Huge Third-Party Payment Data Lay Solid Foundation For Inclusive Finance

Source:iResearch August 24,201711:16 AM
With the booming of third-party payment, more and more people are getting used to conduct payment with their smart devices in their daily lives. Nowadays, third-party payment has become a dominant consuming channel for most users and helped Internet finance companies accumulate huge user consumption data, which naturally become the credit data source and risk management data source for internet finance companies with the help of big data technologies. The accumulated consumption data have the features of the rich content (including data on users’ consumption amount, site, time and situations), high quality (in-time data acquisition and difficulty to rewrite) and large amount.

iResearch holds the opinion that risk management is the entrance and core to finance. The huge user consumption data allows Internet finance companies to assess risk for every single customer precisely and conveniently, which guaranteed the possibility for inclusive finance from the supply side.
Third-party payment is of high using frequency and strong user-sense ability. Due to the popularization of third-party payment, people got used to putting their money on payment tools for future consumption, which inevitably results in the huge sedimentary money in third-party payment tools. The birth of Yu’e Bao is a milestone for both Internet finance and inclusive finance. It not only makes good use of the sedimentary money and bridges payment tools and financial services. Actually, the purchasing amount of Yu’e Bao has increased from 103 billion shares in Q3 2013 to 2,540 billion shares in Q1 2017 since the very beginning of this product, showing a quarterly compound growth rate of 125%.
iResearch holds the opinion that the success of Yu’e Bao unveiled strong empowering ability of Internet for finance industry. Third-party payment companies extended business from monetary fund to the other financial products. Meanwhile, users have become aware that third-party payment tools can be their financial service center for investment and money management as well. All in all, financial products have shifted from things far from people’s lives to the products that are used in everyday life.

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