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Europe sees growth in cashless payment methods, with the online payment landscape being dominated by cards and wallets

The latest publication from the Hamburg-based desk research company yStats.com. “Europe Mobile Payment Methods 2022”, summarizes the recent as well as future trends and developments within the market as well as gives information about the most important and leading payment methods in the region.

Digital wallets dominated the payment landscape in multiple countries in Europe

Many countries across Europe have seen continuous growth in the use of digital wallets and their adoption and presence is expected to gain momentum. In Germany PayPal was the most preferred and used payment method for B2C E-Commerce purchases. Furthermore, among the top payment methods offered by online stores in Germany, most online retailers were seen providing PayPal in 2021, followed by Invoice and credit cards, as revealed by the new yStats.com report. In contrast to this, Apple Pay and Google Pay were offered by a negligible percentage of online retailers in Germany. Digital wallets such as PayPal were a regularly used online payment method by nearly two-thirds of German consumers in 2021, with Google and Apple pay being the least used forms of digital wallet. In terms of age groups, PayPal was again the most used payment method across different age groups, whereas over a certain percentage of consumers between 16 and 69 years were also seen using Klarna widely to make their online payments, as stated in the new yStats.com publication. In 2021, MobilePay outperformed PayPal and Apple pay in Denmark in terms of both usage and preference when making an online purchase. Mobile wallets like PayPal are also steadily gaining importance in some of the emerging European markets such as Czech Republic. Although used by a small percentage of internet users as a B2C E-Commerce payment method, E-wallet was one of the most popular payment methods used for online shopping in the country as of 2021. Nearly half of the online shoppers in Portugal too were in favor of using PayPal while purchasing online, whereas more than half of online businesses in Bulgaria had a positive impact after the introduction of digital and mobile wallets in 2021.

Despite the growing interest in mobile payments across Europe, some challenges remain to be resolved

Although many countries in Europe are in favor of using mobile payments, there are some potential challenges that mobile payment users experience, as revealed by the new yStats.com report. More than one-third adults using mobile payments in France, in 2021 were concerned about the security and safety issues revolving around the use of the payment method. Apart from this, mobile payment users also had concerns relating to the risk of fraud. For instance, in France risks of fraud associated with making payments via mobile were very or somewhat important to more than two-third adults using this payment method. In Poland, a certain percentage of mobile shoppers not only experienced problems with making payments but also found the payment method to be inconvenient, as stated in the new yStats.com publication.