China is quickly adopting cashless transactions, with 84 percent of its population using mobile phones for payments.
A newly released report by Tencent, the Chongyang Institute for Financial Studies at Renmin University of China, and French market research firm Ipsos indicated that WeChat and Alipay are the two major online payment platforms in the country.
It was also found that consumers in their 20s and 60s have stopped using cash and are using online transactions. They are using cashless payments for almost all of their activities -- be it for meals at restaurants, visits to the doctors, or paying electricity and water bills.
More than 70 percent of the 6,500 respondents said they could survive more than a week with only US$15 in cash.
Only 52 percent use cash for 20 percent of their total monthly consumption due to the convenience and flexibility of cashless transactions.
The report also found that while it was previously common for people to use cash at supermarkets, it is now a practice to use QR codes for purchase transactions in the country.
"Mobile payment companies were worried about their future just four years ago, but the spread of technology has exceeded the imagination of almost everyone," said Li Gang, a professor at the Tencent Research Institute."Mobile payment has become the norm and companies and brands cannot afford to ignore that fact."