Through its strategic partnership with payment solution Valoot Technologies, Fintech business Tramonex has begun a cooperation with Chinese messaging app WeChat’s payment feature WeChat Pay. The partnership is aimed at delivering merchant acquiring services as part of the company’s payment solution. In response to rapid shift of e-payments from desktop to mobile, Tramonex’s solution will assist WeChat Pay to capitalize on the growth of Chinese nationals traveling abroad, starting with focusing on the UK and European markets.
Launched in 2013, WeChat Pay provides fast and reliable payment services to users and has rapidly become one of the most popular mobile payment services in China. With a simple user interface, users benefit from this quick, in-app, web-based, QR code payment tool to make purchases in China in RMB or overseas in foreign currencies. Purchases overseas are converted and settled by the WeChat users in RMB for an easy and transparent shopping experience.
Starting today Chinese WeChat Pay users can pay for goods and services when travelling to the UK, using the application on their mobile phones. Visitors will be able to use their local currency, the Renminbi (RMB), to make instant payments to vendors and service providers, from stores to hotels in the United Kingdom, meaning tourists from China traveling within Great Britain no longer need to carry additional currency or a travel card.
Additionally, Tramonex will facilitate the purchase to occur at a reduced cost, generating considerable savings to WeChat Pay users, especially compared to costs from Chinese domestic bank cards.
Amine Berraoui, CEO at Tramonex explains: “Our strategy is to be a business enabler by facilitating payments through the use of technology in order to drive cost savings and efficiencies. As a result, we know we can bring real value to the WeChat Pay solution and the entire team is very excited about this opportunity. This arrangement goes a long way in developing Tramonex’s footprint and awareness within Asia and completely opens up the East to West corridor fulfilling the goal of facilitating ‘global’ flows’’.
Tramonex and WeChat are set to launch the new payments infrastructure in second half of March, marking a new milestone in the evolution of the mobile payments industry.
Back in late 2016, payments provider Adyen added WeChat Pay to the roster of payment services it offers its merchants to unlock the Chinese market. China is at the forefront of the revolution in mobile payments that is powering global ecommerce growth. 15% of China’s total population is expected to make a cross-border purchase by the end of 2016 – amounting to $86 billion in transaction value. By 2020, we expect this to increase to as much as 75%. This will have a significant impact on the global ecommerce market.