Wirecard has won KaDeWe Group GmbH as a new customer for China-based mobile payment solution, Alipay, a news release said. With Wirecard technology, the Chinese payment method has been integrated into the POS system of the group's department stores.

Initially, the capability is being offered at nine checkouts at Berlin's KaDeWe, as well as one at Oberpollinger in Munich and Alsterhaus in Hamburg. A later integration into further checkouts is planned.

 As part of the partnership, Wirecard provides acceptance and takes care of the complete processing of payments. The integrated technology has started in time for the important days-long, travel-heavy Chinese holiday of Golden Week.

KaDeWe, Oberpollinger and Alsterhaus are highly renowned department stores in Germany and across Europe, and the partnership allows the businesses to benefit even more from the tourism boom from China. Every year, more than 8 million Chinese tourists travel to Europe and spend more than any other nation in the world on shopping, averaging more than 3,000 euros ($3,475 USD) per trip. 

For Chinese consumers, brand awareness plays a decisive role in their purchasing decision. Branded and luxury products which make up the core range of the KaDeWe Group, such as high-quality shoes, bags, watches and jewelry, are among the most sought-after products, the news release said.

By accepting payments via Alipay, they are aiming at gaining the trust of a young and financially strong target group with a high web-affinity. The average transaction volume for individual merchants offering Alipay via Wirecard is around 800 euros ($926 USD). The highest single transaction to date paid via Wirecard with Alipay is a good 40,000 euros ($46,335 USD).

"The department stores of the KaDeWe Group are among the best-known in Germany for Chinese tourists," Alipay EMEA Head Robert Palmer, said in the release. "Since Alipay payments are now accepted, thanks to our in-app marketing platform the department stores become even more visible for Chinese customers who'll also enjoy a better shopping experience, because for them now the payment process will now be just as comfortable to them as it is in China."

KaDeWe Group CFO Michael Peterseim said that Chinese tourists are a particularly important target group for his brand, a major motivation for KaDeWe's selection of the service. 

"We want to meet their expectations in the best possible way," he said in the release. "We are therefore particularly pleased to be able to offer these customers the opportunity to make their purchases in our stores with the Alipay App. Throughout the integration process, Wirecard has given us the benefit of its professionalism and experience, making Wirecard a reliable and trustworthy partner for the future."

Paying with Alipay is straightforward: Customers who want to pay cashless with their Alipay app simply show the retailer their smartphone display with a barcode. The merchant scans it with a hand-held scanner and the payment process is started immediately. 

Wirecard initiates the payment in the background. The customers confirm their purchase by entering the password and receive a payment receipt. The Alipay App also enables merchants to send their Chinese customers special offers via push messages shortly before they arrive at their destination.