Online payment market share China - SekkeiStudio

Internet tech giants make tradition digitalized

Last Updated on May 10, 2024

Chinese new year digital WeChat HongBao

From now and as incredible as it sounds, it’s possible to send a new year’s Eve HongBao to your relatives, friends and other family members, a virtual card involving real money and bank accounts, right from your phone.

An old money-related tradition – Chinese HongBao now on WeChat

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You\’ve just received a HongBao on WeChat

More than one billion RMB exchanged on WeChat for New Year’s Eve

Since Tencent and Alibaba are Tech Leaders here in China, it’s not that surprising they’ve found a way to embrace chinese culture,  as they are now part of chinese economic landscape, a step forward has been operated in the way of catching chinese user’s attention, getting more mobile users to sign up, days after days.

Does it work? Without a doubt, yes..  If we only consider WeChat figures,  on Chinese Lunar New Year, the social App was the exchange place of a 1.01 billion RMB (around USD 160 million, a lot of coins.. )

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The amount can be less than 1 rmb, maximum 100 rmb

Sina, Alibaba and Baidu also used the chinese HongBao as a way to make sure an increasing number of users will link their messaging App to their bank account.

Tencent WeChat was the most popular HongBao sending tool, probably thanks to their unrivalled PR expertise.

Indeed, HongBao feature from WeChat was quoted several times during the CCTV Spring Festival Gala, probably the most watched TV program on the planet at that moment.

810 million phones shaken per minute.

Tencent WeChat affirmed to have allocated 80 million dollars in marketing spending for the new year’s eve, just for the promotional HongBao sending. To have a chance to earn money, the CCTV show’s audience had to go through their WeChat App and shake their phone at a given time.

All together they won USD 80 million gift offered by Tencent, reaching an amount of shaking that peaked at 810 million mobile phones shaken per minute, which is incredible.

A great way to get new users to sign up

While people are probably reluctant to sign up for sending money, they are much more enthusiastic if they are about to be the receiver of an electronic money transfer.

It’s a significant and astonishing spending operated by Tencent during that 2015 chinese new year night. The purpose of this Hongbao give out operation is indubitably banking information collection.

Tencent, through this large-scale marketing operation, is seeking customer loyalty regarding their mobile banking services needs.

Leading companies for online payment and mobile money transfer

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In the early 2015, Alipay is the leading Tech company of online payment solutions, with a 48.8% market share.

Alibaba online payment division is followed by Tenpay – Tencent (19.8%).

The question remains how the leader Alipay will react to the new year WeChat Hongbao marketing offensive of Tencent.

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