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is now available as a complete guide to popular e-commerce payment methods.
Popular Mobile Wallets
Mobile wallets have exploded in popularity in recent times and researchers are expecting the mobile payment industry to grow to $273.1 billion in 2028. This leaves online businesses struggling to manage a variety of possible payment methods. A good e-commerce system will allow you to accept the top mobile wallets. But, if you're working independently to keep up to date with new methods of mobile payments These are the best options available:
- PayPal Platform: The PayPal platform reported 435 million users in 2022.
- Google Pay: Globally, Google Pay has over 150 million customers, and makes up 14.9 percent of the regional market portion.
- Apple Pay: The Apple Pay platform boasted an estimated 45.4 million users in 2022.
With millions of users accessing mobile wallets each day, it is easy to comprehend why the ability to work with the various payment options is vital for online companies.
Credit and Debit Card Payments
Debit cards account for 12.3% of e-commerce purchases. They act as cash, removing money directly from the bank account of the buyer after purchase. While the branding of a customer's card might depend on the bank that issued it, most debit cards operate through Visa and Mastercard. More specifically the most well-known debit cards include:
- Visa (54.42% market share)
- Mastercard (22.14 percent market share)
- Domestic debit cards (15.54 percent market share)
- Private label cards (7.56% market share)
- AACH cards (.34% market share)
Credit cards account for 22.8% of e-commerce transactions. They use funds directly to the bank of the buyer, which customers are contracted to pay back at a later date. Credit cards give customers more purchasing power when they shop at your store. According to Shift, there are four major credit cards your online shop must accept:
- Visa (52.8% market share)
- Mastercard (31.6 percent of the market)
- Find (8.1 percentage market share)
- American Express (7.5% market share)
The Importance Increasing of Buy Now, Pay Later
Almost any payment method can be combined with a purchase now, pay later (BNPL) platform--like Klarna, Afterpay, and Affirm. This popular payment option lets consumers have more control over how their purchases align with their paychecks.
The pay now, buy later arrangement is a short-term and interest-free installment loan. On the most popular platforms, users will only be charged by BNPL services for missed payments and extended loan terms. According to Yipitdata, the most popular BNPL service is Affirm which holds 40% of the US market share. The most well-known buy now, pay later options include:
- Reaffirms (40% market share )
- Klarna (19.6% market share)
- afterpay (16.4% market share )
- PayPal Pay In 4 (11% market share )
Most of these buy now, pay later platforms divide the order into four separate payments. The initial payment is due at the time the purchaser is able to check out of your online store. The following 3 payments are scheduled out, often every two weeks.
It's not difficult to comprehend why buy now, pay later choices are rapidly being embraced by the majority of online shoppers.