Alipay is finally available in Malaysia, however, limited to use at 7-Eleven outlets only.
The mobile wallet payment announced that it will be launching in Malaysia back in April, following its acquisition of HelloPay, the payment firm attached to Lazada. Alibaba bought USD1 billion of Lazada shares last year to permeate the e-commerce market in Southeast Asia.
As of 12 May, about 94 per cent of 7-Eleven’s 2,1000 stores nationwide have been beta testing Alipay. “All our stores will be able to accept Alipay within the next two days,” said Gary Brown, chief executive officer. “In China, this payment is a way of life for shopping, and given the growing number of Chinese tourists here, we are hoping for a high uptake.”
The e-payment is mainly targeted at Chinese tourists. According to Ant Financial Services, the parent company of Alipay, Malaysia is expected to receive close to 3.5 million Chinese visitors this year. “Chinese tourists are already familiar with Alipay,” said Douglas Feagin, senior vice president, Ant Financial Services.
7-Eleven is the first retailer to accept Alipay, but in the coming months, more merchants and retailers will be signed on board. Its main competitor in Malaysia is Samsung Pay, which launched three months ahead of Alipay. However, the two systems are different.
The Alipay system is a sort of creditor while Samsung Pay collaborates with creditors in order to process payment. In the United States and China, both digital wallets have partnered together in order to drive conversion of cash base users to mobile payments.
Alipay’s partnership with Berjaya Corp, the main shareholder of 7-Eleven Malaysia, will also see the service rolling out to merchants under the Berjaya umbrella, including Starbucks, Wendy’s Radioshack, Krispy Kreme, Kenny Rogers, to name a few.
“We will broaden Alipay’s reach into the Malaysian market by signing up more merchants from various industries,” said Tan Sri Vincent Tan, founder of Berjaya Corp.