WeChat Pay in Europe
Do you know how many tourists around the world are now enjoying cashless payment methods? With the recovery of the outbound tourism market, WeChat Pay has quietly become a "new tool" for merchants in various European countries to attract Chinese tourists.
Whether in fashion stores in Italy, luxury shopping malls in France, or duty-free shops in airports in Spain, WeChat Pay now covers a wide range of popular areas across Europe. This convenient mobile payment method not only enhances the service experience but also helps local merchants quickly capture the surge in consumption opportunities among Chinese tourists.
This article will explore how WeChat Pay entered the European market, using cases in countries like Italy, France, and Spain to demonstrate how WeChat Pay provides convenience for both Chinese clientele and local merchants. We will also discuss how Silkpay helps merchants smoothly integrate WeChat Pay, enhancing the customer experience.
What is WeChat Pay?
WeChat Pay is a convenient and fast mobile payment method launched by Tencent. It is integrated within the WeChat application, enabling users to make various payments, transfer and manage funds. Users can complete payments by scanning the QR code provided by merchants with WeChat or show their own QR code for merchants to scan. WeChat Pay can be used in a wide range of scenarios, both in physical stores and for online shopping.
How does WeChat Pay work?
Before using WeChat Pay, users need to link their bank cards to WeChat Pay or add funds in their WeChat Pay balance. The payment process differs slightly between online and in-store transactions:
WeChat Pay online on mobile:
The customer selects WeChat Pay as the payment method at the checkout.
The customer is redirected to the WeChat Pay page for authorization and payment.
Once payment is completed, the confirmation is immediately sent to both the customer and the merchant.
WeChat Pay online on computer:
The customer selects WeChat Pay as the payment method at the checkout.
The customer is redirected to the WeChat Pay page and scans a QR code.
The customer scans the QR code, authorizes, and completes the payment.
Once payment is completed, the confirmation is immediately sent to both the customer and the merchant.
WeChat Pay in-store:
The customer can use WeChat Pay to scan the merchant’s QR code or show their WeChat Pay QR code to the merchant for scanning.
The customer then verifies the payment information on their phone and confirms their identity by entering a password or using biometric authentication.
Once the payment is completed, the confirmation is immediately sent to both the customer and the merchant.
How WeChat Pay entered the European market
WeChat Pay began expanding into overseas markets in 2016. Its initial goal was to provide a familiar payment method for the growing number of Chinese tourists traveling abroad. To achieve this goal, Tencent adopted a strategic partnership model, collaborating with local financial institutions and payment gateways, such as Silkpay, in multiple regions, including Asia, Europe and the Americas.
In 2017, WeChat Pay officially entered the European market. More and more merchants in Europe started to accept it in their stores to attract foot traffic. Thus, the European market has begun to become WeChat Pay's main growth market.
WeChat Pay in Italy
In 2018, WeChat Pay had entered the Italian market, and more and more local merchants began to adopt this payment method. The influx of tourists brought by the China-Europe Tourism Year further accelerated the adoption of WeChat Pay in Italy.
This move aims to help Italian merchants attract a large number of Chinese tourists, particularly in the fashion and luxury sectors. By allowing Chinese tourists to pay with their mobile phones, Italian merchants significantly enhance shopping convenience and service experience, increasing their appeal to tourists.
WeChat Pay in France
In France, Groupe ADP introduced WeChat Pay at Paris Charles de Gaulle Airport, primarily in duty-free and luxury stores like L'Occitane, Fendi, and Hermès. This project was first piloted in 2017 and then gradually expanded in 2018 to provide a convenient payment experience for Chinese travelers. Known for offering a variety of payment services to tourists, the introduction of WeChat Pay further strengthened the airport’s appeal as a key entry and exit point for Chinese tourists.
Subsequently, several popular shopping malls in France began to support WeChat Pay, particularly in major department stores such as Galeries Lafayette and BHV MARAIS, offering a seamless payment experience.
Recently, Rail Europe headquartered in Paris, officially launched its official WeChat mini-program, which has a Chinese interface and allows payment via WeChat Pay, providing Chinese travelers with a more convenient European train experience.
WeChat Pay in Spain
In Spain, WeChat Pay was first introduced through World Duty Free at Adolfo Suarez Madrid-Barajas Airport’s duty-free stores, and later gradually expanded to other airports. Spain’s airport duty-free stores can now more effectively cater to the Chinese tourists’ needs.
In 2024, a new initiative aimed at making shopping easier for Chinese tourists in Spain will allow them to use popular Asian digital payment methods, such as WeChat Pay and Alipay. So multiple stores in most popular tourist destinations like Barcelona now accept WeChat Pay.
The introduction of WeChat Pay in Spain increases local tourism revenue. This move has also encouraged more Spanish merchants to consider WeChat Pay as a payment option, providing Chinese tourists with a more seamless shopping experience in Spain.
Why merchants need to accept WeChat Pay
Reach 1 billion WeChat Pay users
Following the pandemic, China's outbound tourism market has recovered. As a leading mobile payment service, WeChat helps Chinese tourists and international merchants achieve a better travel experience.
During the 2023 International Labor Day holiday, many Chinese people chose to travel abroad. Data shows that WeChat Pay’s daily average offline transactions increased by 88% year-on-year. The average daily spending also rose by 75%.
The President of WeChat Pay’s international business stated that WeChat Pay has always been looking for ways to expand coverage and make it easier to use.
WeChat Pay now covers 69 countries, regions, and cities worldwide. It also has connected more than 4 million merchants worldwide. Consumers can participate in promotions, discounts and points to purchase products.
Companies using WeChat Pay can access China’s vast digital payment market. With nearly 1 billion active users, WeChat Pay’s extensive reach provides businesses with a large user base.
Fast and easy QR code payment
Customers only need to scan a QR code to quickly complete payment, without carrying cash or entering bank card information. This approach not only makes the payment more convenient but also significantly reduces queuing and waiting times.
Additionally, since no devices need to be touched, WeChat Pay provides a contactless payment experience, meeting people’s needs for hygiene during and after the pandemic.
Seamless cross-channel experience
One of WeChat Pay’s advantages is its broad cross-channel usage. Whether in physical stores, or online, WeChat Pay can be seamlessly integrated into a business’s existing payment system, allowing customers to enjoy a consistent payment experience across different consumption scenarios.
Moreover, merchants can also promote their offerings through WeChat mini-programs. Without needing a separate app, customers can directly access and browse products within WeChat and complete payments, achieving a true "one-stop" shopping experience.
How Silkpay helps merchants accept WeChat Pay
Silkpay provides multi-channel payment solutions for merchants in Europe, the Americas including enabling merchants to accept WeChat Pay. Merchants can accept WeChat Pay online or in-store in the following three main ways:
POS machine: Silkpay helps merchants accept WeChat Pay and Alipay via the PAX A920Pro, the latest model POS machine.
Printed QR code: a QR code is displayed in-store, which customers can scan with the WeChat app to complete payment.
PaybyLink: for remote purchases, merchants send a payment link to customers via email, SMS, or social media, and customers click on the link to complete the payment.
With flexible and reliable payment services, Silkpay helps merchants stand out in the competitive market and drive global business expansion.
Conclusion
WeChat Pay is rapidly gaining popularity in the European market due to its convenient, efficient payment experience and its wide applicability across various scenarios. With the recovery of the outbound travel market, merchants that adopt WeChat Pay can better serve tourists and gain a competitive edge. We will also help merchants to be more successful through advanced payment services.
About the author: Silkpay
Based in Paris, Silkpay provides omnichannel and secure payment solutions to help physical stores and e-commerce in Europe and the Americas accept more than 30 of the world's most popular payment methods: Visa, Mastercard, CB, UnionPay, Alipay+, WeChat Pay as well as Asia-Pacific’s major e-wallets.
Silkpay is a winner of the LVMH Innovation Award. The company was also selected as a finalist for the "Money 20/20" Best Startup and in the "MPE Berlin” Startup Awards. Silkpay also won the "Best Fintech" awards from Capgemini and BPCE.
Silkpay helps merchants deliver the smoothest payment experience to their customers. We are a talented and international team driven by a single goal: to improve the customer experience and make payments simple and secure.
Sources
https://www.chinadaily.com.cn/a/201801/23/WS5a66219ca3106e7dcc135d34.html
https://group.bnpparibas/en/press-release/bnp-paribas-launches-wechat-pay-europe
https://www.bbva.com/en/wechat-pay-lands-in-spain-hand-in-hand-with-bbva-and-world-duty-free/