PayPal Launches PayPal Biz+ Solution for Chinese Merchants at Annual E-Commerce Day Event
Holistic solution helps Chinese merchants tap significant opportunities in cross-border B2B2C e-commerce market
Singapore, 17 September 2015 – Today, PayPal held its fourth annual Cross-Border E-Commerce Conference in Shenzhen, bringing together over 800 Chinese merchants, from large businesses to small-and-medium enterprises, as well as government officials and industry players. With the objective of exploring latest trends and opportunities in the rapidly evolving global e-commerce market, and promoting the growth of China’s cross-border e-commerce sector, this year’s event saw the launch of PayPal Biz+, a dedicated solution to help Chinese merchants unlock opportunities in the cross-border business-to-business-to-consumer (B2B2C) e-commerce market, a significant untapped segment identified by PayPal.
Uncovering New Trends and Opportunities in the Cross-border E-commerce Market
The B2B export market, a key growth driver of China’s RMB4 trillion and rapidly-growing cross-border e-commerce market, was the focus of the day-long conference. This sector holds significant growth potential, representing 80 percent of China’s total cross-border e-commerce market in 2014, which is expected to double by 2017. An untapped segment of this market is the B2B2C space.
“Opportunities in cross-border e-commerce abound for Chinese merchants. We have found a particularly exciting opportunity lies in the B2B2C sector, where Chinese merchants sell to overseas buyers who in turn sell to end consumers. As the world’s most trusted digital wallet, with an unparalleled global closed loop network, PayPal is best positioned to help them tap into this space,” said Patrick Foo, Head of Cross-border Business, PayPal China. “The launch of PayPal Biz+ marks our continued commitment to innovate and help Chinese merchants navigate challenges and seize opportunities to grow their businesses globally in this fast-moving e-commerce industry.”
Dedicated Solution for Chinese Merchants: PayPal Biz+
PayPal research had found that trust, convenience and risk are the main pain points of both buyers and sellers operating in the cross-border e-commerce market, challenges which are amplified in the B2B2C e-commerce market. To address these challenges, PayPal listened to feedback from Chinese merchants to develop the PayPal Biz+ solution, which comprises a comprehensive suite of offerings, including:
· Enhanced Seller Protection: PayPal’s Seller Protection provides eligible merchants comprehensive protection from various risks, including unauthorized claims for payment reversal, refunds or “Item not received”. The upcoming Enhanced Seller Protection expands protection to also cover email payments for tangible goods, providing Chinese merchants greater protection and peace of mind.
· Renminbi (RMB) withdrawal: Optional RMB withdrawal service, to be launched in partnership with LianLianPay, will enable merchants to withdraw payments in RMB. RMB withdrawal will require around two to three days, significantly faster than the current seven day period for US dollar withdrawal, reducing merchants’ cash flow pressures. Chinese merchants will also be able to transfer their withdrawals directly into accounts in 184 banks nationwide, up from 16 currently, making it easier to conduct cross-border e-commerce business from anywhere in the country.
· Risk management: PayPal is widely recognized for its sophisticated and certified risk management system, which helps merchants identify and avoid fraud at the earliest stage possible. As soon as an order is submitted by buyers, PayPal’s risk models start to track and predict fraudulent transactions simultaneously. When something suspicious is detected, professional review will be conducted by PayPal’s world-class risk management experts to determine whether the person behind the computer is a genuine consumer.
· International logistics: Cheaper, faster delivery and logistics services facilitated by partnerships with leading logistics partners enable Chinese merchants to more conveniently and safely ship items to overseas buyers. Working with TNT, PayPal offers unique logistics solutions for merchants operating in the B2B2C market, which include exclusive offerings in terms of services and price. For B2C businesses, PayPal had introduced PayPal Logistics Solution in partnership with China Post, which provides package tracking and integrates PayPal’s Seller Protection policies, enabling Chinese merchants to more securely and efficiently ship packages.
“PayPal understands that a thriving cross-border e-commerce market goes beyond digital payments,” continued Patrick Foo. “We are constantly listening to our Chinese merchants and looking to innovate and develop holistic solutions to create a more conducive global e-commerce ecosystem where they can grow their businesses.”
At the event, Shenzhen Yitong Technology Ltd., and Qingdao Sunshine Hair Products Ltd., two of PayPal China’s merchant representatives, commented that PayPal’s E-Commerce Conference is an excellent platform for merchants to gain a better understanding of new developments and trends in the cross-border e-commerce sector. Expressing excitement about PayPal’s new innovative solution to address Chinese merchants’ pain points in the cross-border e-commerce market, these merchants both said they look forward to leveraging this new offering to further enhance and grow their businesses globally.