In a significant post-pandemic development, Ant Group’s Alipay reveals a substantial rebound in consumer spending during the latest Chinese New Year (CNY) travel season. The surge is notably prominent in cross-border tourism, facilitated by Alipay’s cross-border mobile payment technology solutions. This technology allows Chinese travellers to make transactions at over 8 million merchants across 70 countries and regions without the need for currency exchange or cash.

During the CNY holiday week, Alipay users overseas exceeded transactions made in 2019 by 7%, and consumer spending rebounded to 82% of the 2019 level, marking a 2.4-fold increase from 2023. The recovery is attributed to closer socio-economic ties between Hong Kong SAR, Macao SAR, and the Chinese Mainland, along with new visa-free policies and increased international flight capacities.

Top destinations for Alipay spending include Hong Kong SAR, Japan, Macao SAR, Thailand, Malaysia, Singapore, South Korea, France, Australia, and Canada. Traditional favourites are joined by more distant locations in Europe, ANZ, the Middle East, and North America, reflecting an expanded interest in global travel.

Chinese tourists are not only spending more on shopping and major tourist sites but are also seeking immersive local experiences. In the CNY week, they spent 70% more on food and beverage compared to 2019. Additionally, there is a notable shift toward local transportation options, with Alipay users accessing various modes of transportation through the app, resulting in a 60% reduction in the cost per ride compared to 2019.

The Alipay platform’s AI features played a significant role during the 2024 Chinese New Year celebrations, with 600 million user interactions during the Five Fortune campaign. AI-driven personalized digital red packets created by over 12 million users further fueled consumer enthusiasm.

Douglas Feagin, Senior Vice President of Ant Group and Head of Alipay+, emphasized the growing importance of mobile payments in promoting local and cross-border commerce, expressing the company’s intention to expand partnerships with industry leaders, national tourist agencies, and merchants in 2024 to foster further growth.