Mobile and digital wallets are the dominant payment methods in China’s e-commerce, surpassing cash and cards with a 67.3% market share in 2023, according to GlobalData.
- Alternative payment methods like mobile and digital wallets hold a dominant 67.3% market share in China’s e-commerce space, surpassing cash and cards.
- The Chinese e-commerce market is projected to grow by 11.9% in 2024, reaching CNY17 trillion, driven by the shift from offline to online purchases and government initiatives.
- Alipay and WeChat Pay, along with international brands like Samsung Pay and Apple Pay, are the most popular alternative payment methods, with credit cards being the next preferred option due to their value-added benefits.
The e-commerce market in China is projected to reach $2.4 trillion in 2024, with a further increase to $3.6 trillion by 2028. Alternative payment methods like mobile and digital wallets are the preferred choice, holding a 67.3% market share in 2023.
Alipay and WeChat Pay, each with over one billion global users, are the leading alternative payment methods known for their simplicity, speed, and convenience. International brands like Samsung Pay and Apple Pay are also present in the market.
Initiatives by the government, including plans to boost e-commerce in rural areas, are expected to further drive the market’s growth. Alipay and WeChat Pay are the leading alternative payment solutions, with credit cards also holding a significant share in e-commerce transactions. The market is expected to continue growing, fueled by government support and increasing consumer preference for online shopping.
GlobalData’s E-Commerce Analytics reveals that Chinese e-commerce market is expected to register a 11.9% growth in 2024 to reach CNY17 trillion ($2.4 trillion), as consumers increasingly shift from offline to online purchases. The market is set to increase at a compound annual growth rate (CAGR) of 10.9% between 2024 and 2028 to reach CNY25.7 trillion ($3.6 trillion) in 2028.
Poornima Chinta, Senior Banking and Payments Analyst at GlobalData, comments: “Chinese e-commerce market, the largest in the world, experienced sustained growth over the past few years driven by rising internet and smartphone penetration, availability of secure online payment systems, and increasing number of online shoppers.”
