On March 29, 2023, the Alipay platform announced an incentive plan worth 10 billion RMB (approximately 1.45 billion USD) to further support its service provider partners (ISVs).
The ISVs are independent software vendors that utilize Alipay’s digital capabilities to create solutions for merchants, such as mobile food ordering, digital marketing, and customer loyalty programs. The plan aims to provide technological support, training, funding and traffic support, along with other incentives to help ISVs launch and grow their businesses, expand their customer base, and increase revenue growth from target segments.
He Yongming, Vice President of Ant Group and General Manager of Alipay’s Digital Business Unit, stated that “Alipay will continue to provide inclusive digital products to merchants via supporting third-party ISVs, and jointly promote the digital transformation of the service industry.” The plan is expected to help merchants across a range of industries, including retail, tourism, healthcare, recruiting, and transportation, to develop mini-programs, digitize their operations, and conduct digital marketing campaigns.
The number of active ISVs Increased by 103% year-on-year in 2022. As of March 2023, there are over 11,000 ISVs providing digital solutions to merchants on the Alipay platform. The Alipay platform has made more than 100 modularized capabilities available to more than 2,000 ISVs to upgrade their digital services. Moreover, the Alipay platform and ISVs plan to jointly develop 1,000 digital solutions with scalable commercial potential throughout 2023.
Incentives have already been granted to 34 service providers, including NGARihealth, Miya Information Technology, and Juhui Technology, among others. These ISVs have established their own business models on the Alipay platform, with Qimai Technology focusing on digital business operation solutions, Mia Technology serving over 3 million retail storefronts, and digital recruiting firm Nanjing Xinrenkeji achieving profitability within a year by trying out livestreaming on the Alipay platform.
Overall, the Alipay platform's 10 billion RMB plan is designed to foster the service industry’s digital transformation and better serve merchants as they embark on their digital journey.