Eraman partners with Alipay in drive to attract Chinese consumers

MALAYSIA. Malaysia Airports (Niaga) Sdn Bhd, known as Eraman, has partnered with Alipay, the world’s largest online and mobile payment platform, as it improves its services to Chinese shoppers.

Eraman, Malaysia’s leading travel retailer, said it will now be able to tap into the 520 million-strong Alipay active user base. Some 4.5 million are Chinese tourists that travel to Malaysia annually. Those travellers visiting Eraman outlets will be able to pay with their Alipay personal QR code via their smart phone.

Alipay is integrated into the merchant portfolio of Maybank and CIMB Bank Bhd, Malaysia’s two largest financial services providers, and uses the in-store on-line payment solution at all Eraman outlets nationwide. Eraman claimed that this new payment mode will improve Chinese travellers’ shopping experience at the airports.

“This Alipay in-store payment will allow Chinese travellers to pay for their transactions in Yuan without having concerns on the exchange rate,” says Eraman

“Security and speed are important to us as we look to enable our Chinese travellers to walk into our outlets while travelling abroad and pay for purchases with the Alipay – just like they do in China. This Alipay in-store payment will act as the settlement, allowing Chinese travellers to pay for their transactions in Yuan without having concerns on the exchange rate. This is done through a simple swipe and barcode-scanning method,” said Malaysia Airports (Niaga) General Manager Zulhikam Ahmad.

“All Eraman retail outlets in KLIA and klia2 including duty free emporium and lifestyle stores began accepting Alipay in June 2017. However Eraman food & beverage and retails outlets in Kota Kinabalu, Kuching, Penang, Langkawi International Airport and Labuan Airport have begun to accept Alipay since the end of August. In China, this payment system is a way of life for shopping and many other activities, and given the growing number of Chinese travellers here, we are hoping for a high uptake,” added Zulhikam.

In conjunction with this smart partnership, Eraman has launched a special promotion from 1 September to 31 December whereby all Chinese travellers using Alipay will be entitled to an e-voucher of RMB100 when they spend RMB1,000 at participating Eraman retail outlets. This e-voucher can be redeemed for the second purchase at Eraman outlets within 24 hours.

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Zulhikam Ahmad: New payment methods for one of Eraman’s top three customer groups

Meanwhile, Alipay users will also be able to enjoy up to -10% off for purchases made at Eraman’s F&B outlets and its convenience store, EXpress. The discount can be used for a second purchase at Eraman within 24 hours.

“As the premier retail brand under Malaysia Airports, Eraman has evolved over the last couple of years. We continue to diversify our offerings, embrace the many exciting possibilities and grow our presence in the leading airports in Malaysia. This is our way of providing the total airport experience by means of an alternate payment method and providing ease for our Chinese customers who happen to be one of our top three passenger groups in terms of nationality,” said Zulhikam.

Chinese travellers contribute the highest ticket sales at KLIA and klia2. Eraman said it has recorded double-digit percentage growth in sales value with fragrances & cosmetics, liquor and tobacco boosted by purchases from Chinese travellers this year. Eraman said this was also due to a varied offer and competitive pricing compared to downtown on fragrances, cosmetics and liquor.

Malaysia is ranked third in the region after Thailand and Singapore for the number of Chinese visitors it attracts each year. Eraman said it aimed to become “their preferred duty free retailer” as Malaysia rises in the rankings.

Eraman added that it is keen to build “long term alliances with reputable partners and recognises this collaboration to be a major contributor to the company”.

“The entry of Alipay marks a notable milestone in the growth of Chinese tourist arrivals and online transaction services in Malaysia, and we are proud to be part of this development. We look forward to a strong synergistic collaboration and we are happy Alipay is on board with us,” said Zulhikam.

“We are excited to partner Eraman, a very strong player in the duty free industry. With this partnership we’ll help Eraman to reach out to more Chinese customers by utilizing the Alipay marketing platform to market various top brands and products offered by Eraman,” said Alipay Country Manager of Malaysia Greta Gunawan. “Duty free shops are always on the must-visit list of Chinese tourists. In the future, Alipay users can check shop details and special offers via the in-app Discovery platform even before they depart to Malaysia.”

CIMB Group Chief Executive Officer, Group Transaction Banking Hendra Lembong added: “We are pleased to collaborate with Eraman in providing Chinese tourists a convenient and secure cashless payment experience in Malaysia with CIMB’s Alipay mobile wallet. As a pioneer settlement and merchant acquirer bank in facilitating Alipay payments in Malaysia, CIMB is confident of spearheading the growth of mobile wallet payment services in the country with its cutting edge expertise in transaction banking. We aim to not only support Malaysia’s drive for a safe and secure cashless society, but also provide our customers with a seamless banking experience within ASEAN.”

*A major interview with Eraman General Manager Zulhikam Ahmad appears in our September Print & Interactive Edition, out in coming days.

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