More than 50% of eCommerce sales completed through alternative payment methods
Despite over half of worldwide online customers using credit cards to make purchases, more than 50% of eCommerce sales are completed through alternative payment methods, according to Research and Markets (www.researchandmarkets.com). The combined share of different alternative payment methods in global eCommerce sales will rise, leaving the share of bank cards at a decrease, according to the research group.
Alternative payment methods are particularly favored over bank cards in emerging markets such as China. Here, e-wallets like Alipay made up for more than half of online sales. Research and Markets also found that in Indonesia and Thailand, online consumers prefer bank transfers, but in Vietnam, this method comes second after cash on delivery.
Cash on delivery is also the most favored method from eCommerce consumers in many select developing markets due to the level of banking penetration being lower than in other advanced economies, according to Research and Markets. In advanced markets such as the USA, Canada, Japan, South Korea, the UK, and Sweden, credit card online payments remain in the lead. Notably, exceptions to this trend are in Germany and the Netherlands where alternative payment methods outrank bank card payments.