Jingdong hand in hand, UnionPay, "White Strip Flash" and "Flower" battle kicked off

Recently, China UnionPay and Jingdong Finance signed a strategic cooperation agreement in Beijing. According to the agreement, Jingdong Finance's payment company, Online Banking Online, will become the member of UnionPay's acquiring company, which can carry out online and offline acquiring business of bank cards. In September of this year, Jingdong Finance launched a white-strip flash payment, and cooperated with banks and UnionPay to launch NFC payment services, with the intention of capturing offline consumer payment scenarios.

This thing itself is too flat to pick up any emotions, but in the mobile payment market and the fierce competition in Internet finance and financial technology, this station seems to be interesting. Up to now, among the 267 institutions that have been awarded by the central bank, except for non-bank cards related to prepaid card business, only two of them are still independent of UnionPay's acquiring system. The two companies are online banking under Jingdong, and the other is Alipay.

So now, the pattern has become a third-party payment player in the licensees of Alipay listed in the UnionPay acquiring system, including TenPay, Tonglian, etc. are all members of UnionPay's acquiring institutions. However, the point is that, in conjunction with the strong camp's white-strip flash, the PK is finally spent, and PK is not just paying.

Jingdong Finance, which has a large number of layouts, has always had a short board.

Consumer credit, payment, and wealth management... Both are the e-commerce platform, and Jingdong has established Jingdong Financial Subsidiary, and has intentionally or unintentionally labeled Alibaba’s ant gold service. However, after Baidu, Tencent, and Alibaba all have their own banking licenses, Jingdong Finance, which lacks banking licenses, has been in a state of imperfect system, and financial business development has lagged behind. It is even harder to compete with Ant Financial. .

This time, it announced that it will join hands with UnionPay and reach a cooperation with major commercial banks. NetEase Online, the payment company of JD.com, will also be able to carry out the online and offline acquiring business of UnionPay cards. This will add to the improvement of JD’s financial layout. .

At the same time, through the UnionPay channel, the “white strip” of Jingdong Finance, which has the function of flashing, is equivalent to realizing the business of virtual credit cards, and can quickly complete the layout of offline consumption scenes.

Therefore, when the "white strip flash" becomes an important pawn of the offense, what kind of contest will it have with Alipay's "Flower"?

"White Strips Flash" PK "Flower"

One of the foundations of smart finance and credit: accounts and data

The place where Jingdong Finance has always been criticized is that the data is too scarce. As we all know, the biggest difficulty in doing consumer finance is how to effectively control the risk of loans. As the market continues to expand, risks will accumulate. Based on the big data credit, the ant flower plaque is 500-50000 yuan, the highest energy loan is 60,000 yuan, and the Jingdong white strip can give a quota of about half.

In addition to the limited credit and risk control business in the credit field, the account and data shortcomings have also made JD Finance's credit reporting and marketing efforts.

However, such a situation may be greatly improved. In recent years, under the pressure of Alipay, UnionPay has made great progress in paying for innovation. The strong account and data have undoubtedly established the backing of “White Strip Flash” and even Jingdong Finance. It is reported that China UnionPay and more than 20 commercial banks launched the "Cloud Flash Payment" in December 2015. At present, it has cooperated with many mobile phone manufacturers such as Apple, Samsung, Huawei and Xiaomi to complete the coverage of non-contact IC cards and mobile phones. A variety of media forms such as wearable devices. According to the data of intelligent POS network, there are about 19 million POS machines in UnionPay, and 90% of them have completed the transformation of support flash payment technology; there are more than 8 million merchants in UnionPay networking.

For example, the president of UnionPay said that the huge network of UnionPay is now defined as China's financial infrastructure. The two cooperations will first make a name for themselves in the field of payment.

On the other hand, in big data applications, the ants of Ant Financial rely on data such as personal connections and consumer behavior as the basis for assessing credit levels. According to the previous report of this website, Dr. Ding Zhuo, CEO of the big data credit company Xingqiao Credit Information, said that in the data type, the data can be divided into strong variable data, namely credit, credit card, social security, industry and commerce, etc. from traditional finance. Information from institutions and government agencies; and medium-variable transaction data generated in the production, distribution, and consumption of goods, as well as weak variable data such as social and game games.

Therefore, after Jingdong Finance became an acquirer, “White Strip Flash Pay” will acquire more powerful data in addition to a large number of scenarios and consumption behavior data. Combining with ZestFinance's data modeling, credit scoring, asset pricing, fraud identification, precision marketing and other technical applications, JD Finance has accumulated a foundation in the fields of consumer finance and supply chain finance.

Improve business reserves, and pursue the after-care

In addition to payment, there are many financial businesses. Taking Alipay as an example, it does not provide simple payment services. Based on data such as payment, Ant Financial also provides multiple functions such as security (anti-fraud), credit, wealth management, and financing. Because of the perfect storage and credit operation capabilities, the network merchant bank became the first Internet bank.

At the press conference of UnionPay and JD Finance, Shi Wenchao said, “For example, it is possible to support Jingdong to sell things to the homes of ordinary people through data generated by a huge network. This is our value. If everyone is buying things. When I want to find Jingdong to borrow some money, I will go to consumer finance. There is a shortage of funds in the supplier, I want to turn around from Jingdong, called supply chain finance, and so on, of course, including risk control."

Therefore, once access to UnionPay, JD Finance can use the “White Strip Flash Payment” to establish the business as soon as possible through offline payment and receipt.

Behind the cooperation between UnionPay and JD.com, there are 16 commercial banks standing. Shi Wenchao said, "Although it is called UnionPay and JD.com, there is actually no support from the bank presidents and experts behind us. Cooperation is difficult to achieve."

Access to the acquiring system is only the first step in the cooperation between JD Finance and UnionPay. As the most important financing body, commercial banks can also help JD Finance to establish business in the areas of securities investment, wealth management and credit. According to the statement on the day of the conference, the future cooperation areas of the two parties include bank card services, big data risk control (credit and anti-fraud), overseas payment, joint card, and bank loan assistance.

As a continuation of the cooperation of “White Strips”, Jingdong will further participate as a technology exporter. In addition, banks can also gain market share benefits from JD Finance's traffic advantage. After all, the biggest enemy of the bank is Alipay.

According to previous reports from this website, KPMG’s “Top 50 China's Leading Financial Technology Companies” report shows that many pain points in the financial field need to be achieved through the application of leading technologies, while current financial technology in big data and data analysis, machine learning Breakthroughs have been made in core technology areas such as cloud services and artificial intelligence. For example, big data analysis and management are expected to completely replace the manual credit review process. In terms of payment settlement, diversified mobile payments including biometrics are also diversified. trend.

Jingsheng Financial CEO Chen Shengqiang said: "We always overestimate some of the changes that may occur in the next two years, and underestimate some of the changes that may occur in the next decade. The impact of new technology on the payment industry may be unimaginable to everyone. , including the changing needs of users, the technology is changing, and the market structure will change."

With the "white strip flash payment" as a breakthrough tool, Jingdong Finance has more possibilities in promoting the technology landing in the financial scene. More scenarios and business, back to data and algorithms, to create the wheel of progress. In the face of the financial technology market dominated by the peers "Flower", the latter also has a fight. After the financial business of many sectors was gradually established, after Jingdong Finance was approved by the banking license, it is also very likely to refresh the starting line of each competition.

Finally, there is one more thing to imagine. Jingdong Finance will use the technology accumulation of “White Strips” to output the cooperative banks’ financial technology capabilities, asset and capital operation capabilities, user operational capabilities, and product innovation capabilities. In the future, JD's financial platform may not only establish its own financial empire of supply chain finance, consumer finance, payment, etc., but also have a deeper bond with the financial institutions of commercial banks. With technology as the driving force behind, the space of interest that can be won from it is even more immeasurable.