A new report by Germany-based secondary market research company yStats.com, titled “Latin America Online Payment Methods: Full Year 2017” highlights the payment preferences of online shoppers in the top markets of the region. According to a survey cited in the report, payment security is more important to digital buyers in Latin America than the comfort of a seamless purchase.
More than three-quarters of online shoppers in Brazil and Chile, and above one-half in other major markets of Latin America prefer to use authentication measures like one-time SMS codes or biometrics when making payments online, valuing their security over convenience, according to a recent survey cited in the yStats.com report. In Brazil, a double-digit share of shoppers chooses local banking method Boleto Bancario rather than payment card due to unwillingness to share their credit card information on the Internet.
Nevertheless, domestic credit cards remain the leading payment method by share of the region’s E-Commerce purchases, with digital buyers in Argentina and Brazil also likely to choose payments in credit card installments. In Mexico, however, PayPal ranks above debit and credit cards in terms of online shoppers’ usage, as the yStats.com’s report reveals. Moreover, local in-store payment method Oxxo is used by more than one-third of online shoppers in this country.
Mobile payment methods are also gaining acceptance in Latin America, with this region ranking behind Asia-Pacific only in mobile payment user penetration among connected consumers, according to a survey from 2017.