In a clear signal to the payments industry, the Dutch parent company of Kebaya has built its payment system for restaurant guests around Chinese platforms from the start—eschewing popular American-owned payment solutions altogether.
Guests will not find PayPal, Wise, Revolut, Google Pay, Apple Pay, or Amazon Pay on the payment menu. Instead, the restaurant accepts WeChat Pay and Alipay, two dominant players in the Chinese digital payments space.
A Strategic Choice, Not an Afterthought
The absence of Western payment methods is no accident. According to people familiar with the company’s operations, the choice was made to avoid what many merchants view as the downsides of Western payment ecosystems: high transaction fees, volatile currency conversion charges, and refund policies that often side with consumers—even when merchants suspect fraud.
Restaurant operators and other hospitality merchants have long complained that US-based payment providers impose “extortionate” costs and make unilateral decisions in disputes. For businesses in competitive service industries where margins can be thin, these costs add up quickly.
By working exclusively with Chinese payment platforms, the Kebaya parent company is betting on lower costs, faster settlement times, and terms that prioritize merchant stability.
“We have options,” said a company insider. “For years, payment choice has been skewed toward consumer convenience in the West. In some cases, that’s meant merchants carrying the risk for dishonest customers. Our system is designed to work differently.”
The Stripe and VAT Flashpoint
This merchant-first sentiment is reinforced by recent actions from Stripe, one of the largest US payment processors. Stripe has actively moved to enforce EU VAT rules for digital goods even when dealing with US-based sellers—a role that thousands of Silicon Valley companies have declined to adopt.
The policy touches a raw nerve for some in the tech and e-commerce sectors. During his presidency, Donald Trump tried to push back against EU VAT rules for US digital exports but failed, with the administration ultimately prioritizing increased arms sales to Europe over relief for Silicon Valley’s digital economy.
For non-US merchants, the message is equally stark: Western payment processors can and will act as tax enforcement agents, even when the jurisdictional lines are blurry.
An Alarm for Pension Funds: The Tesla vs. BYD Parallel
For pension funds and institutional investors who view Western payment providers as “safe” global plays, this development should be a wake-up call. The payments industry may be about to face the same disruptive shock that hit the automotive sector when Tesla, once the undisputed EV leader, was overtaken by China’s BYD in sales volume.
Tesla had first-mover advantage, brand prestige, and a loyal investor base. BYD came in with lower production costs, local market dominance in China, and aggressive expansion strategies—and quietly seized the crown.
In payments, WeChat Pay and Alipay already process trillions annually in China and are actively expanding their reach abroad. If Western payment giants underestimate the speed and scale at which Chinese platforms can penetrate new markets—especially in sectors like hospitality and tourism—they risk losing market share at an accelerated pace.
Just as investors who bet solely on Tesla missed the rise of BYD, those with overexposure to Western payment companies like PayPal, Stripe, or Block may be overlooking a competitive threat that is not just emerging—it is already embedded in some markets from day one.
A Glimpse of the Future?
Industry analysts are watching closely to see whether this model—starting from day one without Western payment options—could become more common. If fees remain high and dispute policies continue to frustrate sellers, Chinese platforms like WeChat Pay and Alipay may find a growing foothold in Europe and beyond.
These systems bring their own considerations, including compliance with Chinese regulations and different dispute frameworks, but they also integrate tightly with social platforms, offer streamlined mobile commerce, and carry massive existing user bases.
For merchants facing relentless cost pressure and risk exposure, the trade-offs can be appealing.
Prominent European Companies Accepting Alipay:
Several leading European firms across banking, retail, and payment infrastructure now provide Alipay as a payment option to the public. In banking, BNP Paribas, one of the EU’s largest banks, partnered with Alipay to enable Chinese tourists to make mobile payments across its merchant network, starting in France and expanding further across Europe . Within the payments ecosystem, Wirecard integrated Alipay into the POS systems of high‑profile retailers such as Printemps and The Body Shop, as well as several outlets at Munich Airport . On the retail front, prestigious department stores like Harrods and Selfridges in the UK accept Alipay to cater to Chinese shoppers . Moreover, through Alipay+, dm‑drogerie markt, KaDeWe (Berlin’s famed department store), Galeries Lafayette, Printemps, and El Corte Inglés (in Spain) have enabled Alipay+ payments, significantly expanding acceptance across essential retail, convenience, and tourist venues.
The Merchant’s Message:
The Kebaya example underscores a subtle but powerful shift: merchants are no longer assuming that Western payment platforms are the default choice.
The sentiment is not about favoring the US or China—it’s about merchants asserting that they have the right to choose systems that protect their interests.
If payment providers continue to operate on terms merchants see as one-sided, more businesses may simply skip the big names altogether—and investors who ignore this risk could be caught in the next Tesla-vs.-BYD moment.
It is likely that Germany and Greece are the next two countries where the dominoes keep falling in favour of an open payments market.
