Mobile & E-Wallet Payments Will Account for Majority of Transactions by 2017
February 19, 2014 – UK-based WorldPay’s most recent study, produced with U.S.-based First Annapolis Consulting, estimates that by 2017, alternative payments, defined as bank transfers, direct debits, e-wallets and mobile transaction, will account for 59% of all transaction methods.
Mobile payments for online purchases will increase to an estimated $117 billion with mobile payments making up 3 percent of the global e-commerce market in 2017.
Consumers are estimated to make $1.7 billion in e-wallet transactions by 2017, up from $294 billion in 2012. Younger shoppers, making online purchases and digital buys in video games, are increasingly using e-wallets.
As mobile payments and e-wallets gain steam, WorldPay believes that bank transfers, cash-on-delivery and direct debits will decline by 2017 making up 6% of the market share, down from 7% in 2012. Further, it estimates that payment cards’ share of total global online payments market will decrease from 57 percent in 2012 to 41 percent in 2017, with credit and debit cards accounting for $1.7 billion in e-commerce payments during 2017.
According to the global forecast data indicates that in 2017 29% of North American e-transactions, 41% of European e-transaction, 53% of Latin American e-transactions 63% of Asian/Pacific e-transactions and 66% of African & Middle Eastern e-transactions will be made using non-card methods.
Read the full study here.
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