Airwallex’s inaugural global ecommerce report is designed to understand the state of cross-border ecommerce, uncovering the challenges consumers and merchants face as they carry out cross-border ecommerce payment transactions. It provides key insights on emerging consumer sentiments and preferences, as well as broader market dynamics across Australia, China, Hong Kong, Singapore, the UK, and the US.
Officials from Airwallex said that ecommerce is more global than ever. Despite ongoing economic uncertainty and slowing global growth, it is clear that consumer spending will continue to grow. With the global cross-border ecommerce market set to reach USD 7.9 trillion by 2030, it is critical for international merchants to solve consumer pain points and deliver the best possible customer experience in order to thrive in this competitive market.
61% of consumers perceive international merchants to be trustworthy, while 65% expressed confidence in the security of their personal and financial information when buying from international merchants.
Globally, the US (36%) and China (25%) stood out as the top regions for consumers’ international shopping. 72% of consumers from China ranked the US and Canada as the top region for their international shopping, whereas China was the top country that consumers from the US (41%) Singapore (35%), and the UK (35%) shopped internationally from.
The rise of digital payment methods is a key reason consumers feel more comfortable buying goods and services from anywhere in the world, emphasising the importance of flexibility and transparency in the payments and shipping process.
When shopping with international merchants, 77% of survey consumers would likely abandon their cart if their preferred payment method is not available. Additionally, 54% are unlikely to return to online stores that do not transparently disclose additional fees like currency conversion and international transaction fees.
39% of online consumers prefer credit cards for international purchases, while 26% opt for global digital wallets. 41% prioritise shipping cost transparency, and 47% find lengthy refund processing times challenging.
Understanding the diverse considerations and preferences of consumers across regions is key for businesses seeking success in the global marketplace.
34% of consumers cited greater product options as the primary incentive for shopping internationally. This motivation closely competes with the desire for better quality products and lower prices.
Lower prices emerged as a significant driver for international shopping in the UK, the US, and Australia, whereas greater product availability and superior product quality were identified as key factors in China, Singapore, and Hong Kong.
Social commerce is rapidly growing as merchants utilise social media for interactive content, targeting digital-native consumers. 59% of consumers plan to buy from international merchants through social platforms, with consumers from China (86%), Hong Kong (76%), and Singapore (62%) showing the most appetite for social commerce.
Accessing better deals and offers on social media platforms (49%) was the top global motivation for consumers to buy from international merchants, followed by personal recommendations (42%) and interactive online selling (38%).
On average, consumers use Facebook the most (28%) to make online international purchases, followed by TikTok (22%) and Instagram (20%).
The research was commissioned by Airwallex and carried out by consulting firm Edgar, Dunn & Company during Q1 2024. Insights come from two primary sources, a global survey of 3,010 consumers in Australia, China, Hong Kong, Singapore, the UK, and US, and interviews with leading merchants, as well as secondary research.
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