BPS bursts through wall
Coast business deal opens up booming China market
Gold Coast-based global trade exchange business BPS Technology has finalised a deal with a major listed online billing provider to promote and sell products in China via e-commerce giant Alibaba.
BPS said the master merchant agreement would give both companies access to China’s huge, rapidly growing e-commerce sector – worth about $US670 billion last year. BPS said the deal would give its Australian merchants access to online giant Alibaba’s wholesale e-commerce platform:1688.com.
It said the partnership was made possible through SmartTrans’ established relationship with Alibaba and cross-border payments facility as well as the large BPS merchant base.
“BPS is committed to enhancing the services and distribution channels it provides to its 24,000 merchants and 55,000 cardholders and is pleased to now have opened up access for its proprietary technology and merchant networks to the huge e-commerce sector in China,” BPS told the ASX.
Initially, BPS will deliver to key suppliers access in four key markets - health and wellness, travel and tourism, property and education.
“These are Australia’s largest export markets after the resources sector,” BPS said.
“The master merchant agreement with SmartTrans enables BPS to earn a merchant fee and product margin from each transaction.
“At this stage all transactions are settled in cash, credit card or by AliPay.”
Mobile and online billing software provider SmartTrans this year posted a record $3.7 million in revenue for Q2 FY2016 in China, which marks a 620 per cent year-on-year increase for the period.
December was the fourth consecutive month it achieved revenue in excess of $1 million from its China operations, with $1.3 million billed.
SmartTrans managing director Bryan Carr said: “The agreement with BPS Technology is a significant business-to-business partnership in which SmartTrans will provide access to the BPS merchants from outside of China to SmartTrans’ and Alibaba’s 1688.com online platforms, customer database and the SmartPay platform as a turn-key solution to doing business there.”
BPS CEO Trevor Dietz said: “Over time, BPS will seek to expand its presence in the Chinese market…and plans to progressively roll out its payment and rewards technology platforms.”
BPS shares ended the day steady at 82 cents
Media outlet: Gold Coast Bulletin
Title: Coast business deal opens up booming China market
Date: 18th May 2016
Author: Jenny Rogers