Lotte resumes partnership deals with three of China’s largest online payment platforms

SOUTH KOREA. Lotte Duty Free has resumed a partnership deal with Alipay, China’s largest online payment platform, which was suspended during the THAAD crisis.

Customers who pay with Alipay will receive a -5% discount, and users of the payment platform will also receive VIP benefits according to their membership level.

The retailer said the renewal of all Korean companies’ marketing contracts with Chinese payment platforms was suspended following the THAAD dispute, during which China banned the sale of package tours to South Korea.

Alibaba’s Alipay platform has a market share of over 50% in China, Lotte said.

As well as the Alipay partnership, Lotte has also resumed deals with other Chinese payment services, such as UnionPay and WeChat Pay, as it bids to attract more Chinese travellers.

In the partnership with UnionPay, a QR code-based service has been developed, and is being trialled from today (16 August) at Incheon International Airport Terminal 1. The service is scheduled to be officially adopted on 16 September after one month of testing.

Lotte has partnered with WeChat Pay for a series of in-store and online promotions throughout August. Lotte is offering a CNY30 (US$4.35) discount to customers who pay more than CNY600 (US$87), and for every CNY200 (US$29) spent thereafter, until 31 August.

“Lotte Duty Free is hoping to attract Chinese tourists as the partnerships that had been suspended begin again,” said a company representative. “We are putting in a lot of effort to provide customers with a higher level of shopping satisfaction, and are planning to push ahead with expansion plans.”

Lotte announced its first half results earlier this week, with sales up +29% year-on-year.

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