E-wallets to rival cards as worlds most popular payment type by 2017

Wednesday 22 January 2014 10:51 CET | News

Online purchases made using alternative payment methods are expected to rise to 59% in 2017 from 43% in 2012, recent findings indicate.

According to data from WorldPay, card payment market share (including credit and debit) will decline from 57% in 2012 to 41% in 2017. The same source shows that e-wallets will equal cards as the most popular payment method globally, with each predicted to have a 41% share of the overall payments market. In 2012, USD 295 billion was processed through e-wallet payments. This is set to rise to USD 1,656 billion by 2017.

Research points out that PayPal has the highest market share of all alternative payment schemes (with 57%) with China’s Alipay ranking second (with 20%). Results also unveil that in China, 44% of transactions are made using e-wallets, with Alipay comprising the greatest market share, namely 30% of total payments.

With regard to mobile payments, the study reveals that mobile ownership is highest in Europe (88%) but smartphone ownership is the highest in North America (54%). Specialised mobile payment solutions will grow as technology advances and smartphone penetration rates rise. The value of mobile transactions will increase to USD 117 billion by 2017, from USD 18 billion in 2012.

The report, dubbed Your Global Guide to Alternative Payments (Second Edition), is a definitive guide to the current global payments landscape and seeks to provide an in-depth view of the alternative payment landscape by volume, type and country and identify which payment types will be most prevalent across the globe.

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Keywords: e-wallets, alternative payment methods, online payments
Categories: Payments & Commerce
Countries: World
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