Empirical Research On The Impact Of Third-party Payment On The Profitability Of Commercial Banks In China

Along with the development of electronic commerce,third-party payment institutions are gradually forming and growing.In addition,with the wide popularity of Internet terminals and mobile terminals,the scale of third-party payments has expanded rapidly,and the number of users has increased substantially.Through continuous innovation and development,the business scope of third-party platforms has begun to expand from online to offline,from Internet finance to traditional financial fields.It has had a great impact on the banking industry,which is the representative industry of traditional finance.The scope of business between third-party institutions and commercial banks has begun to cross,and competition is increasing day by day,in the face of the innate advantages of the third parties,commercial banks seem incompetent.Therefore,it is of great practical significance to analyze the effect of third-party payment on the banking industry.This paper first studies the development level and current situation of Internet finance from the total amount,and discusses the status and level of the three models of Internet finance(third-party payment P2P network loan,crowd-funding)respectively.Through the analysis and summary of the statistical data,a comprehensive and accurate understanding of the current situation of Internet finance is obtained.Then,the paper analyzes the impact of third-party payment on bank,and analyzes the impact of third-party platform on bank deposit and loan business,intermediate business and customer resources from the perspective of theory.Relying on the advantages of their own positioning,personalized service and user resources,the third party grabs the deposits and customer resources of commercial banks and distributes the loans and intermediary business of banks,which makes the market competition that banks face suddenly intensifies.Then the paper selects the ratio of the return on net assets of commercial banks,the ratio of the transaction scale of third-party payment to the total assets of commercial banks,the new Keqiang index,the ratio of cost to income of banks,total asset size and non-performing loan ratio of banks to quantitatively study the influence of third-party platforms on the profitability of banks with empirical methods,so as to verify the theoretical analysis above.From the empirical results,the third party payment has a significant negative effect on the profitability of the bank,which is consistent with the conclusion of the theoretical research part.Finally,based on the theoretical and empirical research,this paper put forward some suggestions for future development of commercial banks from the two perspectives of strengthening cooperation with third party institutions and promoting their own development and innovation,such as a reasonable solution to the collision of interests,credit rating information and customer resource sharing,innovation based on the needs of users,optimize business process,developing and perfecting electronic bank,innovative marketing mode and innovative management concept,Thus,commercial banks can improve their competitiveness and realize sustainable development on the basis of the development advantages of third parties.