Discount shopping has become a way of life for many young Chinese and a growing number of local companies are realizing just how much they stand to gain by cooperating with businesses that help them provide discounts to the country's many deal-obsessed shoppers.

Yet, staying ahead of the technological curve is becoming an uphill struggle for companies which facilitate discount and coupon delivery.

For example, there was a time not that long ago when Velo terminals - wall-mounted machines which dispense coupons for fast food, clothing, cosmetics as well as other products and services - were where many urban Chinese would go for discounts at their favorite shops and restaurants. With the rise of mobile technology though, customers can now download coupons straight to their smartphones. Such a sea change not only presents a major challenge to Velo, but all companies which rely on paper-based coupons and vouchers.

The author is Xin Jianjun, a media personality.