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Apart from discounted prices, the city passes provide more convenience for tourists, especially inbound tourists, said Xu Ting, secretary-general of the Shanghai Tourism Association.

Ant Check Later extends consumer credit ranging from 500 yuan () to 50,000 yuan based on its risk assessment of customers using big data analysis. Credit is interest-free for up to 41 days.

Another example is the Shanghai-London Stock Connect program which opened for trading last month. It is a new step for China's financial market to further open up to the world.

Ann Xie, senior director of the digital retail consulting practice at J.D. Power China, said digitalization in after-sales service, dealers' efficiency and customer satisfaction have greatly improved, but they are not fully optimized or utilized.

Any agreement between the governments should include positive incentives, such as a mechanism for removing tariff hikes the two countries have imposed on each other, as progress is made in the talks, Allen said.