Alternative payment methods on the conquering path
Now having a slim majority with regard to global E-Commerce sales, alternative payment means are combating traditional card companies around the globe. Of these means, E-Wallets such as PayPal and Alipay are on top. The growth of the relative share of transaction value of E-Wallets and other alternative methods is projected to persist through 2022.
Early adopters in emerging markets
With most of the global population living in emerging markets, obtaining early adopters in these regions is of large benefit for expedited growth. New alternative payment means, such as mobile wallets, have been steadfast in the Asia-Pacific emerging markets as well as selected countries in Latin America. More commonplace alternative payments methods, such as cash on delivery, are utilized by a substantial segment of the populations of emerging markets as well, especially in India and the Middle East and Africa region.
Asia-Pacific leads in paying differently
In terms of early adoption, Asia-Pacific is the global leader in alternative online payment methods, accounting for a material majority of usage in the share of overall E-Commerce payment value. The emerging markets of the region outpace adoption in relation to its advanced markets, but alternative means are, nevertheless, becoming more and more popular. This increased popularity is exemplified by these societies moving cashless, looking ahead at Australia, projected to become the world’s first cashless society by 2022.
Alternative payment methods have continually grown in competition with traditional card companies and the data points towards further intensified contention in the future.
For more details on this trend, see the report “Global Alternative Online Payment Methods 2019” by yStats.com.