B2B Payments in China: The Sky’s the Limit
B2B electronic payments will reach US$47 billion in 2013, accounting for 5.1% of B2B e-commerce transactions. Celent estimates that the total transaction volumes of e-commerce, B2B e-commerce, and B2B electronic payments will amount to US$1.8 trillion, US$1.4 trillion, and US$140 billion, respectively, in 2015.
The B2B payment market is relatively competitive. In the report B2B Payments in China, Celent examines the market size, business models, strategies and trends in this emerging, but rapidly growing market.
B2B payment providers have developed individualized strategies to stay competitive in the marketplace. 99Bill Corporation has positioned itself as an “electronic financial service provider” and plans to provide mutual fund management solutions for more traditional industries. The international payment giant PayPal, a subsidiary of eBay, has expressed its intention to become the first foreign enterprise to obtain China’s electronic payment license. Gopay is China's only state-owned payment platform for ministries and their subordinate institutions, and is able to provide adequate security for funds transfers by customers. China UnionPay has launched a B2B online payment service for the public sector via its public payment platform.
Source: China E-business Research Center, Celent estimates
“B2B payment vendors have focused on strengthening their services in the areas of cross-border payments, foreign exchange settlement, foreign exchange risk management, and collaboration with more foreign partners,” says Hua Zhang, Analyst with Celent’s Asian Financial Services practice and author of the report.
This report provides an overview of China’s B2B payment market, profiling the leading B2B providers in China. It also examines the industry’s growth potential.
A Chinese version of the report is also available.