2011-2012 Edition is the fifth and latest edition of our most popular report. Simply put, it is the most up-to-date and comprehensive study available on China's mobile payment sector today. The report focuses on the top issue for m-payment in China in 2011: government licensing for "non-financial institutions". In this report we profile all of the companies to have received mobile payment licenses; they include many of China's leading third-party payment providers, as well as new m-payment specialists, provincial payment processors, telecom operators, and payment-related software and equipment providers.
Mobile Payment in China: 2011-2012 Edition includes updated coverage on leading mobile payment business models, technologies, and services. In addition, we examine the key issues affecting the market heading into 2012 and forecast growth and major changes through 2015.

Key Topics

-Mobile payment licenses: coverage of all companies that received them, how they are being enforced, and how they will change the industry
-China's post-licensing market landscape: how China's operators, banks, and other payment powerhouses are adjusting
-NFC and contactless mobile payments
-Mobile apps and app stores
-M-payment global leaders' strategies for breaking into China's payment market

Companies Covered

-Third-party mobile payment providers: Alipay, China UnionPay (ChinaPay), Tenpay, Union Mobile Pay (UMPay), 47Pay, 99Bill, Chinabank Payments, IPS, Lianlian Pay, MoBo, Qiandai, SandPay, Shanghai FFT, Smartpay, Yeepay, Yinsheng E-Pay
-Mobile operators: China Mobile, China Telecom, China Unicom
-Banks: Bank of China, China Construction Bank, Agricultural Bank of China, Industrial and Commercial Bank of China (ICBC), China Minsheng Bank, China Merchants Bank, Bank of Communications, Shanghai Pudong Development Bank, China CITIC
-Foreign m-payment leaders in China: Apple, Google, Isis, Mastercard, PayPal, Square, Visa

Payment Processing Industry in China

Table of Contents

Executive Summary

1 Introduction to Mobile Payment in China 
1.1 Mobile payment definitions
1.2 Background on China's payment industry
1.3 Debit and credit cards
1.4 Mobile telephone and internet usage statistics
1.5 Government regulations and third-party payment licenses in China

2 M-payment Technologies and Business Models in China
2.1 SMS-based payment
2.2 Mobile internet payment
2.3 NFC and contactless mobile payment
2.4 Direct mobile billing (app stores)
2.5 Comparison of m-payment methods

3 Third-Party M-Payment Provider Company Profiles
3.1 47Pay
3.2 99Bill
3.3 Alipay
3.4 Chinabank Payments
3.5 China UnionPay (ChinaPay)
3.6 IPS
3.7 Lianlian Pay
3.8 MoBo
3.9 Qiandai
3.10 SandPay
3.11 Shanghai FFT
3.12 Smartpay
3.13 Tenpay
3.14 UMPay
3.15 YeePay
3.16 Yinsheng E-Pay

4 Other Key M-payment Industry Players
4.1 Banks
4.2 Mobile operators
4.3 Foreign companies and m-payment in China

5 M-payment Services Available in China
5.1 Mobile top-up
5.2 Mobile ticketing
5.3 Mobile banking
5.4 Peer-to-peer (P2P) mobile remittances
5.5 Mobile gambling and lotteries
5.6 Utilities payment
5.7 M-commerce retail shopping

6 Conclusions and Forecasts
6.1 Reasons for Optimism
6.2 Reasons for Pessimism
6.3 China m-payment market forecasts
6.4 Future trends to watch

List of Figures

Figure 1: China's late start: Banking and e-commerce milestones, 1950-2011
Figure 2: Bank cards in circulation in China, 2006-3Q 2011 (B)
Image 3: Sample co-branded debit cards
Figure 4: Debit cards in circulation in China, 2006-3Q 2011 (B)
Image 5: Sample Chinese credit cards
Figure 6: Credit cards in circulation in China, 2006-3Q 2011 (M)
Figure 7: Mobile subscribers in China, 2006 - November 2011 (M)
Figure 8: Internet users in China, 2006-1H 2011 (M)
Figure 9: Mobile internet users in China, 2006-1H 2011 (M)
Figure 10: Third-party payment provider license requirements
Image 11: Beijing's "Yikatong" contactless smartcard for public transit
Figure 12: Operator-run mobile app stores in China
Figure 13: Comparison of merchant and user fees for various m-payment methods in China
Figure 14: Typical product price comparison for various m-payment methods in China
Figure 15: Mobile operator overall and 3G user market share, November 2011
Figure 16: China mobile user forecast, 2011-2015 (M)
Figure 17: China 3G user forecast, 2011-2015 (M)
Figure 18: China mobile payment market penetration forecast, 2011-2015