Transcript
China Opportunities with UnionPay
I. What is UnionPay
II. Why UnionPay matters
1) Accept UnionPay card onsite to increase revenue from Chinese traffic
2) Accept UnionPay card online to reach millions new Chinese customers
3) Get UnionPay card to make Chinese trip a hassle-free journey
III.How to get UnionPay
Agenda
• 1st card scheme by cards in circulation worldwide
• 5 billion UnionPay Cards in circulation
• 1st debit card brand by spend• 2nd largest card scheme by
transaction volume worldwide• 42 trillion RMB (US$6.61 T)
transaction volume in 2014
• UnionPay is Chinese version VISA/Master Card/AMEX + EFTPOS, founded in 2002 and its HQ located in Shanghai.
• The only card network currently issues, clears, settles CNY cards both in China domestic market and global market.
What is UnionPay?
UnionPay Global Presence
UnionPay services in Australia
80% ATM
50% Merchants Now; 70% in 2016
Card issued in Australia
Why UnionPay matters
• 1st Choice of Overseas Payment method for Chinese
(TripAdviser)
• UnionPay provides direct currency conversion instead of twice
conversions (industry norm is AUDUSDRMB)
• Get rid of FX restriction – US$5K per trip & US$50k/annual person
• Waive scheme currency conversion fee vs. 1.5-3% for other card
brands
• UnionPay debit cards link to saving accounts: literally no spending
limit at POS
Be thrifty at home and spend liberally while travelling.
Average transaction size
AUD 640 (2014)
Other international card is
110-120AUD
Why UnionPay matters?
• Hugh potential with Chinese tourists, students, new migrants
• with McKinsey research -- 68% of China’s urban consumers are “Middle
Class” and this will grow to 75% by 2022
• Credit Suisse - the number of China affluent family (household wealth over
US$1 MM) will double fold within the next 5 years
• There are 107 million Chinese travel overseas in 2014 and the growth rate
forecasting for 2015 is strong
• Chinese students and new migrants leverage on their UnionPay card to pay in
overseas as well
• 450K Chinese spent RMB6 BB (AUD1.2 BB) in Japan within 10 days during
CNY 2015
UnionPay signage is widely used in Australia but need more
• UnionPay logo expresses warm welcome to Chinese consumers and drive Chinese
traffic into shops
• Accepting UnionPay gives Chinese consumers great confidence to shop
• Chinese are 20 times more likely to shop in a merchant with logo
• Better experience brings more new or return visitors
UnionPay signage is widely used in Australia but need more
UnionPay signage is widely used in Australia but need more
UnionPay signage is widely used in Australia but need more
Why UnionPay matters?Reach Chinese consumers via UnionPay Online Payment
• 649 million internet users in China, 361 million individuals shop online in 2014
• Chinese internet shopping market value in 2014 reached RMB2.8 trillion (AUD583 billion), yearly
growth rate 49.7%
• Australia inbound Chinese visitors: FIT 30% yearly growth vs Package tour 0.3% growth rate
UnionPay Online Payment (UPOP)• Designed for all 5 billion UnionPay credit and debit cards
• In a purchase – pay – receive global acceptable way
• Shop the world platform provides integration for online
merchants (logistic solution via, e.g. Australia Post)
• NAB and Dynamic Payment provide UPOP quickly
Why UnionPay matters?Visit China with UnionPay AUD/RMB Card
• UnionPay card offers the most widely accepted network in China - 660K ATM/13 million
merchants across China – no embarrassment at all
• Direct currency conversion between AUD and RMB
• RMB settlement is most welcomed by Chinese merchants and businesses
• Bank of China and Australia Post offer first RMB travel card and debit card
• Both Australia Post travel card and Bank of China debit card provide AUD and RMB dual-
currency in one card
• Both products support ATM cash out and POS spending, Australia Post card support
online payment
Why UnionPay matters?Visit China with UnionPay RMB Card
• Australia Post Load & Go China Card provides
online purchase and internet banking
• Available in 1875 Post offices
• Available online application at portal
auspost.com.au/LoadandGoChina
• Enjoy UnionPay card privilege around the world
through out the years
How to get UnionPay ready for business?• Easy step to UnionPay acceptance for your Chinese consumers in Australia
• If you are banking with NAB/CBA, you are already able to offer UnionPay services –
let your customers know this capacity with UnionPay acceptance signage
• If you are banking with ANZ/Westpac, contact your bank asking for roll out status
• If you don’t bank with big-4 banks and don’t want to change your transactional bank
relationship, you can talk to Dynamic Payment who is the expert and services
provider for almost all top brand retailers
• Put up UnionPay logo on your shop windows and shop gates to drive Chinese traffic
• Get your point of sale system ready with UnionPay button so your staff will know how
to process
• Train your staff to recognize Chinese customers and offer them UnionPay services
proactively
Summary
• UnionPay is the most fast growing payment network in the world, it is used by 1.3 billion Chinese, as well as
40 million non-Chinese
• For Australian business, to accept UnionPay card and share the ever growing of China economic
• UnionPay signage – a quick way to be “China Ready”
• For local merchants, adopt UnionPay Ecommerce solution to directly reach half billion Chinese internet users
• For business travelers, take a UnionPay card to China will iron out all payment difficulties on the trip
Thank you.
Thank you!
top related