Alipay Claims To Be The World's Largest Mobile Payment Company

Alipay, the leading Chinese third-party payment provider and a subsidiary of Alibaba Group, has become the largest mobile payments company in the world based on the number of users and transaction volume. The Chinese e-commerce giant said that 54 out of every 100 payments made with Alipay come from mobile devices.

Interesting Facts About Alipay:

Transaction volume: $500 billion

Average daily transactions: 80 million transactions per day

Total number of transactions till date: 42 billion

Alipay market share (online payments) in China: Around 50%

Alipay market share (mobile payments) in China: Around 78%

The company provides payment services for more than 460,000 Chinese businesses. Alipay provides an escrow service through which consumers can verify whether they are happy with goods they have bought before releasing money to the seller. According to China Sales Co., an official global licensed partner and system provider for Alipay, as of January 2015, there were over 900 million Alipay accounts. Among these accounts, 350 million are registered users—almost triple the size of its US rival PayPal. Most companies in Alipay’s ecosystem are interconnected and centered around Alibaba’s core e-commerce business. Alipay is extending its payment services to a host of offline scenarios, to cover restaurants, supermarkets, convenient stores, taxis and public transports. The company operates with more than 70 financial institutions, including Visa and MasterCard.

In 2013, Alipay launched a financial product platform called Yu'e Bao. It is the largest money-market fund in China. It allows Alipay users to earn high-yield returns on their idle cash with interest rates much higher than those offered by banks. The fund has captured 186 million users and accumulated $93 billion in assets by the end of 2014.

More than 100 million Alipay Wallet users have made $148 billion worth of payments through mobile phones which overtakes the combined volume of its US counterparts, PayPal and Square.

In July 2015, Alipay added the "friend" tab where users can communicate with their friends. It is an open platform for enterprises, merchants, organizations and individuals where it acts as a bridge to build the ecosystem.

Alipay has embedded facial recognition technology to authenticate users for mobile payments. This application is still in beta state and is called "Smile to Pay." This feature is developed in partnership with a Beijing company called Megvii, which provides a cloud-based facial recognition service.