Published: 23/06/2016 - Updated: 23/06/2016 - Tags: Payment Methods
Alipay is an online payment platform created by Alibaba founder Jack Main 2004. At the time of this writing, Alipay is believed to control more than half of the online payment market within China and boasts more than 300 million users.
Alipay also provides an escrow service where consumers can verify their satisfaction with a product before releasing funds to the seller. Such services have boosted the consumer confidence when it comes to completing purchases online.
The History of Alipay
When Alibaba launched Alipay in 2004, the Alibaba CEO hoped that Alipay could gain ground on other popular online payment methods such as Paypal. At the time of Alipay’s release, China’s 100 million Internet users was only behind the United States in terms of volume and Ma saw the potential to create a powerhouse in the Chinese market.
In June of 2010, the PBOC issued new licensing regulations and restrictions for third-party payment solutions such as Alipay. These stringent regulation forced Alipay to restructure organizationally to comply with the demands of the Chinese government. Shortly thereafter, Ma sold Alipay under much scrutiny in the Chinese and foreign media.
Alipay Services and Features
Alipay ePass: ePass allows sellers of all sizes to gain access to the increasingly important Chinese marketplace. Epass has been designed with Western retailers in mind. Owners of these ecommerce sites can access the Chinese consumer via ePass thanks to Alipay’s access to the China Smart Logistics (Cainiao) Network. This service ensures that shipping is reasonably priced, provides efficient labeling, assists with customs clearance and delivers door-to-door anywhere in China. ePass also grants western business access to various Alibaba channels, increasing their exposure to the Chinese consumer.
Cross-border Website Payment: Alipay allows Chinese citizens to make secure purchases from international markets safely and securely from the comfort of their home computers.
Cross-border Mobile Payment: Mobile Payment allows Chinese consumers to enjoy the freedom to purchase products from outside China safely and securely from their favorite mobile device.
Alipay provides advanced encryption technologies to ensure all payment information remains protected and that each user’s information is kept securely. Alipay works to protect each of its clients by using a risk management framework to quickly detect potential threats and eliminate them before they become an issue. A real-time monitoring system monitors all transactions 24/7 in an attempt to eliminate suspicious and dangerous behavior from accounts.
Alipay promises to protect its members by providing full refunds for any unauthorized purchases made from the account. Alipay members also have ninety days to make any claims against the transactions listed on the account.