Why mobile phone payment is difficult to promote China's 10 users only 20 million

In the recently held Beijing International Smart Card exhibition, the staff of the mobile phone and public card machine touch lightly, completed the bus ticket, realized the mobile payment system function. According to the introduction, this is a mobile based on SIM card integration products, not only support the normal mobile communications, but also support public transport, subway, small pay "brush" machine to pay. Nanshan Photo

Go to work by car, mobile phone gently in the sensor on a brush, tickets bought; to the company, mobile phone automatic induction access control, the door opened, eat in the cafeteria, can be used to buy food phone card ... Convenient and efficient mobile phone payment, in China has been promoted in 10, but currently only 20 million users, while the population of Japan, 1/10 of China, 2008 users more than 49 million.

Mobile phone payment is difficult to promote, where is the difficulty?

Great Market Potential

Dozens of times times the size of the current E-commerce market

Mobile E-commerce expert Lo Jian introduced: "In simple terms, mobile payment, or mobile payment, is to allow users to use mobile phones to the consumption of goods or services to pay a service." ”

Mobile payment is not new, in Japan, South Korea, Europe and the United States and other regions, its business has been widely recognized and accepted by users. Lo Jian introduced that mobile payment developed well in Japan 2008 users have reached 49 million. At present, there are about 110,000 non-contact mobile payment processing points in Japan, about 60% of users use at least one payment function per week.

More than 108.6 million users worldwide will use mobile payment services this year, up 54.5% from 2009, while 2.1% of mobile subscribers will accept mobile payments, a new study shows. Zhang Qi, chairman of China Information Industry Association, said at the 2010 China Mobile Pay Industry forum that the overall market size of global mobile payments is expected to reach $860 billion by 2013.

3G Portal President Zhang that: "The increase of China's mobile phone users, as well as the maturity and promotion of 3G technology, the national construction of the concept of networking ideas to implement, for the development of China's mobile payment industry to create a good condition." "The Ministry of Public Information recently released data shows that as of June this year, China's mobile phone users breakthrough 800 million, mobile internet users reached 277 million, the number of 3G users more than 25 million." Analysys International Forecast, 2010 China Mobile payment Market size will reach 3.01 billion yuan, to 2013 will reach 23.51 billion yuan.

"Over the past two years, the domestic three operators have increased the investment in mobile phone payments." "Lo Jian introduced, China Mobile launched a mobile-phone-considerate ticket and mobile-phone Expo ticket business in Shanghai in January, and promoted mobile payment pilot work in Hunan, Guangdong and Chongqing. China Telecom, after the introduction of mobile payment last May, mobile phone subscription and mobile banking and other mobile payments business, February officially launched" Wing Payment ", Customers can hold the sky-wing mobile phones in supermarkets, convenience stores, shopping malls and other special merchants to do shopping; China Unicom launched its mobile bus card business in Shanghai last April. China UnionPay and third party institutions have also invested a large number of people to carry out mobile payment commercial pilot, forming a "mobile Payment industry alliance". Zhang Analysis: "Mobile payment market size will be dozens of times times the current E-commerce market, is the future development of a trend." ”

Standard bottleneck restriction Promotion

After 10 years of development, the user scale is only 20 million

"China's mobile payment business has nearly 10 years of history, but the current 20 million mobile payment users, compared to 800 million mobile phone users, the proportion is obviously very low." "Third party payment agency Yeepay Payment CEO Tang said.

Why are mobile payments that are convenient for consumers and with huge market potential not widely available in China? Experts said, "not the relevant departments and enterprises are not willing to promote, but the standard bottleneck constraints on the promotion of the intensity and speed." ”

"The current domestic mobile phone payment mainstream technology program has two main categories: one is based on 13.56MHz non-contact technology NFC, Sim-pass Terminal Technology program, the other is based on 2.4GHz Rfid-sim card scheme." "Mobile payment senior expert Zhongwei said.

"The two standards have advantages and disadvantages," the experts said. The 13.56MHz NFC specification is the International mobile payment standard, and its advantage is applicable to most of the existing POS terminals, Sim-pass is developed domestically and is compatible with current NFC devices. But consumers are more expensive to switch handsets, and 13.56MHz signals are not very good. At present, bus-card and UnionPay are the main supporters of this standard.

2.4GHz Rfid-sim Technology by China Mobile-led, domestic enterprises independent research and development, users only need to pay a SIM card cost can realize mobile payment. However, because the work frequency is inconsistent with the POS machines in major industries such as bank and bus, it is necessary to rebuild or refit the terminals, which requires the coordination between the public and the financial sector and the telecom operators, and also brings a great cost to the enterprises.

Shei Yuqi, Director of Policy Standards Division, Ministry of Communications Development, said: "A variety of standards coexist to mobile payment large-scale application barriers." "Lo Jian think:" Compared with 13.56MHz, 2.4GHz by China's independent research and development, in China's application of the popularization of a greater potential. ”

"The hardest part is not the technology, but the balance of interest." "Lo Jian said," The difficulty lies in the high threshold of cross-sectoral cooperation, the higher the industry barriers. "The mobile payment business industry chain main body involves many links, its current competition relation mainly exists in the carrier which is represented by China Mobile, the financial institution represented by UnionPay, as well as other third party payment platform."

So who should be the one who dominates the mobile payment? Tang said: "Operators have the advantage of proximity to mobile users, want to become the user's only payment interface to expand their earnings; banks want to keep their position in the field of bank cards, reluctant to share with operators, and third-party payment platforms have the advantage of being close to a large number of E-commerce users, hoping to expand their business and revenue streams "All parties want to get the industry leading power, leading to China's mobile payment of the" cake "is also in the early stages of development was divided into chaos.

Eliminate industry barriers

Opening a breach from a small payment

At the 2010 China Mobile Payment Application Development conference held on August 27, Shei Yuqi said: "The development of mobile payment requires all parties in the industrial chain to establish the concept of cooperation, win-win business model, and jointly promote the healthy development of mobile payment business." She revealed that the People's Bank of China and three telecom operators and China UnionPay and other related units have jointly convened a symposium to discuss the standards of mobile payment. Daixiaohui, deputy director of the Ministry of Industry and Technology, said recently that the Ministry of Industry and Industry is carrying out the research and development of micro-cell phone payment standards, and organizing relevant institutions and experts to prepare the next standard.

"The future development should be the market, the consumer is the boss," said Rongquan, vice chairman of the China Institute of Communications, to promote the application of mobile payment in the market-oriented pilot and popularization. Peng, deputy dean of the Information Technology Research Institute of the China Branch, said from the market demand and the convenience of users, you can foresee "non-contact, multiple application of the SIM card" is the future direction of development, just replace the mobile phone SIM card, no change, do not change mobile phones, can use rich mobile payment function.

For restricting the security of user use, Peng suggested: "Start with small payment, learn from Japan and South Korea and other mature development mode". He believes that mobile payment can improve the user's enthusiasm by increasing the bank's ability to take risks and share the user's risk. At the same time through continuous improvement of service quality to increase user stickiness, cultivate user size.

In May this year, 18 national and regional commercial banks, including Chinese UnionPay, China Telecom, ICBC, ABC and CCB, and other related enterprises and institutions, such as mobile phone manufacturers, jointly established the "mobile Payment Industry alliance".

"This is a huge improvement," said Wang Liusheng, an international analyst at Analysys. "The cooperation between the industries will promote the participation of more merchants, promote the number of terminals, and bring more convenient consumer experience to consumers." At the same time expand the publicity to let more people know and use mobile payment. "(Zhao Yahui Fei He Jiani)