Chinese consumers were too quick to adopt digital payments, and the last shopping exchange showed they were ready for another jump: biometric payments.
On November 11, Alibaba rolled Singles Day, the world's largest shopping event, and reached $ 30.8 billion in total transactions, a larger amount than Cyber Monday and Black Friday.
Instead of entering payment passwords, Chinese users jumped into new technologies to purchase deals, and they shopped in the blink of an eye. This year, Singles & # 39; Day customers paid 60.3 per cent, scanning their fingerprints or pulling a selfie.
According to this Alipay as the data collected for the first time. The Alibaba-connected digital wallet is managing online and offline transactions for 870 million users worldwide and close to its rival WeChat Pay, the payment method that runs in Tencent's popular chat application over 800 million.
Both are competing for the future of uninterrupted payment. Alipay paid in September 2014 with fingerprints. In less than a year, WeChat Pay announced its name. Over time, Chinese consumers know the biometric verification to unlock smartphones and enter office buildings. In 2016, about 95 percent of those surveyed by China's Payment and Clearing Association said ve they know 201 about fingerprint recognition.
The more sophisticated selfie-taking method followed soon. Last year, Alipay made a payment-payment plan available at a KFC store in Hangzhou on Alibaba and in Alipay, and since that time, face recognition for a wide variety of offline scenarios, including pick-up has started validation.
The government has also progressed rapidly to take advantage of facial recognition for other purposes. A well-known example is the alliance with the world's highest-value AI company SenseTime. To develop a national surveillance system in China, for example to follow criminals on the streets.
Chinese people are moving fast in my body-specific authentication. In 2016, according to the CPCA survey, more than 70 percent of users were happy to pay with biometric information. In 2017 the rate rose to 85 percent.
This rapid adaptation also raises problems. Half of the respondents in 2016 voiced security concerns regarding the use of biometrics payments. In 2017, 70 percent said they were worried. In the same year, 77.1 per cent showed privacy as another concern slightly below 70 per cent a year ago.