WeChat Pay Is A Thing Right Now? 3 Key Facts You Need To Know About This Revolutionary Digital Wallet
If you haven’t figured it out yet, WeChat Pay – the dominant payment method in China, has penetrated the Malaysian market for the past two months.
While it’s apparently just another e-wallet to join the crowds of other e-wallets that have recently emerged in the Malaysian market, one crucial difference is the role WeChat Pay plays in revamping the payment infrastructure of the whole of China.
Here are a few things you should know by now about WeChat’s launch into Malaysia.
Malaysia is the first country outside of China to receive WeChat Pay
While WeChat Pay is technically available for everyone worldwide, Malaysia is the first Asian market to launch WeChat Pay outside of China and Hong Kong.
WeChat users in Malaysia will be able to transfer money to each other and use the national currency – Ringgit to pay offline merchants.
This seems to indicate that Tencent is building local payment services, rather than the more common overseas expansion strategy adopted by most Chinese mobile phone application providers.
Payment methods that are now available in Malaysia include Quick Pay, where merchants can scan a QR code on a customer’s mobile phone once they have made a payment for a quick transaction. Otherwise, users can scan a QR code set up by the merchants to check a product’s information or transaction guides.
WeChat also offers options for in-store payments for good and services. Merchants can authorize WeChat to process payments when users make payments through other apps.
WeChat boasts 20 million active users in Malaysia
Besides, WeChat Pay might have an advantage in the acquisition of Malaysian user. The mobile application itself has crossed 20 million active user base, which is equivalent to nearly two-thirds of the country’s population.
However, time will tell if this can translate to a lead in the region. Considering the Chinese population in the country, Malaysia must be closest to China in terms of language and culture.
According to Tencent senior vice president SY Lau, the ever-growing user base of WeChat entails its huge potential in Malaysia. Moreover, the Malaysian market is quite warm towards internet products from China.
Therefore, it makes perfect sense for Tencent to launch WeChat Pay first in Malaysia.
Local banks are already on WeChat Pay
In anticipation for its launch, Malaysian banks such as Hong Leong Bank have enabled merchants to accept payments for WeChat Pay.
This collaboration is done to ensure that Chinese tourists can continue using their WeChat accounts while visiting Malaysia.
On the other hand, the Bank of Malaysia has been implementing a policy to promote electronic payments. This has boosted the network that lags behind other markets in Southeast Asia.
This has prompted other companies to launch digital wallets, including Grab, an active car company in Southeast Asia.
In a nutshell, Malaysia is a dynamic market which offers a huge potential for mobile payments. We are gradually embracing the digital lifestyle and to cope with this change, the payment experience must evolve.
Gone are the days of using cash in payment transactions. WeChat Pay has entirely revolutionized the payment infrastructure and is now the “new normal”.
WeChat Pay is so deep-rooted in China that it is possible to live an entire month without ever touching cash—even when buying hawker foods or shopping in wet markets.
Malaysians could definitely envision a similar future in the next 5 years.
Could WeChat Pay be the final missing link that truly brings the digital wallet era to Malaysia? Share your views about WeChat Pay with us by commenting below!