2024 Global Ecommerce Report

2024
Global
Ecommerce
Report
The Changing World of Payments
2024 Global Ecommerce Report – Boku & Juniper Research - 1

2024
Global Ecommerce Report
The Changing World of Payments
Contents
Global....................................12 Ghana .................................... 189

Iraq ......................................... 194
Asia Pacific ...........................23 Kenya ..................................... 199
Australia ................................... 31 Nigeria.................................... 204
China........................................ 36 Saudi Arabia ........................... 213
Indonesia ................................. 45 South Africa ........................... 222
Japan ....................................... 54 United Arab Emirates.............. 227
Malaysia ................................... 63
Philippines ................................ 72 Indian Subcontinent .........232
Singapore................................. 81 India ....................................... 239
South Korea ............................. 86 Pakistan ..................................247
Taiwan ...................................... 95
Europe ................................252
Thailand ................................. 105
Denmark ................................ 259
Vietnam ...................................114
Germany ................................ 264
U.S. & Canada ..................... 124 Italy ........................................ 269
United States ..........................131 Netherlands .............................274
Canada ................................. 136 Norway................................... 279
Poland .................................... 284
Latin America .................... 141 Spain ...................................... 290
Argentina ............................... 148 Sweden .................................. 295
Brazil ..................................... 153 Switzerland ............................ 300
Colombia ............................... 163 United Kingdom ..................... 305
Mexico ....................................172
Appendix: Ecommerce
Africa & Middle East.......... 177 and GDP forecast ................. 310
Egypt...................................... 184

Introduction Merchants need to embrace the growing dominance of these local payment
methods, by making intelligent payment acceptance choices, giving their
Many global businesses find themselves reacting to the rapidly evolving pay-
customers the freedom to pay the way they want to pay. By recognizing and re-
ments landscape instead of proactively planning their payments acceptance
specting regional payment preferences, merchants not only ensure transaction
strategy – this leaves them at risk of competitive disadvantage. The 2024 Global
growth, but also forge lasting relationships with their consumer base – a win-win
Ecommerce Report, produced in collaboration with Juniper Research, analyses
in an otherwise challenging market.
data from 37 major markets, highlighting global, regional and country specific
trends. The Report’s detailed assessment and forecasts will enable you to pre-
Ecommerce Share of Checkout by Payment Methods (Value %), Global
pare effectively for the future of ecommerce payments.
4% 4% 4% 5% 5% 5% 5%
The report highlights that against a backdrop of continued strong growth in
ecommerce, the global card schemes continue to lose share of checkout to 90% 7% 8% 9% 11% 12%
regional and local payment methods such as digital wallets, account-to-account 14% 16%
payments, carrier billing and BNPL offerings. This is a trend seen at an aggre- 80%
gate global level but also repeated in every region across the world.
70% 34%
34% 34%
35%
35%
60% 35%
35%
50%
19% 19%
40% 20%
20%
20%
30%
21%
21%
11% 11% 10%
“
10%
20% 9%
9%
9%
Our mission at Boku is to empower 21% 20%
10% 20% 18%
consumers everywhere to be able to 15% 13% 11%
pay for the services they love in the way
they want, and allow global merchants 2022 2023 2024 2025 2026 2027 2028
to seamlessly offer localized payment
choice to unlock new growth. Credit Cards Debit Cards Card-linked Wallets
Non-card-linked Wallets DCB Cash & Equivalents
– Stuart Neal, CEO
A2A Payments BNPL Other
4 - 2024 Global Ecommerce Report – Boku & Juniper Research 2024 Global Ecommerce Report – Boku & Juniper Research - 5
The growing domination of local payment methods comes hand in hand with Opinion: Are Local Payment Methods
an inevitable increase in diversity and complexity of the ecosystem, charac-
Making Visa and Mastercard Irrelevant?
terized by:
Mastercard and Visa have dominated payments, particularly in Western mar-
▸ the continued proliferation of new LPM offerings to meet the needs of con-
kets, and their size and impact has been drastic, shaping the way people pay
sumers (valuing security, convenience and rewards), merchants (looking to
across much of the world.
acquire new customers, lower fees, and explore new functionality) and gov-
ernments/regulators (focused on sovereignty of payments infrastructure and However, the way global payment trends are evolving threatens to make these
creating ‘healthier’ ecosystems). schemes increasingly less relevant with card’s share of ecommerce transaction
volume declining from 41% in 2023 to 30% in 2028.
▸ at the same time, we are seeing signs of convergence that blurs the traditional
boundaries between different categories of digital payments. Examples include Local payment methods will represent 59% of ecommerce transactions by value
A2A schemes adding BNPL options and digital wallets issuing debit cards. in 2028, from 49% in 2023, accounting for a majority of transaction value online
for the first time. This is in the context of over 65% forecast growth in the value
It is vital that merchants have the tools to understand the evolving landscape
of ecommerce expected over the same period.
and plan acceptance strategies – no business can afford to be complacent in
this dynamic ecosystem.
We hope this report is of assistance on that journey.
To learn more about Boku and our global network of localized payment solu-
“
tions please visit us at www.boku.com
Every country is
unique with different
local conditions, user
preferences and payment
methods. Merchants who
operate internationally must
leverage a differentiated
strategy.
– Adam Lee,
Chief Product Officer
There are multiple ways in which Visa and Mastercard are being challenged by
A2A ecommerce share of checkout by value, select markets, (%)
local payment methods:
1. Legacy Tech Can’t Keep Pace With Local Methods Netherlands
▸ Developments at a local level mean that the starting point for access to ser- Brazil
vices isn’t always banks, such as with mobile money services in Africa.
Thailand
▸ Local payment methods increasingly offer a better user experience which is
tailored to local requirements. Poland
▸ Local payment methods also typically have biometric security built in, leading
Colombia
to quantifiable improvements in fraud performance versus cards.
These issues create a massive opportunity for digital wallets and A2A payments Malaysia
in particular, with A2A and non-card-linked wallets to account for over 50% of
ecommerce transaction value globally by 2028 Indonesia
2. A Uniform Approach to Payments is Flawed Norway
One size doesn’t fit all – cards have a blanket approach, which does not work Sweden
for all local experiences and payment scenarios.
▸ Local conditions and requirements can’t be met with a single solution Argentina
▸ In emerging markets, banks cannot provide the reach needed to onboard users
Nigeria
▸ Local nuances and cultural differences are too strong for a single solution
to work. India
▸ Cards were fundamentally built for physical payments, meaning their ecom-
merce usage is compromised. Philippines
▸ LPMs offer a much more convincing user experience.

Vietnam
By offering a more tailored experience, LPMs will benefit greatly. A2A payments
will double as a proportion of ecommerce transaction value globally between Pakistan
2023 and 2028, reaching 16%.

Saudi Arabia
3. Sovereignty of Payments Systems

Singapore
Governments and regulators want greater oversight of how payments are made.
Taiwan
▸ Governments and regulators are pushing against foreign organisations owning 2028
the supply of money, warning of systemic risks and limited control of services. United Arab 2023
Emirates
0% 20% 40% 60% 80%
▸ Demonetization and taxation issues are being caught up in this debate, inten- The landscape of the payments industry is marked by intense competition, with
sifying regulatory concern emerging contenders such as local fintech startups and alternative payment
mechanisms potentially gaining prominence.
▸ Local card schemes are one solution to this, and these schemes will see
more robust ongoing card usage than other markets. Local payment methods play a pivotal role in empowering individuals, enterpris-
▸ A2A and local digital wallets will be the preferred mechanisms for the transi- es, and communities in developing nations by furnishing them with accessible,
tion away from cash and the informal economy. cost-effective, and culturally resonant financial solutions.
As a market concerned with this issue, Europe in particular will see a dramatic In conclusion, while cards may not hold the same ubiquity or indispensability as
shift away from cards, with the proportion of ecommerce transaction value fea- they once did, they will co-exist with local payment methods and will no doubt
turing cards dropping from 44% in 2023 to just 23% in 2028. adapt and change.
Ecommerce Checkout Value %, Europe

1%
8% 9%
15%
2%
26%
1%
5%
1%
9%
24%
13% 30%
8%
31%
15%
2023 2028
Credit Cards Debit Cards Card-linked Wallets

Global Global ecommerce checkout volume %
Key Market Statistics – 2023 1% 1%

2023
8B
TOTAL
GDP/capita
2%
5%
8%
POPULATION
$12,702 29%
76%
BANKED
6B
ADULTS
+7%
BY 2028
25%
12%
17%
2% 1% 2028
Credit Cards
Debit Cards
+65% 20%
ECOMMERCE BY 2028 Card-linked Wallets 17%
MARKET SIZE Non-card-linked Wallets
$60T DCB
3%
Cash & Equivalents 1%
A2A Payments 10%
CROSS-BORDER
59% ECOMMERCE
MARKET SIZE
BNPL
Other
$2T
NON-CARD
LINKED
28% 17%
MCOMMERCE
MARKET SIZE
$5T
Key Takeaways ▸ Non-card linked wallets are also benefiting from the rise of A2A payments, with
many wallet services being able to leverage centralized payment rails, such as
A2A Payments Gaining Enormous Traction, with Share of Volume and PIX or UPI, showing that the lines are increasingly blurring between categories.
Value of Ecommerce Transactions Set to Double by 2028
▸ A2A payments will have the strongest growth of any payment method within Direct Carrier Billing Has Strong Reach, Creating Opportunities for
ecommerce by 2028. Merchants
▸ A2A payments will account for 17% of all ecommerce transactions by volume ▸ In terms of reach, direct carrier billing has an impressive depth within different
by 2028 globally, from 8% in 2023, growth of over 115%. This increase is also markets, with services expected to reach 13% of the global population by 2028.
reflected in value terms, with the value of ecommerce payments that is via ▸ Direct Carrier Billing is used as a payment method at checkout by 13% of the
A2A set to grow from 8% in 2023 to 16% in 2028. global population every month.
▸ A2A payments are unlocking digital payments for many new users. Across
the sentiment surveys we conducted, A2A payments were frequently the
most popular local payment method, for example PIX in Brazil. It is this
growth in the penetration of ecommerce, coupled with the easy access that
A2A payment schemes provide, that will usher A2A payments into an increas-
ingly important role.
Cards Playing a Smaller Role, as Local Payment Methods Get Greater

Traction
▸ Cards will account for 30% of ecommerce transactions by volume in 2028,
“
from 41% in 2023. A similar fall will be seen in value terms, from 31% in 2023,
to 20% in 2028.
▸ While cards play an important role and can provide fairly universal access
to ecommerce, they also have challenges, particularly in emerging markets,
where cards are not widely adopted.
▸ Cards also have implications for merchants, particularly on cost grounds, Fundamentally, this study shows
which can be a major stumbling block. that merchants must choose
▸ However, much of the reduction in direct card usage will be offset by growth the right payment methods, and
in card-linked wallets, particularly in developed markets, where Apple Pay right partners, in their markets
and Google Pay have strong traction. to capitalize on ecommerce
growth.
Digital Wallets Enjoying Success, Spurred On By Transition from Di-
rect Card Use to Card-linked Wallets – Mark Stannard,
Chief Business Officer
▸ Digital wallets as a whole will account for almost 56% of transaction values
within ecommerce by 2028, showing a remarkable position within the market.
global`
▸ However, despite this reach, it represents a much smaller proportion of Cash on Delivery Use Declining, But Still Critical In Some Use Cases
ecommerce volume and value, as a result of its strong adoption for specific and Markets
use cases, rather than widespread ecommerce use. On average, carrier bill- ▸ Cash on delivery (and other cash equivalents) use is forecast to decline
ing is only used around 4 times per year by a user globally, compared to over through to 2028, as more digital payment methods take up the task of grow-
30 for non-card wallet users. ing the ecommerce sector.
▸ Given its broad reach, and user friendly nature, carrier billing is effective but Fundamentally, while cash on delivery is basic, it does provide an accessibility
underutilized by merchants in part due to the higher costs and slower settle- that other payment methods cannot match, and it is still expected to account for
ment speeds compared to other payment options. 3.4% of ecommerce transactions by volume in 2028.
Therefore, we expect that cash will endure in a more niche role for some time,
Total commerce monthly active users – Global
as markets adopt digital payments.
Non-card Wallets Users DCB Users A2A Users BNPL Users
30% Ecommerce checkout value % – Global
4% 1%
5% 1%
8%
2%
1%
16%
1%
1%
20% 34%
35%
19%
10%
21%
11%
8%
20%
11%
0%
2023 2028

What Merchants Need To Know
Key Data
Merchants face an incredibly complex market for ecommerce payments global-
▸ Local payment methods will reach 58% of all ecommerce transaction value glob- ly. As such, it is important to focus on a few common themes:
ally by 2028, reflecting a major shift within the ecommerce payments market.
Choice is key: In many of our surveyed countries, a key finding was that ecom-
▸ By 2028, almost 37% of all individuals globally will actively use local payment merce users leverage multiple payment methods, such as India, where the aver-
methods, reflecting massive growth and expansion of the ecommerce market age was 4.8 payment methods used online in the last month per user. As such,
across the world. offering one method will never work for merchants – they have to offer a mixture.
▸ Card values will decline to 20% of transaction value by 2028, from 31% in Country markets are very different: Throughout this report, there are many
2023, reflecting a major shift as the ecommerce market expands. different variances between markets, with user preferences and local payment
▸ BNPL is steadily growing its share of ecommerce values, from 4% in 2023 to methods taking very different forms. As such, a universal, one-size-fits-all ap-
5% in 2028, reflecting steady progress outside of key, already highly saturated proach is not suitable. Merchants who operate internationally must leverage a
markets, such as Australia, Germany and Sweden. differentiated strategy.
▸ A2A payments are seeing strong growth, from 8% of ecommerce spend in User experience is critical: From the user point of view, in many cases the
2023 to 16% in 2028, a dramatic increase, reflecting major shifts in this market. payment types are free to use. As such, cost is not a key differentiator for users,
unlike for merchants, where cost of acceptance is a critical issue. Therefore, the
battleground is user experience – offering the acceptance channels users want
is vital to conversion, and ensuring that barriers to conversion are as low as
possible can make the difference between success and failure.
This study shows that merchants must choose the right payment methods in
their markets to capitalize on ecommerce growth. Failure to adapt to the evolv-
ing payment landscape with an effective acceptance strategy will leave them
exposed to competition from newer, more agile merchants.
Methodology Forecast Methodology
Ecommerce Payment Methods – Survey and Forecast Meth- The forecasts use data gathered from a number of Juniper Research’s Fintech
odology and Definitions and Payment research suites. The forecasts and datasets are updated on a
quarterly basis; including the following data sets:
Survey Methodology ▸ Ecommerce Payments
Juniper Research conducted an online survey of 750 ecommerce payments ▸ Digital Wallets
users in each of the following countries (10,500 in total): ▸ Mobile Money in Emerging Markets
▸ Brazil ▸ Direct Carrier Billing
▸ China ▸ Instant Payments.
▸ Colombia These individual datasets enabled us to build a model including the various dif-
▸ India ferent payment methods included within this report, based on a robust, bottom
▸ Indonesia up methodology for each payment method involved.
▸ Japan
Data sources that input into our model includes regulator datasets that are regu-
▸ Malaysia
larly published, disclosures from vendors, and our own proprietary databases.
▸ Nigeria
▸ Philippines Within ecommerce payments, we include the following two categories:
▸ Saudi Arabia ▸ Physical goods: This includes any physical item ordered via an ecommerce
▸ South Korea service.
▸ Taiwan
▸ Digital goods and services: This includes digital services, such as one-off
▸ Thailand
purchases or subscriptions to digital content.
▸ Vietnam
The respondents were incentivized for their participation. The results were not Definitions
weighted. We have used the following definitions in this report:
The results are presented with a ±3% margin of error at the 95% confidence level. ▸ Account to Account Payments (A2A) – a payment method that enables
Many of the survey results are presented from the perspective on local pay- users to transfer money from their account to the account of a second party.
ments users. Local payments users were identified as a subset of the respon- This is used synonymously with bank transfer or instant payment in many
dents by identifying those respondents that had selected a greater number of markets. Examples would include PIX in Brazil, UPI in India, or iDEAL in the
local payment methods that they were using at least once a month than the Netherlands.
number of card and card-linked methods they selected. This allows for a deeper ▸ BNPL (Buy Now Pay Later) – BNPL is to break a purchase into multiple in-
understanding of local payment preferences in the surveyed markets. stallments over a short period, typically over 3-4 months, and typically without
any direct charges unless there are late payment fees incurred. Examples
would include Klarna and Clearpay.
Asia
▸ Card linked wallet – a digital wallet that only acts as a direct proxy for a pay-
ment card, rather than having the capability to store a value. Examples would
include Apple Pay and Google Pay (except within India).
▸ Cash Agents and Equivalents - includes cash on delivery and other cash
based voucher payments.
Pacific
▸ Direct Carried Billing (DCB) - DCB allows users to make purchases directly
charged to their mobile phone bill or prepaid balance.
▸ Non-card linked wallet – a digital wallet that is not necessarily linked to a
payment card, and can typically hold stored value. Examples would include
mobile money services such as M-PESA or MTN MoMo.
▸ Other – this is a term which encompasses any payment method that is not
elsewhere classified. This could include prepaid cards, and other available
services not named elsewhere.
For the graphs that display the total user base for each local payment method
versus the average monthly ecommerce transactions, we define active users
as any account that is used at least once every 90 days. For the total user base
for each local payments method, the user base is for use across all payments,
including in-store and P2P payments. This can highlight cases where a popu-
lar payment method is used much more widely in the population for use cases
other than ecommerce, and can show which user bases are most active.
Juniper Research provides over 6 million market statistics across 60 key coun-
tries, 8 key regions and more than 90 Fintech, Telco and IoT sectors.
Key Juniper customers are American Express, Disney, Google, MasterCard,
Visa, Vodafone and many more
All satellite images courtesy of NASA - Visible Earth
314
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JuniperResearch 23
Asia Pacific Ecommerce checkout volume % - Asia Pacific
Key Market Statistics – 2023 3% 1%

1%
4%
2023
2.4B GDP/CAPITA
TOTAL
POPULATION $13,609
82%
BANKED 1.9B
31%
ADULTS +5%
BY 2028
34%
8%
17%
1% 1% 2028
2%
Credit Cards 1%
7%
Debit Cards
+59% Card-linked Wallets
ECOMMERCE BY 2028 26%
$3.5T DCB
Cash & Equivalents
CROSS-BORDER A2A Payments
61% ECOMMERCE
MARKET SIZE
BNPL
38%
7%
NON-CARD
Other
LINKED
$1.4T
17%
MCOMMERCE
MARKET SIZE
$2.8T
Key Takeaways ▸ Super apps in particular are having a major impact driving growth. These
apps also prominently support BNPL services, although this will be reported
Digital Wallets to Continue to Dominate in Asia Pacific within their overall payments traffic.
▸ Digital wallets, predominantly non-card-linked, will continue to grow at a steady ▸ As such, getting payments strategies right in Asia Pacific means understand-
pace, from 71% of ecommerce transaction value in 2023, to 73% in 2028. ing which methods work best where, and creating a nuanced acceptance
▸ Digital wallets are so well established in China particular, leaving minimal strategy that reflects these differences.
scope for any other type of payment method. However, outside of China, the
Strong Differences Between Markets in Terms of Loyalty to Payment
prospects for other payment methods are better, with A2A for example having
Methods
an important role to play in markets such as Thailand and Vietnam.
▸ The markets in Asia Pacific, where surveyed, showed marked differences
in terms of how willing users were to change the payment methods they
used online.
▸ Indonesia has the highest proportion of respondents who would consider
changing services, at 84%, with Thailand, Malaysia, Taiwan, the Philippines,
and Vietnam all having over 75% of respondents willing to change services.
▸ By contrast, Japan and South Korea were much more settled, at only around
50% of respondents being willing to change services.
“
▸ These differences show that there is much scope for innovation within this
region, but it means choosing the right markets, where users are more willing
to change.
BNPL Expected to Grow Strongly, However will Still Have Very Little
Share in Regards to Transaction Volume
APAC really is the home
▸ The number of BNPL users is anticipated to increase 170% between 2023
of payment innovation and and 2028, rising from 154.1 million users to 416.7 million users. This increase
consumer adoption. Digital in BNPL will be due to changeable economic circumstances, as well as great-
wallets and national A2A er support by merchants.
initiatives are getting strong ▸ In Asia Pacific, the share of BNPL will grow from 1% of ecommerce transac-
traction, with SuperApps tion value in 2023, to 2% in 2028.
drawing particular
merchant interest.
- Loke Hwee, VP and GM, APAC
A2A Payments Outpacing Rest of Market in Asia Pacific What This Means for Merchants
▸ A2A payments will grow quickly in the region, from 4% of ecommerce trans- Fundamentally, Asia Pacific payment requirements are changing quickly. While
action value in 2023, to 8% in 2028. card payments are still going to remain significant (representing around a third of
ecommerce payments by volume in 2028), local payment methods will continue
▸ Specific A2A initiatives, such as PromptPay in Thailand, PayNow in Singapore
to go from strength to strength. As such, merchants must expand their accep-
and PayTo in Australia have shown very strong growth trajectories.
tance strategies to match these changing customer preferences.
▸ In future, Project Nexus, a cross-border interoperability scheme, will see easi-
er use of A2A payments across Asia Pacific, driving up adoption and usage.
▸ This rise of A2A payments is a consistent trajectory outside of China and Ecommerce checkout value % - Asia Pacific
Japan in Asia Pacific, and reflects a sustained shift in this market, as user
1% 1%
preferences change, and payment types evolve to provide greater accessibili- 4% 1% 8% 2%
2%
ty to ecommerce for newer users. 1%
1%
1%
Total commerce monthly active users – Asia Pacific
Non-card Wallets Users DCB Users A2A Users BNPL Users 55%
70% 57%
53%
16%
17%
7%
5%
35% 13%
9%
2023 2028

18%
0%
Key Data Australia
Local payment methods, particularly non-card-linked wallets in China will con- Key Market Statistics – 2023
tinue to dominate, with other methods, such as A2A, also growing their share in Local Currency: A$ – Australian Dollar
the rest of the region.
By 2028, over 61% of all individuals within Asia Pacific will actively use local pay-
ment methods, reflecting their strong traction in the region.
Across Asia Pacific, non-card-linked wallets will continue their dominance in 99% 26M GDP/CAPITA
value terms, reaching 57% of ecommerce transaction values by 2028. A2A pay-
BANKED TOTAL
POPULATION $65,430
ments will also more than double their share in value terms, as A2A schemes in
markets such as Singapore and Thailand flourish.
21M
ADULTS +4%
BY 2028
+107%
ECOMMERCE BY 2028
MARKET SIZE
$51B
36%
NON-CARD
LINKED CROSS-BORDER
ECOMMERCE
MARKET SIZE
$18B
MCOMMERCE
MARKET SIZE
$35B
30 - 2024 Global Ecommerce Report – Boku & Juniper Research 2024 Payment
2024 GlobalMethods & Trends
Ecommerce Report–A Boku &
– Boku & Juniper
Juniper Research
Research Study
- 31 - 31
Ecommerce checkout volume % - Australian
Key Takeaways
Australian Market Still Card Dominated, but Local Alternatives Gain-
1%
2023 ing Steam
1% ▸ Within the Australian market, card payments will still dominate the ecommerce
1%
1% payments space, with credit cards, debit cards and card-linked wallets set to
8% account for 80% of ecommerce transaction volumes in the market by 2028.
23% ▸ However, this does represent a fall from 87% in 2023, showing change is
happening.
▸ The support from regulators for local payment methods, coupled with strong
23% rates of digital engagement, show that in the longer term, digitally-enabled
local payment methods do have strong potential, but given the strong prefer-
ence for cards, this will take time to translate into usage in practice.
Card-linked Wallets to Take Leading Role

41%
▸ Card-linked wallets, namely Apple Pay and Google Pay, have been very
successful within the Australian market, catalyzed by strong adoption of
3%
2028 contactless payments within this market, and long standing support for card
payments. Also important is that these wallets support local EFT cards, which
Credit Cards further boosts their success.
Debit Cards ▸ This in-store success will increasingly translate into online adoption, with mer-
1% 12%
Card-linked Wallets 15% chants in Australia adopting one-click checkout buttons to a large extent.
1%
Non-card-linked Wallets 1%
DCB Selected Local Payment Methods - Australia
Cash & Equivalents
Payment Method Launched Type Comments
A2A Payments
BNPL 37% A2A Over 60,000 businesses offer
1997
Other 31% Payments BPAY for bill pay.
Broad, bank-backed network

A2A
2022 replacing direct debits and
Payments
other payments in Australia.
A2A Enables A2A-based split bill

2018
Payments and P2P functionality.
▸ We expect the card-linked wallets to launch additional services, such as built- A2A payments will rise from 10% of ecommerce transaction values in 2023, to
in BNPL, to capitalize on this strength. 20% in 2028, showing strong growth. BNPL will be very significant, growing
from 13% of value in 2023, to 20% in 2028.
Total commerce monthly active users – Australia
The presence of A2A methods, supported by a regulator looking to grow local
payment methods, means that Australia has the potential to see a significant
shift in payments going forwards, but cards will be difficult to dislodge given
50%
their long standing importance within the Australian market.
Ecommerce checkout value % - Australia
38%
13%
20%
10%
1%
1%
25% 20%
29% 1%
13% 29%
14%
9%
0%
32%
21%
Key Payments Data
Card payments are set to retain their leadership within the Australian market, 2023 2028
but local payment methods are growing in prominence, becoming closer to be-
ing a genuine alternative in what has been a long-term card-dominated market. Credit Cards Debit Cards Card-linked Wallets
Account to account payments will grow to reach 87% of Australian users be- Non-card-linked Wallets DCB Cash & Equivalents
tween 2023 and 2028, reflecting strong prospects for bank transfers within this A2A Payments BNPL Other
market, within specific use cases such as bill pay and P2P.
China Ecommerce checkout volume % - China
Key Market Statistics – 2023
Local Currency: CN¥– Chinese Yuan 2% 1%
1%
3%
2023
1.4B GDP/CAPITA
91%
BANKED
TOTAL
POPULATION $13,150 29%
1.2B
ADULTS +20%
BY 2028
37%
8%
18%
2%
1% 1% 2028
1%
4%
Credit Cards
Debit Cards
ECOMMERCE BY 2028
MARKET SIZE Non-card-linked Wallets 25%
$3T DCB
Cash & Equivalents
64% ECOMMERCE
MARKET SIZE
BNPL
Other
42% 6%
NON-CARD
LINKED
$1T 18%
MCOMMERCE
MARKET SIZE
$2T
Key Takeaways Key Payments Data
▸ Digital wallets, particularly non-card-linked wallets, will continue to dominate in Payments cards are anticipated to account for only 31% of online transactions
China, with combined card-linked wallets and non-card-linked wallets growing by volume in 2028, this is a major contrast compared to other countries, where
from 55% in 2023 to 61% in 2028. cards are anticipated to keep a majority share, alongside A2A becoming more
popular over time.
▸ There will be little change across payment types used, with DCB, cash, A2A
payments and BNPL all having a very small share in the proportion of transac- By 2028, non-card linked wallets will have reached saturation point in the Chi-
tion carried out. nese market, reflecting the success of WeChat Pay and Alipay.
Cards Still Have a Role to Play, But Non-Card-Linked Wallets will Total commerce monthly active users – China
Dominate
▸ Payment cards will continue to have the next greatest share of the market, Non-card Wallets Users DCB Users A2A Users BNPL Users
behind mobile wallets, however this share is slowly falling as other payment 90%
methods emerge.
▸ The proportion of ecommerce transactions carried out through card will drop
from 37% in 2023 to 31% in 2028, showing a fairly steady payment ecosystem
with limited movement away from the current payment landscape. 68%
▸ Even though card will still account for a large proportion of volume, it will only
represent a far smaller 13% of ecommerce value in 2023.
45%
Selected Local Payment Methods - China
Non-card- WeChat Pay has over 1.13 billion

2014
linked wallet active users as of 2023. 23%
Non-card- Alipay has over 300 million us-

2004
linked wallet ers residing outside of China.
The app allows for payments via 0%

Non-card-
2013 UnionPay cards or supporting
linked wallet
bank accounts.
Card-linked wallets and non-card linked wallets will continue to dominate pay- Consumer Sentiment Survey Insights
ment methods in China, with cards themselves contributing little value.
This consistent dominance of mobile wallets means that merchants will need to Key Survey Takeaways
update their superapp strategies, or risk losing out to players who are able to ▸ Mobile wallets dominate in terms of adoption, with 80% of respondents
offer a more connected experience. accessing a larger number of local payment methods within the last month
online than card payments. By way of contrast, only 20% used more card
Figure 9: Ecommerce checkout value % - China methods than local payment methods online in the last month.
1%
4% 1% ▸ WeChat is the most popular payment method, with 90% of respondents
1% 1%
2% 1% accessing it within the last month, this compares to other payment methods
2%
1%
such as international network credit cards and international network prepaid
cards that had 7% and 6% respectively.
▸ Willingness to consider changing payment methods is moderate across
64% China, with 66% of respondents indicating they would be open to changing
66% payment methods, with better tools, features and connected services being a
large driver.
Local Payment Methods Users

Payment Types & Their Use Cases
Users of predominantly local payment methods represented 80% (603) of the

18%
18% respondents, indicating a very heavily mobile dominated ecommerce market.
The most common payment method for these users was WeChat Pay, being
7%
5% selected by 81% of local payment method dominant respondents. This was
6% 3%
closely followed by Alipay, with 78% of mobile dominant respondents selecting
2023 2028 this as a payment method.
WeChat Pay was heavily preferred for physical goods purchases, whereas
Alipay was more preferred for bills payments, showing a difference already
emerging between what payments are used for what purposes.
Why Do Local Payment Users Leverage These Methods? This indicates that providers must invest in making
▸ Local payments users much prefer more secure methods, with a simple user payment methods as simple as possible, but also have
interface also being a key factor when it comes to choosing their preferred added services to incentivize new users.
payment methods.
Superapps will Remain Essential in China
LPMs used last 30 days % - China
The survey found that across both local payment users and card users better
WeChat Pay features, tools and connected services remain a top factor when deciding on
a payment method and influencing respondents to utilize a different payment
Alipay
service.
Douyin Pay
This is unsurprising, given the current most used payment methods, such as
UnionPay debit card
WeChat and Alipay, are super apps and are able to provide a multitude of fea-
UnionPay credit card tures, tools and connected services.
Mi-Pay
Purchases with Key Reasons Respondents Would Change Payments Services (%)
physical payment
Buy Now, Pay Later
Better features, tools or
Cash on Delivery connected services
UnionPay prepaid card Easier to fund the

payment method
Gift cards
Better user interface
Charge to mobile phone bill
International credit cards Access to a saving
account in-app
International prepaid cards
Broader acceptance
by merchants
International debit cards
Better offers or
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% rewards program
Access to loans/
credit in-app
More secure
Lower transaction
fees
Friends / family begin
using a new service
0% 5% 10% 15% 20% 25% 30% 35% 40%
Multiple Payment Methods Mean Broader Acceptance Indonesia
This means that merchants cannot simply implement one primary payment Key Market Statistics – 2023
method, they must build a checkout and payments process that enables users Local Currency: Rp - Indonesian Rupiah
to leverage the payment methods they want, without creating confusion for the
user. Ultimately, given the strength of local payment methods, this means focus-
ing on leveraging local payment methods, to best match user attitudes.
On average, respondents in China selected 3.7 payment 283M GDP/CAPITA
types each that they have used online in the last month.
TOTAL
POPULATION $4,639
207M
ADULTS
+21%
BY 2028
53%
BANKED
+147%
ECOMMERCE BY 2028
MARKET SIZE
$44B
CROSS-BORDER
69% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED
$2B
MCOMMERCE
MARKET SIZE
$9B
Key Takeaways
Ecommerce checkout volume % - Indonesia
Local Payments Dominating Indonesian Market
1% 1% ▸ The sentiment survey found that all of the top 5 payment methods being used
2023 in Indonesia are local payment methods, reflecting strong prospects for local,
non-card payments.
▸ Local payment methods were also found to be much more likely to be used at
least weekly, reflecting their heavy usage for everyday purchases.
22%
26% ▸ This is reflected in our forecast data, which predicts that by 2028, local
payment methods will account for over 83% of ecommerce transactions in
Indonesia by value, from 67% in 2023.
9% ▸ QRIS is boosting interoperability and leading to a more locally focused mar-

ket, making Indonesia a leader in local payment methods. GoPay is also being
upgraded with Tabungan, which by working with Bank Jogo will result in A2A
1%
capabilities.
22% 15%
Cards Still In Use for Larger Purchases, but Role Under Threat
▸ The sentiment survey found that card payments are still more likely to be used
2% 1% 2028 for higher value purchases, with the convenience of use being a major factor.
2% ▸ This is reflected in our forecast data, that shows by 2028, we still expect 10%
Credit Cards
of transactions by volume for ecommerce to be via credit cards, however this
Debit Cards 10%
is a significant fall from 22% in 2023.
Card-linked Wallets
7%
Non-card-linked Wallets Selected Local Payment Methods - Indonesia
DCB 4%
Cash & Equivalents Payment Method Launched Type Comments
A2A Payments
49% 13% A2A QRIS is a standardized QR
BNPL 2020
Payments system and bank-linked.
Other
GoPay is part of superapp
Non-card
2015 Gojek, and includes BNPL
13% linked wallet
1% features.
Non-card Ovo includes BNPL as a val-

2017
linked wallet ue-added service.
▸ The momentum and shifts toward local payments mean that a card-centric By 2028, 46% of Indonesia’s population will use A2A payments, from 19% in
acceptance model is no longer viable. 2023, reflecting the rapid growth of QRIS-based solutions and its important role
▸ Merchants must consider cards a fall-back method, rather than a method as the wider ecommerce market expands.
central to their acceptance strategies, and must prioritize accepting the most Indeed, given Indonesia’s banked population rate of 53% in 2023, this A2A pay-
popular local payment methods in order to future proof their strategies. This is ments penetration reflects an impressive achievement.
particularly important for international merchants seeking to enter the Indone-
Local payment methods will account for over 83% of ecommerce transactions
sian market, who may not be set up to process local payments.
in Indonesia by value in 2028, from 67% in 2023, demonstrating an impressive
Key Payments Data local payments shift in this market.
A2A payments will grow by 2028, primarily at the expense of cash payments,
Ecommerce checkout value % - Indonesia
reflecting a significant shift in the way payments are made in this market.
1% 1%
Total commerce monthly active users –Indonesia

33%
20%
57%
9%
15%
32% 5%
1%
1% 24%
10% 7%
15% 4%
6%
2%
5% 2023 2028

0%
The implementation of QRIS and the shift away from cards means that mer- ▸ Willingness to consider changing payment methods is very high across Indo-
chants must work to implement local payment methods, although the QRIS nesia, with 84% of respondents indicating they would be open to changing
standardization in place means that this is a simpler process than many other payment methods, with the QRIS standard making changing providers much
markets. easier than in other markets.
Consumer Sentiment Survey Insights Local Payment Methods Users
Key Survey Takeaways Payment Types & Their Use Cases
▸ Local payments are dominating in terms of adoption, with 93% of respon- Users of predominantly local payment methods represented 93% (701) of the re-
dents accessing a larger number of local payment methods within the last spondents in Indonesia, indicating a heavily mobile dominated ecommerce market.
month online than card payments.
▸ Local non-card-linked wallets are the top 4 most used payment methods LPMs used last 30 days % - Indonesia
online by our respondents, indicating the dominance that mobile payments
facilitated locally have within this market. DANA
ShopeePay
“
Gopay
OVO
Cash on Delivery
Virtual account or
bank direct debit
Indonesia’s consumers Buy Now, Pay Later
show clearly that different Online purchases completed
with physical offline payment
local payment methods International network
are favored for different debit cards
LinkAja
use cases. Boku is
International network
helping our merchants credit cards
understand that, and Gift cards
adapt to a rapidly Charge to mobile phone bill
changing ecosystem. International network
prepaid cards
– Dekka Rebaudo,
0% 10% 20% 30% 40% 50% 60% 70%
Business Development
Manager
The most common payment method for these users was DANA, being selected Local Payment Methods Leading Usage
by 67% of local payment method dominant respondents, followed by Shopee-
The study found that not only are local payment methods the most popular
Pay, GoPay and OVO. Cash on delivery rounded out the top 5.
to start with, but they are used also much more frequently, with GoPay, OVO,
DANA, ShopeePay, LinkAja and Cash on Delivery all being used by 70% of the
All of the top 5 payment methods are local ones, respondents at least weekly.
reflecting a heavy bias towards local
payment methods in this market. This heavy use further cements the importance of local
payments in Indonesia and invalidates any acceptance
Cash on delivery and GoPay were preferred for everyday purchases, whereas
strategy that does not feature them prominently.
BNPL and international network credit cards were preferred for larger purchas-
es. GoPay was the clear preference for ridesharing services and food delivery,
reflecting its linkage to a super app ecosystem. Weekly Usage Proportion % – Indonesia
This indicates that acceptance strategies are heavily use case and segment spe-
GoPay
cific within the Indonesian market, requiring a tailored local payments strategy.
OVO
Broader Acceptance From Merchants Leading Reason to Change Payment Ser-
DANA
vices
ShopeePay
48% of local payments users would be driven by broader acceptance by mer-
LinkAja
chants into using a different payment service.
Cash on Delivery
▸ This largely reflects the fact that Indonesia is a market where not one domi-
nant service has emerged, meaning that merchants face a very difficult time prepaid cards
in choosing which methods to accept and which to not. As such, merchants Virtual account or
bank direct debit
must stay close to the market and support a method as it gains popularity, as
International network debit cards
acceptance could lead to quick changes in user behavior.
Online purchases completed
with physical offline payment
credit cards
Gift cards
Other (please specify)
Buy Now, Pay Later
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
Japan Ecommerce checkout volume % - Japan
Local Currency: JP ¥ - Japanese Yen 1%
2023
7%
2% 8%
99% 125M GDP/CAPITA
BANKED TOTAL
110M
ADULTS
44%
+5%
BY 2028
17%
13%
6%
2% 3% 2028
Credit Cards
Debit Cards
14%
Card-linked Wallets
+47% 1%
ECOMMERCE BY 2028 Non-card-linked Wallets
MARKET SIZE
DCB 40%
$215B Cash & Equivalents
5%
A2A Payments
51% CROSS-BORDER
ECOMMERCE
BNPL
NON-CARD Other 18%
LINKED MARKET SIZE
$3B
13% 4%
MCOMMERCE
MARKET SIZE
$169B
Key Takeaways ▸ There was a fairly even split between card-dominant users (those who select-
ed more card and card-linked payment methods than local payment meth-
Card Payments to Remain Top in Japan ods) and local payment method users.
▸ The sentiment survey found that the top two payment methods were PayPay
and international network credit cards, being chosen by 39% and 64% of all Total commerce monthly active users –Japan
respondents respectively.
▸ There is some scope to influence what payment method a consumer will 32%
use, with just over half (54%) of users considering using a different payment
method.
▸ The top two drivers for using alternative payment methods were lower trans-
action fees and better offers, this was the same for both local payment user 24%
and card users.
Local Payment Methods to Account for 38% of Transaction Value by

2028
16%
▸ The majority of local payment methods will be made up through non-card
linked wallets, accounting for 17% of local ecommerce transaction value in
2023.
▸ BNPL is anticipated to have the greatest growth out of all local payment meth- 8%
ods, increasing from 16.8 million users in 2023 to 30.7 million users in 2028,
this is a growth rate of 83% over the forecast period.
Selected Local Payment Methods - Japan

0%
Card-linked
60 million users as of 2023. Key Payments Data
2018 and non-card
No 1 market share in JP
linked wallet Cards will remain to be an important payment method within the Japanese mar-
50 million users as of 2023 ket, accounting for 49% of online transactions by volume in 2023 falling to 45%
Card-linked
2016 and non-card of ecommerce transactions by volume in 2028.
Rakuten has 138M Rakuten ID
linked wallet (membership) By 2028, 34% of Japan’s ecommerce value will be through local payment meth-
ods, from 23% in 2023, reflecting the continued importance on non-card-linked
Non-card Over 12 million users are regis-
2017 wallets across the region.
linked wallet tered with MerPay
Ecommerce checkout value % - Japan
Consumer Sentiment Survey Insights
4% 2% Key Survey Takeaways
2% 2%
8%
16% ▸ International network credit cards and PayPay were the top two payment
1%
4% methods, followed by D Brai and online purchases completed with physical
1%
10% 5% offline payments. Showing that there are a variety of payment methods uti-
lized across the country.
11%
11%
▸ Lower transaction fees, better offers or rewards program and easier to fund
4% 11% the payment methods are the greatest key drivers when it comes to choosing
4% another payment service.
▸ Willingness to consider change is moderate, with 53% of respondents across
Japan stating that they would consider using a different payment method.
57% Local Payment Methods Users
49%

respondents, indicating a fairly evenly split ecommerce market, between local
2023 2028 payments and card.
The most common payment method for these users was PayPay, being se-
Credit Cards Debit Cards Card-linked Wallets lected by 69% of local payment method dominant respondents. This was by
Non-card-linked Wallets DCB Cash & Equivalents far the most popular method, with international network credit cards being the
A2A Payments BNPL Other next most popular with 40% of mobile dominant respondents selecting this as a
payment method.
PayPay was heavily preferred for physical goods or everyday essentials and high
Cards account for a large amount of ecommerce value, with cards accounting
value purchases, with mobile phone top ups also being a common purchase
for 61% of ecommerce transaction value in 2023 and wallets accounting for 21%
when it comes to international network credit cards.
in the same year, demonstrating there is opportunity for both local and card
payments.
There is little movement in the payment method splits, with the value for credit
cards remaining as the most prominent payment method when it comes to
ecommerce value in 2028 and A2A payments experience the greatest growth.
Why Do Local Payment Users Leverage These Methods?
LPMs used last 30 days %- Japan
▸ Local payments users use their chosen payment method due to the relation-
ship they have with the brand. They also prefer more secure methods, and PayPay
methods that provide them with the ability to earn rewards or cashback. International credit cards
D (Docomo) Brai
▸ Secure methods was the number one driver when it came to card users, with
Rakuten Pay
personal relationship with the brand being the second most important factor
AuPay
to these respondents.
Purchases with physical payment
As such, partnering with local payment methods to feature in rewards ecosys- Charge to mobile phone bill
tems and marketplaces could be an effective strategy to drive growth when it Buy Now, Pay Later
comes to local payment users. Konbini
MerPay
LINE Pay
“
Gift cards
Cash on Delivery
Amazon Pay
Google Pay
Apple Pay
Japanese consumers
Pay Easy online banking
continue to rely on
0% 10% 20% 30% 40% 50% 60% 70%
a mix of local and
international payment
Personal Relationship with the Brand is the Key Factor when Choosing a Payment
types. They will
Method
change method if
The survey found that local payment method users are more likely to chose a
they feel they can
payment method if they have a personal relationship with the brand, followed by
earn rewards, but the ability to earn rewards and cashback. In general having a simple interface
security and brand and more secure methods were also in the top key factors when considering
loyalty remains choosing payment methods.
strong. It is therefore important for merchants to build relationships with their users in
– Yoda, SVP APAC order to maintain their current user base, as well as incentivize new users.
Key Reasons Respondents Would Change Payments Services (%) Malaysia
Personal relationship
with the brand
Local Currency: MYR - Malaysian Ringgit
I prefer more secure methods
I like a simple
user interface
Ability to earn/rewards 34M GDP/CAPITA
and/or cashback
I can only use the methods
90%
TOTAL
POPULATION $12,553
BANKED
that I have access to
I am limited by what 25M

ADULTS
+15%
the website/app accepts BY 2028
My friends and family

use certain services
Ability to spread costs
over a longer period
0% 5% 10% 15% 20% 25% 30% 35%
Over Half of Respondents Use More than One Payment Type
63% of users stated using multiple payment types. The main reason for this
is that there are different services that are offered for different payment types. +139%
ECOMMERCE
Another major factor was the fact that different rewards are offered through BY 2028
MARKET SIZE
different services.
There is little influence on what family and friends use when someone is choos-
$11B
ing payment methods and having multiple payment methods.
CROSS-BORDER
Due to the varying payment methods across Japan, with there being a mixture ECOMMERCE
MARKET SIZE
of users of both card payment and local payment, there is potential to leverage 73% $3B
both payment methods, they must build a checkout and payments process that NON-CARD
LINKED
enables users to leverage a number of payment methods, so that the one they
MCOMMERCE
use is available. MARKET SIZE
$6B
Key Takeaways
Ecommerce checkout volume % - Malaysia
Local Payment Methods Dominating Ecommerce Market
2023 ▸ The sentiment survey found that the top six payment methods used online
were all local payment methods, comprising Touch ‘n Go, ShopeePay, FPX,
M2U, GrabPay, Boost, and Cash on Delivery, reflecting strong prospects for
11%
local payments in this market.
▸ Touch ’n Go and other local payment methods were also indicated as being
35% used much more frequently than card-based ones, showing that local pay-
15%
ment methods are the go-to method for everyday transactions.
▸ This is borne out in our forecast data, which shows local payments are ac-
1% counting for over 72% of ecommerce transactions in Malaysia by value in 2028.
16% ▸ As such, adopting a local payments-focused strategy is a must for merchants

in Malaysia, and must be prioritized for merchant success.
16%
FPX Powering A2A Payments Growth
4%
1% 2028 ▸ FPX, a local method of making payments using online banking credentials, is
achieving success within Malaysia, supported by an above average banking
penetration rate of almost 90% in 2023. FPX will be replaced by DuitNow
Credit Cards
Online in 2026.
Debit Cards
11%
Card-linked Wallets
Selected Local Payment Methods - Malaysia
Non-card-linked Wallets
DCB 13% Payment Method Launched Type Comments
Cash & Equivalents
Non-card This has evolved from a transit
A2A Payments 48% 3% 1997
linked wallet RFID card to a full wallet service.
BNPL
Other 12% Non-card GrabPay is the payment service
2012
linked wallet of Grab, a leading super app.
10% A2A DuitNow is a fast growing

2019
Payments A2A payments system.
2%
▸ Surging popularity of FPX will drive A2A payments usage to 80% of Malaysia’s
population by 2028. By 2028, A2A payments will reach 80% of Malaysia’s
▸ Ensuring acceptance of FPX, as this will have the most widespread accessibili-
population, showing remarkable growth.
ty, is vitally important to merchants in getting their long term strategies correct.
Local payment methods will account for over 72% of ecommerce transactions in
Key Payments Data Malaysia by value in 2028, demonstrating the primacy of non-card options in the
By 2028, A2A payments, driven by FPX, will take increasingly dominant role in Malaysian market.
ecommerce transactions, accounting for 49% of volume.
Ecommerce checkout value % - Malaysia
Total commerce monthly active users – Malaysia 1% 1%

70%
42%
58%
53% 6%
1%
21% 2%
1%
12%
35% 1%
11% 4%
11%
16%
10%
18%
2023 2028

0% Non-card-linked Wallets DCB Cash & Equivalents
This means that local payments will be the primary engines of growth within
Malaysia, meaning that merchants must prioritize A2A and other local payment
methods to drive their success going forwards.

Key Survey Takeaways
▸ Local payments are dominating in terms of adoption, with 85% of respon-
Malaysian respondents, indicating a heavily local payment method dominated
dents accessing a larger number of local payment methods within the last
ecommerce market.
month online than card payments.
The top six payment methods selected were all local payment methods, indi-
▸ The top six payment methods selected by users were all local payment cating how dominated Malaysia is by local payment methods, even without the
methods, indicating how dominated Malaysia is by local payment methods. growth expected over the next five years.
▸ Touch ’n Go has the highest adoption of any local payment type, at 78% The most common payment method for these users was Touch ’n Go,
of local payments users, but is typically used for smaller payments. being selected by 78% of local payment method dominant respondents.
▸ Security is a big issue in this market for users, being the most important ShopeePay followed at 64%, with FPX at 56%.
driver for choosing what service to use. The survey found that M2U, Boost and FPX were used disproportionately for bill
payments, with all methods being used commonly for everyday purchases, and
GrabPay being used disproportionately for ridesharing and food delivery ser-
“
vices. This makes sense, given that GrabPay is owned by the Grab super app,
which is dominant in ride hailing and food delivery.
This indicates that while Touch ’n Go is preferred overall, chosen payment meth-
ods are very dependent on which activity is being undertaken.
Local Payment Methods are Most Frequently Used Online Payments
Feeling secure when Touch ’n Go, M2U and GrabPay were all used at least weekly by over 75% of
paying is important for users, reflecting the importance of these methods for everyday lives.
Malaysian consumers, In contrast, BNPL, gift cards and charges to mobile phone bills were used least
and this is perhaps frequently, reflecting their more niche natures.
reflected in the fact that Credit Cards & BNPL Leading Average Value, but M2U & FPX Close Behind
non-card wallets and
The survey found that over 50% of users make an average payment of over
A2A already account RM150 via credit cards and BNPL, much higher than the around 15% for
for 50% of the market. Touch ’n Go and cash on delivery. M2U and FPX also had higher average val-
– Cheryline Fong, ues, with over 40% of users hitting an average of over RM150.
VP, Business Development
▸ This reflects differences in terms of use cases – credit cards are still being Security Main Driver for Choosing Payment Type
used for larger purchases, but BNPL is also addressing that use case.
The survey found that security concerns were the main driver for Malaysians
▸ M2U and FPX are also hitting this criteria well, increasingly addressing larger choosing which payment service to use, at 69% of respondents. Users only
payments. being able to use what they have access to was second, at just under 50% of
▸ In contrast, other local payment methods are used much more for every day respondents. By way of contrast, the ability to spread costs was a much lower
payments, rather than larger one off purchases. priority, at only 15% of respondents.
LPMs used last 30 days % - Malaysia Key Reasons Respondents Would Use to Choose Payment Service, (% of
Respondents who Selected Each Reason)
Touch 'n Go
ShopeePay
I prefer more secure methods
FPX
M2U I can only use the methods
GrabPay that I have access to
Cash on Delivery Ability to earn/rewards

International network debit cards and/or cashback
Buy Now, Pay Later
I like a simple user interface
Boost
Online purchases completed
w/physical payment I am limited by what the
International network credit cards website/app accepts
Personal relationship
Google Pay with the brand
International network prepaid cards
My friends and family
Apple Pay use certain services
Gift cards
Samsung Pay Ability to spread costs over a
longer period
0% 10% 20% 30% 40% 50% 60% 70% 80% Other (please specify)
0% 20% 40% 60% 80%
Philippines Ecommerce checkout volume % - Philippines
Local Currency: ₱ – Philippine Peso 1% 2% 2023
114M GDP/CAPITA 23%

TOTAL
POPULATION $13,934
34%
79M
ADULTS
+21%
BY 2028 7%
57%
BANKED 2%
4%
10%
18%
2% 1% 2028
5%
Credit Cards
5%
Debit Cards
5%
Card-linked Wallets
+130% Non-card-linked Wallets
ECOMMERCE BY 2028
MARKET SIZE DCB
21B Cash & Equivalents

A2A Payments
12%
CROSS-BORDER BNPL 51%

ECOMMERCE Other 8%
69% MARKET SIZE
NON-CARD
LINKED $2B 10%
MCOMMERCE
MARKET SIZE
$6B
2024 Payment Methods
72 - 2024 Global & Trends – AReport
Ecommerce Boku &–Juniper
Boku & Research Study - 72
Juniper Research 2024 Global Ecommerce Report – Boku & Juniper Research - 73
Key Takeaways ▸ The relatively low rate of banking penetration within the Philippines and a large
informal economy locally is sustaining cash use in the short term.
Non-card-linked Wallets & A2A Payments to Have Unrivaled Reach
▸ However, over a longer period, we expect rising mobile penetration and great-
▸ The sentiment survey found that almost 97% of local payments users use er financial inclusion to accelerate the shift towards digital payment, driving
GCash for online purchases at least once a month. wider ecommerce growth.
▸ Given the ability to link accounts to banks within the Philippines, this means
Key Payments Data
that we will see greater use of both non-card linked wallets and A2A pay-
ments within this market. QR Ph will mean greater use of A2A payments in Local payment methods are long established within the Philippines mar-
particular. ket, with non-card linked wallets being common, such as GCash and Maya,
among many others.
▸ As such, we expect digital wallets to be a major part of the Philippines
payments market going forward, with strategies from merchants needing to The linkage of bank accounts directly to wallets within the Philippines is com-
match this. mon, with A2A payments expected to see a significant boost by 2028.
Cash on Delivery Still Common for Ecommerce Total commerce monthly active users – Philippines
▸ While cash is outmoded as a payment type within ecommerce in many mar-
kets, cash on delivery is still important within the Philippines, with 57% of local Non-card Wallets Users DCB Users A2A Users BNPL Users
payments users using this method at least once a month. 60%
▸ This is backed up in our forecast data, which shows that as of 2023, over
18% of ecommerce transactions within the country by volume were via cash.
45%
Selected Local Payment Methods - Philippines
GCash offers investments and 30%

Non-card
2004 cryptoassets as well as pay-
linked Wallet
ments.
Non-card Maya offers banking services as

2000
linked Wallet well as wallet functions.
15%
A2A This standard was mandated for

QR-Ph 2021
Payments full adoption by July 2023.
0%
By 2028, 70% of the Philippines’ population will use local
payment methods, reflecting strong adoption. Key Survey Takeaways
▸ Local payments are dominating in terms of adoption, with almost 90% of
Local payment methods will account for over 66% of ecommerce transactions respondents accessing a larger number of local payment methods within the
in the Philippines by value in 2028, from 40% in 2023, showing that cards are last month online than card payments.
quickly losing ground. ▸ GCash has the highest adoption of any local payment type, at 97% of local
The continued dominance of local payment methods in the Philippines means payments users, but being used less frequently than other methods for high
that only accepting cards is not the correct way to access the market, with local value purchases.
preferences needing to be catered to. ▸ Loyalty to a particular method is low in the Philippines, creating a potentially
volatile payments market.
Ecommerce checkout value % - Philippines
1% 1%
1% 2%
28% Users of predominantly local payment methods represented 90% (672) of the
38% respondents in the Philippines, indicating a heavily local payment method domi-
nated ecommerce market.
14%
2% 5% The top six payment methods selected were all local
3%
10% payment methods, indicating how dominated the
1%
Philippines is by local payment methods.
8% 23%
The most common payment method for these users was GCash, being select-
7% ed by 97% of local payment method dominant respondents. This was by far
36% 5% the most popular method, with cash on delivery being the next most popular at
57%, and Maya at 28%.
16%
2023 2028

Cash on delivery was used very heavily by respondents for everyday purchases, This indicates that while GCash is preferred overall,
to a larger degree than any other payment method. BNPL was used for higher there is still a lot of variation under this, indicating an
value purchases alongside credit cards, with Maya and GCash being a lot less
important need to understand the market in-depth to
popular for higher value purchases. Online banking payments were used by over
assess payment strategies.
72% of their users for bill payments, the highest of any method.
LPMs used last 30 days % -- Philippines Key drivers for changing payment method - Philippines
Gcash
Lower transaction fees
Cash on Delivery
Easier funding options
Maya Better features
and tools
Online banking payments
More secure
Purchases completed
with physical offline payment Better offers
or rewards program
Buy Now, Pay Later
GrabPay
Broader acceptance
credit cards Access to a saving
account in-app
debit cards Access to loans/
credit in-app
Friends / family
Gift cards
0% 20% 40% 60%
prepaid cards
Touch 'n Go
0% 20% 40% 60% 80% 100%
What Determines Which Payment Service is Used?
▸ Security was identified as the number one factor for choosing a payment
Singapore
service, at 56% of respondents.
Local Currency: $ SGD– Singapore Dollar
▸ A simple user interface was also a high priority, being selected by 52% of
respondents.
▸ In contrast, both limited by acceptance and I like to spread costs scored
poorly, at 20% or under of respondents. This indicates that there is plenty
of choice in this market and merchants already pursue broad acceptance 97% 6M GDP/CAPITA
strategies. BANKED
TOTAL
POPULATION $72,560
78% of Users Would Consider Changing Payment Services
5.6M
ADULTS +14%
BY 2028
The study found that 78% of local payments users would consider changing
what services they use to make payments.
As such, merchants must stay on top of changes in the market to account for
shifts in popularity, or risk being caught on with an out-of-date strategy.
+281%
ECOMMERCE BY 2028
MARKET SIZE
$8B
52% CROSS-BORDER
ECOMMERCE
NON-CARD MARKET SIZE
LINKED
$3B
MCOMMERCE
MARKET SIZE
$5B
Key Takeaways
Ecommerce checkout volume % - Singapore
PayNow Driving A2A Success
2023 ▸ The success of the PayNow scheme is driving the growth of A2A payments
across Singapore, with A2A payments set to account for just under 33% of all
ecommerce transactions in country in 2028 by value.
▸ PayNow is also very well connected internationally, being linked to PromptPay
24% in Thailand, UPI in India and DuitNow in Malaysia.
39% ▸ We anticipate that PayNow and PayNow QR will become default options with-
in Singapore, driving growth in the market for digital payments.
1% Strong Fintech Support & Regulator Involvement Means Rapid Pace of
10% Progress
▸ Supporting Singapore’s rapid transformation in payments terms is its regula-
tors, such as the MAS (Monetary Authority of Singapore), who have created
16% 9% regulatory sandboxes and been forward thinking in supporting the growth of
digital payments and fintech.
2028 ▸ Singapore also has one of the highest levels of banking access in the world,
with banking penetration running at over 97% in 2023. As such, bank-linked
Credit Cards A2A payment systems are very well suited to the market, and can gain signif-
Debit Cards icant scale.
Card-linked Wallets
Non-card-linked Wallets 29% 30% Selected Local Payment Methods - Singapore
DCB Payment Method Launched Type Comments
Cash & Equivalents
A2A Payments PayNow is linked to other
A2A
2017 schemes for easy cross-border
BNPL Payments
transactions.
Other
9%
Non-card GrabPay is the payment service
22% 2012
9% linked Wallet of Grab, a leading super app..
Non-card ShopeePay integrates vouchers

2015
linked Wallet and loyalty.
Key Payments Data
Ecommerce checkout value % - Singapore
A2A payments are becoming much more prominent within the Singaporean mar-
3% 3%
ket, with PayNow proving to be a major real-time payments success story. A2A
payments are expected to account for 29% of ecommerce transactions volumes 17%
in Singapore by 2028, from 24% in 2023, representing very strong progress. 33%
1%
4%
Total commerce monthly active users – Singapore
2%
80% 17%
11% 23%
60%
10%
29%
12%
40%
2023 2028

The growing popularity of local payment methods, supported by the active role
0%
of MAS means that we envision an increasingly powerful transition. This means
domestic merchants must move away from card-centric acceptance strategies,
and international merchants looking at market entry should follow local payment
By 2028, A2A payments will have reached saturation within Singapore’s popu-
focused models.
lation, reflecting massive adoption over the next few years, supported by high
rates of banking penetration.
Singapore by value in 2028, from 24% in 2023, demonstrating a rapid transition
from cards for ecommerce usage, supported by PayNow deployments.
South Korea Ecommerce checkout volume % - South Korea
Local Currency: KRW – South Korean won
1% 2023
3%
8%
99% 53M GDP/CAPITA

BANKED TOTAL
46M
ADULTS
50%
+10%
BY 2028 13%
14%
1%
2028
Credit Cards
Debit Cards
1% 15%
Card-linked Wallets
MARKET SIZE DCB
43%
36% A2A Payments

BNPL
11%
NON-CARD CROSS-BORDER
LINKED ECOMMERCE Other
MARKET SIZE
$55B 14%
11%
MCOMMERCE
MARKET SIZE
$101B
Cards are anticipated to lose share of ecommerce volume between 2023 and
Local Wallets to be Most Common Payment Type
2028, going from 64% in 2023 to 54% in 2028. This is in contrast to card linked
▸ The sentiment survey found that the top three payment methods were Naver wallets which are set to grow from 13% in 2023 to 14% in 2028.
Pay, locally-issued credit cards, Kakao Pay and Toss Pay. Indicating that mo-
bile wallets play a large role in the South Korean payments ecosystem.
By 2028, 36% of ecommerce transaction value will come
▸ South Koreans are less likely to change payment method type than other from local payments, up from 25% in 2023, reflecting the
nations, with only 46% (347) of respondents stating that they would consider
growing adoption of local payment methods.
using a different payment method.
▸ The top two drivers for changing their payment methods were better offers
and lower transaction fees. Total commerce monthly active users – South Korea
Local Payment Methods to Account for a Smaller Proportion of On- Non-card Wallets Users DCB Users A2A Users BNPL Users
line Value than in Other Countries Across the Region 30%
▸ Local payment methods only account for 25% of online value at present, with
non-card-linked wallets making up the majority of this proportion (14%). This
local payment proportion is anticipated to grow to 36% in 2028.
23%
▸ The majority of local payment methods will be made up through non-card
linked wallets, with them accounting for 14% of ecommerce transaction value
in 2023.
▸ BNPL is anticipated to have the greatest growth out of all local payment meth-
15%
ods, increasing from 8.8 million users in 2023 to 17.3 million users in 2028,
this is a growth rate of 97% over the forecast period.
Selected Local Payment Methods - South Korea

8%
Non-card- Naver Pay has 38 million users

2015
linked wallet (2023).
0%
Non-card-
2014 Around 39.4 million users (2023)
linked wallet
Non-card- Over 9.5 million registered users

2020
linked wallet (2023)
Both BNPL and A2A payments will experience great growth in the proportion Consumer Sentiment Survey Insights
of population using them growing 91% and 39% respectively between 2023
and 2028. Key Survey Takeaways
▸ There is a fairly even split between local payments users and card users, with
Ecommerce checkout value % - South Korea neither group having a greater dominance of the market than the other, show-
1% 2% ing that the payments landscape is fairly even in regards to usage, however,
8%
1%
the type of wallets that are used are split across local payment users, showing
16%
2% less loyalty towards one specific wallet.
14% 1%
3% ▸ Willingness to consider changing payment methods is lower in South Korea
15% than it is in other countries across the region, with local payments users being
11% more likely to change their payment method than card users.
12% 13% Local Payment Methods Users
10% Payment Types & Their Use Cases

respondents, indicating a fairly evenly split ecommerce market, between local
50% payment users and card.
41%
The most common payment method for these users was NaverPay, being
selected by 76% of local payment method dominant respondents. This was by
far the most popular method, with Kakao Pay being the next most popular with
62% of mobile dominant respondents selecting this as a payment method.
2023 2028
Due to the card usage in South Korea locally-issued credit cards also make up
Credit Cards Debit Cards Card-linked Wallets a large proportion of payment methods used, with 30% of local payment users
using locally-issued credit cards.
A2A Payments BNPL Other This indicates that while local payment methods are split by mobile wallet, with
no specific one being drastically more popular than another, the majority of card
users stick to locally-issued credit cards.
The greatest change in ecommerce payment value will be seen in credit cards,
as these are anticipated to fall from 50% in 2023 to 41% in 2028. This is due
to local payment methods, such as BNPL and non-card-linked wallets gaining
further interest.
LPMs used last 30 days % - South Korea
▸ Kakao pay and Naver Pay are predominantly used for physical goods pur-
chases of everyday essentials. Other common purchases for local payments Naver Pay
users are food delivery through Naver Pay and Toss Pay. Locally-issued credit card
▸ Mobile phone top ups are carried out the majority of the time through local- Kakao Pay
ly-issued credit cards for both card users and local payment users. Toss Pay
Samsung Pay
Payments via bank account
International credit cards
“
Locally-issued
debit/check card
PAYCO
Cash on Delivery
Locally-issued prepaid card
Apple Pay
South Korea’s payment International debit cards
landscape is rapidly Gift cards
evolving and mobile International prepaid cards
wallets are dominating Buy Now, Pay Later
the market. As consumer 0% 10% 20% 30% 40% 50% 60% 70%
preferences shift,
embracing local payment
methods and strategically Rewards and Cash back is a Major Driver in South Korea
offering incentives, like One striking feature of the survey is the massive amount of different payment
rewards and cashback, types that users selected. Over 80% of respondents selected multiple differ-
will be crucial for ent payment methods, with the outstanding reason for this being that different
merchants navigating this rewards are offered for different payment methods.
dynamic market.
– JJ Jung, VP,
Key Reasons Respondents Would Change Payments Services (%) Taiwan
Better offers or Local Currency: New Taiwan dollar NT$
rewards program
Lower transaction fees
Better features, tools

or connected services
95% 24M GDP/CAPITA

Broader acceptance
by merchants BANKED
TOTAL
POPULATION $34,138
Better user interface 21M
ADULTS +4%
More secure BY 2028
Easier to fund the

payment method
Access to a saving
account in-app
Access to loans/
credit in-app
using a new service
I can pay in instalments
with this method
0% 5% 10% 15% 20%
+49%
ECOMMERCE BY 2028
MARKET SIZE
As is clear from responses the ability to earn rewards and cashback is a very
large driver for respondents across South Korea. $128B
Considering the importance of cashback and rewards in South Korea, payment
36%
NON-CARD
CROSS-BORDER
providers should consider introducing incentivize such as rewards in order to LINKED
ECOMMERCE
increase their user base. MARKET SIZE
$55B
MCOMMERCE
MARKET SIZE
$101B
Key Takeaways
Ecommerce checkout volume % - Taiwan
Local Payment Methods Top in Taiwan
2023 ▸ The sentiment survey found that the top two payment methods were LINE
Pay and Easy Card, demonstrating that local payment methods are highly
10%
important within the market, with a large proportion of the sample stating that
26% they had used these methods online in the past month.
▸ A large 82% of overall respondents would be willing to use a different pay-
20% ment method.
▸ The top two drivers for alternative payment methods were better offers or
rewards programs and broader acceptance by merchants.
7%
Over a Third of the Population to use Local Payment Methods by 2028
15% 10% ▸ By 2028, 50% of the ecommerce transaction volume will be made using local
payment methods, with non-card-linked wallets and A2A being the top two
12%
local payment methods of choice.
2028 ▸ BNPL is anticipated to have the greatest growth out of all local payment meth-
1%
ods, increasing from around 800,000 users in 2023 to 2.2 million users in
4%
Credit Cards
2028, representing a growth rate of 189% over the forecast period.
Debit Cards ▸ Rewards are a large driving factor when it comes to people in Taiwan choos-
22%
Card-linked Wallets ing which payment methods they are likely to use, especially when they have
Non-card-linked Wallets more than one payment method to choose from.
DCB
Cash & Equivalents Selected Local Payment Methods - Taiwan
37% 6%
A2A Payments
BNPL
Other 10% Non-card- Over 7 million users in Taiwan
2014
linked wallet in 2021.
12% Non-card- Fast growing wallet which now

7% 2022
linked wallet has over 4 million users.
1% Non-card- Over 6 million users in Taiwan

2016
linked wallet in 2023.
Key Payments Data
By 2028, 50% of online transaction value will be
Cards will remain to be an important payment method within the Taiwanese
market, accounting for 33% of online transactions by volume in 2023, only falling
carried out through local payment methods, with A2A
to 28% of online transaction by volume in 2028. payments accounting for 32% of transaction values.
The main shift over the forecast period will be a strong increase in A2A pay-
ments, going from 15% of value in 2023 to 32% in 2028, reflecting strong pros- Ecommerce checkout value % - Taiwan
pects for A2A growth. 3%
7%
1%
1%
Total commerce monthly active users – Taiwan
15%
32%
40% 9%
1%
14% 4% 1%
15%
9%
30%
5%
10%
5%
20% 39%
28%
2023 2028
10%

0%
LPMs used last 30 days % - Taiwan
LINE Pay
▸ Card payments are dominating in terms of adoption, with 54% of respondents
accessing a larger number of card payment methods than local payment EasyCard/EasyPay
methods within the last month online than card payments. By way of contrast, Jkopay
only 19% used more local payment methods than card payment methods Cash on Delivery
online in the last month. International credit cards
▸ Security within the payment methods used was a key factor when it came to Purchases w/physical payment
choosing which payment method is used online in Taiwan, with 50% (378) of Buy Now, Pay Later
respondents selecting this as a reason, especially for card users. Local pay- Charge to mobile phone bill
ment method users preferred the ability to earn rewards and cashback.
Gift cards
▸ Cash on delivery is still a large payment method across Taiwan with 52% (387) Locally-issued
debit/check card
of respondents stating that they have used cash on delivery when making a International debit cards
purchase online in the last month.
Google Pay
Local Payment Methods Users International prepaid cards
Apple Pay
Locally-issued credit card
Samsung Pay
respondents, indicating that Taiwan is a more card dominant market.
The most common payment method for local payment users was LINE Pay,
0% 10% 20% 30% 40% 50% 60% 70% 80%
with this being chosen by 74% of the local payment users. LINE Pay was
also the most dominant payment method overall, being selected by 50% of
all respondents. When It comes to local payment users who use more than one payment meth-
This shows that LINE Pay is a very strong payment method in Taiwan, with it od, the main reason for this was that different rewards are offered by different
having great dominance over the local payments users in the market. payment providers.
This indicates that rewards are highly important for Better Acceptance is Needed by Merchants in Taiwan
local payment users so reward schemes should be The survey found that the ability to earn rewards and cashback was a large
considered by merchants when it comes to incentivizing influencing factor when it came to local payment methods users choosing which
users of certain payment types. method to use online.
Key Reasons Respondents Would Change Payments Services (%)

▸ Local payments users prefer methods that offer rewards and cashback, fol- Better offers or
rewards program
lowed by methods that are more secure.
Broader acceptance
by merchants
▸ Personal relationship with the brand was not important for respondents in Tai-
Better features, tools
wan, with only 27% (204) select it as a key factor when considering choosing or connected services
which payment method to use online. Lower transaction fees
Easier to fund the

payment method
“
More secure
Access to a saving
account in-app
Access to loans/credit in-app
Consumers in Taiwan Friends / family begin

using a new service
report frustration at the I can pay in instalments
limted payment choices with this method
sometimes available to Other (please specify)

them. Our work with 0% 5% 10% 15% 20% 25% 30% 35% 40% 45%
merchants has shown
that offering a range of
local options is crucial As such, partnering with local payment methods to
feature in rewards ecosystems and marketplaces could
– Tiffany Lee, Senior
Business Development be an effective strategy to drive growth.
Director
The second most important factor when considering changing payment meth-
ods was if the payment method would be more broadly accepted by merchants.
Thailand
This therefore reflects an acceptance issue in Taiwan, where only certain pay- Key Market Statistics – 2023
ment methods are accepted by merchants. Local Currency: THB – Thai Baht
Superapps Growing in Importance in Taiwan
One feature of the survey is the growing importance in the ability to access bet-
ter features, tools and connected services. This was in the top three responses
for both card users and local payment users. 97% 70M GDP/CAPITA
The survey shows that the respondents are interested in accessing superapps,
BANKED
TOTAL
POPULATION $7,723
including the additional features, tools and connected services they provide. 59M
ADULTS +16%
This means that merchants should consider improving the services they are BY 2028
able to offer with their mobile wallets to incorporate other connected services,
which will interest more potential users when they are looking for alternative pay-
ment options.
+160%
ECOMMERCE BY 2028
MARKET SIZE
$16B
CROSS-BORDER
60% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED
$2B
MCOMMERCE
MARKET SIZE
$6B
Key Takeaways
Ecommerce checkout volume % - Thailand
Local Payments Growing, Driven by Broad Accessibility
1% 1%
2023 ▸ Local payments are being driven ahead, by increasingly levels of accessibility
across multiple methods. In particular, by 2028, A2A payments, driven by
PromptPay, will have reached the vast majority of applicable users, driving
ecommerce growth forward.
25% ▸ The proportion of ecommerce transaction value being facilitated by local pay-
ment methods will reach 82% by 2028, from 69% in 2023.
32%
▸ As such, we expect Thai merchants to focus on PromptPay acceptance,
given its wide usage by the population and broad accessibility.
16% Cash on Delivery Still Popular, Revealing Security Perception Issues

▸ The survey revealed that cash on delivery is still popular within the Thai mar-
11%
11% ket, with 58% of users having used it as a method in the past month. This is
backed up by our forecast data, which shows over 10% of transactions by
volume in 2023 still occurring via cash.
1% 3% 1%
2028
▸ However, it is noteworthy that cash on delivery also scored well on the percep-
3%
tion of security it provides, to a greater degree than any mobile-based or bank-
Credit Cards
based method. As such, it is clear that there is a reluctance from Thai users to
Debit Cards
wholeheartedly move to mobile-based methods for security concerns.
Card-linked Wallets
12%
Selected Local Payment Methods - Thailand
DCB
12%
A2A Payments PromptPay supports cross-bor-
3% A2A
BNPL 2016 der payments with a number of
54% Payments
Other 9% schemes.
Non-card
2003 21.7 million active users (2024)
linked Wallet
5%
2% Non-card This service is particularly

2015
linked Wallet popular within transit.
▸ Accordingly, we expect mobile payment providers in Thailand to focus on in-
creasing the level of security they provide, in order to foster faster user growth. By 2028, A2A payments will have reached
the vast majority of applicable users, driving
Key Payments Data
ecommerce growth forward.
A2A payments are becoming a significant force within the Thai payments mar-
ket with PromptPay accelerating A2A payments adoption at a rapid rate.
Ecommerce checkout value % - Thailand
Local payment methods will account for over 81% of ecommerce transactions
2% 3%
in Thailand by value in 2028, from 69% in 2023, showing rapid growth fueled by
A2A payments.
Total commerce monthly active users –Thailand

48%
100%
7%
1%
75% 19% 2%
1%
3% 15%
8%
6%
50% 13% 5%
6%
2023 2028
25% Credit Cards Debit Cards Card-linked Wallets

0%
LPMs used last 30 days % - Thailand
TrueMoney
▸ Local payments are dominating in terms of adoption, with 86% of respon-
Cash on Delivery
dents accessing a larger number of local payment methods within the last
month online than card payments. Payments via bank account
ShopeePay
▸ TrueMoney has the highest adoption of any local payment type, at 83% of
local payments users, but is not used as widely as other methods, such as PromptPay
BNPL, for larger purchases. GrabPay

LINE Pay
▸ Security is a big issue in this market for users, being the most important driver
for choosing what service to use, as well as being a main driver for cash on International credit cards
delivery’s enduring usage Google Pay
Thai QR
Gift cards
Purchases w/physical payment
Users of predominantly local payment methods represented 86% (648) of the Thai Buy Now, Pay Later
respondents, indicating a heavily local payment method dominated ecommerce Locally-issued debit/check card
market, to a greater extent than other markets, such as Brazil, Japan and India. International prepaid cards
The top five payment methods selected were all local payment methods. Charge to mobile phone bill
The most common payment method for these users was TrueMoney, with cash mPay
on delivery being the next most popular at 58%, and payments via bank ac- Samsung Pay
count at 56%. International debit cards
Cash on delivery was used most commonly of all of the methods for everyday 0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
goods purchases. In contrast, credit cards and BNPL were used much more
commonly for higher value payments, as were payments from bank accounts. While TrueMoney is the most popular method, it is not being used that broadly
TrueMoney was much more popular for bill payments, alongside payments via in higher value purchases. This indicates the potential for development of more
bank account and PromptPay. BNPL services by TrueMoney to change this, but is an important consideration
for luxury merchants when deciding on their acceptance strategies.
Key Reasons Respondents Would Use to Choose Payment Service, (% of
There are a few different drivers as to why users leverage particular services: Respondents who Selected Each Reason)
▸ PromptPay and ThaiQR scored highly for broad acceptance, which gives
these methods a platform for future growth.
I prefer more
▸ mPay, while a more niche offering in terms of usage, scored the highest for secure methods
being a trusted brand, indicating that this is a major positive factor for its suc-
Ability to earn/rewards
cess in future. and/or cashback
▸ Cash on delivery scored highest for the perception of security, indicating
some reluctance in Thailand to shift to more digital methods in a comprehen- I can only use the methods
that I have access to
sive way.
Security Main Driver for Choosing Payment Type I like a simple

user interface
The survey found that security concerns were the main driver for Thai respon-
dents choosing which payment service to use, at 60% of respondents. The My friends and family
ability to earn cashback and rewards was also important, at 48%. By way of use certain services
contrast, the ability to spread costs was a much lower priority, with only 20% of
respondents selecting this as an answer. Personal relationship
with the brand
I am limited by what the

website/app accepts
Ability to spread costs

0% 20% 40% 60% 80%
As such, we expect local payment vendors to focus on enhancing the percep-

tion of security within their services, which merchants must keep track of, to
ensure that these improvements do not complicate their checkout processes.
Vietnam Ecommerce checkout volume % - Vietnam
Local Currency: ₫ VND – Vietnamese Dong 1%
2023
101M GDP/CAPITA 25%

TOTAL
76M
ADULTS +31%
BY 2028
9%
48%
BANKED 9%
15%
5%
1% 1% 2028
2%
Credit Cards
Debit Cards
18%
Card-linked Wallets
+67%
MARKET SIZE
DCB
43%
7%
A2A Payments
CROSS-BORDER BNPL
67% ECOMMERCE
MARKET SIZE
Other 13%
NON-CARD
LINKED $2B 4%
MCOMMERCE 9%
MARKET SIZE
$3B 2%
Key Takeaways MoMo Leading Usage, with Security a Leading Concern for Users
▸ The survey found that the most common payment method for local payments
Local Payment Methods Gaining Traction Rapidly
users was MoMo, being selected by 77% of local payment method dominant
▸ Vietnam is a very strong market for local payment methods, with the propor- respondents. MoMo also had the highest proportion of users leveraging it at
tion of ecommerce transaction value via these methods expected to reach least once a week, showing its popularity.
47% by 2028, from 29% in 2023.
▸ MoMo was preferred heavily for bill payment and everyday payments use
▸ A2A payments will be a major part of this, driven by A2A schemes such as VN- cases, while not being leveraged extensively for higher value purchases.
PAY QR, which are driving standardization. This standardization will drive A2A
▸ The survey also found that the perception of security and the ability to earn
payments to account for 43% of ecommerce transactions by volume in 2028.
rewards were the two most important drivers for users to consider changing
▸ We expect merchants to focus on local payment methods for their accep- payment services in the Vietnamese market.
tance strategies in accordance with this, meaning that international merchants
in particular must partner effectively with vendors that have access to this Total commerce monthly active users – Vietnam
highly localized payments market.
40%
Selected Local Payment Methods - Vietnam
Non-card MoMo has widespread accep- 30%

2007
linked Wallet tance within Vietnam.
Non-card
25 million users, with 49 banks
2007 linked Wallet
and 5 telcos linked. 20%
/ A2A
A2A VNPAY QR standardizes QR

2021
Payments payments to aid transformation.
10%
0%
Key Payments Data
Ecommerce checkout value % - Vietnam
Vietnam will have one of the most popular A2A payment systems within Asia Pa-
1% 1%
cific, with its QR standardization bearing fruit, in a market attempting to rapidly 1% 1%
digitize its payment methods.

26%
Local payment methods will account for over 46% of ecommerce transactions 38%
in Vietnam by value in 2028, from 29% in 2023, demonstrating a rapid acceler-
ation of A2A payments in particularly, as regulators target digital transformation
and reduced cash use. 16%
1%
By 2028, over 80% of Vietnam’s population will have access to A2A payments, 2% 10%
showing remarkable progress with a comparatively low banking penetration. 7%
1%
24%
8% 30%
“
21%
6%
6%
2023 2028

International credit cards Non-card-linked Wallets DCB Cash & Equivalents
are going to become even A2A Payments BNPL Other
more niche in Vietnam, with
local payments accounting
for nearly 50% of spend by The rapid growth of local payment methods in Vietnam, in particular A2A
payments supported by QR payments, is impressive and will reshape the local
2028. Digital transformation
payments market. As such, merchants wishing to succeed in the Vietnamese
and SuperApps are
market must keep pace with this rapid rate of change.
reducing the role of cash.
– Ha Le Thu,
Director
LPMs used last 30 days % - Vietnam
MoMo
▸ Local payments are dominating in terms of adoption, with almost 85% of
respondents accessing a larger number of local payment methods within the
ZaloPay
last month online than card payments. By way of contrast, only 4% used more
card methods than local payment methods online in the last month, reflecting ShopeePay
that outright dominance of local payment methods in Vietnam. Cash on Delivery

ViettelPay
▸ MoMo has the highest adoption of any local payment type, at 77% of local
payments users, and is also used the most frequently of any payment meth- Locally-issued debit/check card
od, as well as being rated as very important for bill payments in particular. Purchases with physical payment
▸ The security perceived for each method was identified as a major driver of
user behavior, as was cashback. VietQR & VNPay QR
GrabPay by Moca
Local Payment Methods Users Buy Now, Pay Later
Payment Types & Their Use Cases International credit cards
Vietnamese respondents, indicating a heavily local payment method dominated Gift cards
ecommerce market. Google Pay

The top six payment methods selected were all local 0% 10% 20% 30% 40% 50% 60% 70% 80%
payment methods, indicating how dominated the
Vietnamese market is by local payment methods. Cash on delivery and ShopeePay are used more frequently for every day pur-
chases, with online purchases completed with payments in person and pay-
The most common payment method for these users was MoMo, being selected ments via a bank account are much more common for higher value purchases.
by 77% of local payment method dominant respondents. This was by far the MoMo was the clear favored method for bill payments, with GrabPay by Moca
most popular method, with payments via bank account being the next most leading for ridesharing and food delivery.
popular at 61%, and ZaloPay at 59%.
Why Do Local Payment Users Choose Certain Payment Methods?
As with other markets, each segment has
There are a few different reasons as to why users would choose to use a partic-
its own payment preferences, meaning merchants
ular payments service:
must assess their area carefully before
▸ A preference for more secure methods was the most important factor, at 61%
determining their acceptance strategy.
of respondents choosing this.
▸ The ability to earn cashback was seen as a major driver also, selected by
Frequency of Use of Each Method, Proportion 48% of the respondents, and selected at a much higher rate than other mar-
Selecting At Least Weekly (%) kets within Asia Pacific.
▸ I am limited by what the website/app accepts and the ability to spread costs
MoMo
over a longer period were both much less popular, at 25% of respondents
GrabPay by Moca
or under, reflecting that acceptance and credit are not key drivers for user
behavior in this market.
ShopeePay
Cash on Delivery MoMo Represents Most Frequently Used Payment Type
Purchases with physical… The survey found that MoMo, GrabPay by Moca, payments via bank account
ZaloPay and ShopeePay were the most frequently used payment methods by their us-
ViettelPay ers, with between 85% and 78% of their users using them at least once a week.
VietQR & VNPay QR By contrast, gift cards, BNPL, and debit cards were used much less frequently,
International prepaid cards indicating a market when card payments are heading for a more niche role.
Locally-issued debit/check card
Google Pay
Buy Now, Pay Later
Gift cards
0% 20% 40% 60% 80% 100%
U.S. & Canada
U.S. &
Canada
96% 375M GDP/CAPITA
BANKED
TOTAL
POPULATION $69,344
305M
ADULTS +6%
BY 2028
+43%
ECOMMERCE BY 2028
MARKET SIZE
1.6TB
U.S. & 58%

CROSS-BORDER
ECOMMERCE
Canada
NON-CARD MARKET SIZE
LINKED
$336B
MCOMMERCE
MARKET SIZE
$839B
124 - 2024 Global eCommerce Report – Boku & Juniper Research 2024 Global eCommerce Report – Boku & Juniper Research - 125
Ecommerce checkout volume % - U.S. & Canada
Key Takeaways
Card to Continue to Lose Share in Ecommerce
▸ Credit and debit cards are forecast to lose share at ecommerce checkout,
3% 1%
2023 dropping from 42% of transaction volume in 2023, to 29% of transaction
volume in 2028.
2% 10% Consumers Require More Payment Method Options

17%
3%
▸ A2A and BNPL options will be the main winners, gaining at the expenses of
cards. The latter set to exceed 10% share as more consumers turn to paying in
installments as a result of the increasing economic challenges in North America.
7%
▸ Merchants need to be offering A2A and BNPL payment options at checkout
to ensure they are in-step with changing consumer preferences.
26%
What This Means for Merchants

33%
The U.S. and Canda are heavily developed markets in regards to ecommerce,
with the majority of consumers having access to bank accounts. One of the
1%
2028 greatest concerns for ecommerce consumers across North America is the abili-
ty to checkout seamlessly, as well as having access to pay in installments hence
the great growth in regards to lower friction payment methods such as BNPL,
Credit Cards 6% 9% A2A payments and non-card-linked wallets.
Debit Cards
Card-linked Wallets
16%
DCB 20%
1%
Cash & Equivalents
3%
A2A Payments
BNPL 8%
Other
37%
Key Data
Total commerce monthly active users – U.S. & Canada
The overall share of ecommerce payment methods in North America in 2028 will
be shifting towards, card-linked wallets and A2A payments, which are antici- Non-card Wallets Users DCB Users A2A Users BNPL Users
pated to gain a significant share, as card usage shrinks, due to the ease and 22%
convenience they provide to consumers.
17%
11%
“
6%
Traditionally North
0%
America has been
dominated by cards,
but we see consumers Across North America local payment methods will continue to gain traction.
looking for less friction A2A payments will grow from 9% of the population using it in 2023 to 35% in
2028, a growth of 255% across the five-year period. BNPL will also experience
in payment journeys.
some growth in the proportion of the population utilising it, from 17% in 2023 to
Our outlook is for a 30% in 2028.
shift towards wallets
and A2A payments
in 2028.
-Raphik Ouahsine,
Senior Business
Development Director
Ecommerce checkout value % - U.S. & Canada United States
8% 10%
9%
Local Currency: US$ – US Dollar
1% 15%
1%
7%
2%
8%
96% 336M GDP/CAPITA

30%
BANKED
TOTAL
POPULATION $71,178
35% 272M
ADULTS +6%
BY 2028
18%
15%
25%
14%
2023 2028

+43%
ECOMMERCE BY 2028
MARKET SIZE
$1T
CROSS-BORDER
58% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED
$307B
MCOMMERCE
MARKET SIZE
$776B
Key Takeaways
Ecommerce checkout volume % - U.S.
Cash and Card to Lose Prominence to Digital Wallets
3% 1% ▸ Card share is anticipated to fall in regards to both ecommerce transaction vol-
2023 ume and transaction value across the five year period, with card-linked wallets
becoming the most utilized payment method in 2028, with credit and debit
1% cards only accounting for 29% of all ecommerce transaction volume in 2028.
10% 15%
3%
▸ Cash is also anticipated to fall from being used in 1% of ecommerce transac-
tions in 2023 to 1% of ecommerce transactions in 2028.
8% A2A Growing in Interest Across the US

▸ A2A will be the local payment method to experience the greatest growth over
27% the forecast period, due to the simplicity it is able to provide. It will account for
16% of ecommerce transactions by volume in 2028, from 10% in 2023.
33% ▸ A2A payments within the US will be boosted by the FedNow service, which
was launched by the US Federal Reserve in July 2023. This complements the
existing RTP service in the US, with both services playing a role going for-
1%
2028 ward.
▸ Both card linked wallets and non-card linked wallets will continue to grow in
regards to the proportion of ecommerce transactions carried out using them,
Credit Cards 6% 8%
with the proportion of ecommerce values associated with card-linked wallets
Debit Cards
growing from 30% in 2023, to 35% in 2028.
Card-linked Wallets
16%
21% Selected Local Payment Methods - U.S.
DCB 1%
Cash & Equivalents 3% Payment Method Launched Type Comments
A2A Payments
BNPL Non-card- PayPal also operates Venmo, a
8% 2000
Other linked wallet popular P2P app.
Over 5 million active users

37% 2014 BNPL
within the US.
Cash App is operated by

A2A
2013 Square, a major payments
Payments
company.
Key Payments Data A2A is anticipated to gain momentum over the forecast period, accounting for
16% of ecommerce transaction volume in 2028, up from 10% in 2023.
Card payments are set to slowly lose the dominance they once had over the US
market, albeit losing much of this ground to card-linked digital wallets. Over the
Ecommerce checkout value % - U.S.
forecast period, cards are anticipated to fall from being directly used in 42% of
ecommerce transactions in 2023 to 29% of ecommerce transactions in 2028. 8% 11%
This is due to other payment methods, that provide more ease during the trans-
9%
action process, becoming available, such as digital wallets and A2A payments. 1%
1%
15%
7%
Total commerce monthly active users – U.S. 2%
8%
30%
22%
35%
19%
17%
16%
24%
13%
11%
2023 2028

0% The rapid growth of local payments, in particular A2A, means that merchants
will need to update their acceptance strategies, or risk losing out to more agile
players.
A2A is anticipated to experience the greatest growth in the number of users
between 2023 and 2028, growing from 6% of the population using it in 2023 to
31% of the population using it in 2028, representing rapid growth.
Canada Ecommerce checkout volume % - Canada
3% 1%
Local Currency: CA$ – Canadian Dollar 2023
99% 39M GDP/CAPITA 2%

14%
$53,756
BANKED TOTAL
POPULATION 2% 34%
32M
ADULTS
2%
+3%
BY 2028
30%
13%
1%
2028
5%
Credit Cards
Debit Cards
Card-linked Wallets 25%
+46% 19%
MARKET SIZE
DCB
$85B Cash & Equivalents 1%
A2A Payments 2%
53% CROSS-BORDER
ECOMMERCE
BNPL 3% 10%
NON-CARD Other
LINKED MARKET SIZE
$28B 35%
MCOMMERCE
MARKET SIZE
$62B
▸ Canada is a card dominant payments markets and cards share of ecommerce Payment cards in Canada will continue to fall in popularity, with their ecommerce
is forecast to stay relatively high, being used for 35% of ecommerce transac- share falling from 47% in 2023 to 35% in 2028.
tions by volume in 2028.
▸ Card-linked wallets will also grow from 30% share of ecommerce transactions By 2028, 63% of the population will be actively
by volume in 2023, to 35% in 2028 using A2A payments, up from 52% in 2023.
▸ A2A payments are also anticipated to gain a greater market share, with 19%
of ecommerce transaction volume in 2028.
Total commerce monthly active users – Canada
A2A Payments to Be Most Prominent Local Payment Method in Canada
▸ A2A payments are anticipated to go from being used in 14% of ecommerce 60%
transactions in 2023, to 19% of ecommerce transactions in 2028.
▸ Credit and debit cards will still be used for just over 36% of ecommerce trans-
actions by value in 2028.
45%
Selected Local Payment Methods - Canada
Payment Method Launch Type Comments
Non-card
2000 431 million users worldwide. 30%
linked wallet
A2A Interac Online is backed by the

2007
Payments local banks.
Afterpay is a popular BNPL 15%

2014 BNPL
option within Canada.
0%
A2A payments will continue to gain traction throughout the period as it becomes
more readily accepted at ecommerce checkout
Latin
Ecommerce checkout value % - Canada
7% 9%
America
12%
1% 18%
1%
2% 1%
1%
3%
27%
33%
9%
7%
39%
29%
2023 2028

Cards will overall still continue to account for the largest share in regards to
ecommerce value, alongside card-linked wallets, however A2A payments are
continuing to grow over the forecast period, accounting for a larger proportion
of the ecommerce value in 2028.
140
314 - 2024 Global eCommerce
Ecommerce Report – Boku & Juniper Research 2024Global
2024 GlobalEcommerce
EcommerceReport
Report––Boku
Boku&&Juniper
JuniperResearch 141
Research --315
Latin America Ecommerce checkout volume % - LATAM

1%
2023
6%
671M GDP/CAPITA
20%
TOTAL
73% 507M
ADULTS +5%
BANKED BY 2028
6% 19%
2%
20% 6%
2% 3%
2028
8%
Credit Cards
Debit Cards
+167% Card-linked Wallets 16%
ECOMMERCE BY 2028
$267B DCB
Cash & Equivalents 44% 6%
61% ECOMMERCE
MARKET SIZE
BNPL
NON-CARD
Other
LINKED
$139B 17%
MCOMMERCE
MARKET SIZE
$11B 3% 1%
Key Takeaways Cards to Lose Early Dominance Within Ecommerce as Alternatives
Emerge
A2A Payments Driving Change in LATAM
▸ Cards, in particular credit cards, will lose much of their early dominance within
▸ A2A payments will grow rapidly, from 20% of ecommerce transaction value the LATAM market, with their share of transaction volume being reduced from
in 2023, to 44% in 2028, showing remarkable progress in the Latin Ameri- 39% in 2023 to only 24% in 2028. Alternatives, such as A2A and BNPL are
can market. making inroads.
▸ The growth of A2A payments will be driving wider access to ecommerce ▸ BNPL has a major role to play within Latin America, where access to credit
within the Latin American market, allowing economies to reduce their early has been hampered by a lack of credit reporting, and ‘thin files’, where a
reliance on card payments. credit record is held but not enough information is held to create a credit
▸ Pix is the obvious early success story, but CoDi in Mexico, as well as PSE in decision. BNPL will tackle this challenge, enabling under banked end users to
Colombia are also major successes. access credit..
▸ BNPL is forecast to grow to 5% of ecommerce transaction value in 2028.

Fundamentally, Latin America is a market in motion – ecommerce payment
methods are changing rapidly, which means merchants must alter their accep-
tance strategies, or they will fail to take advantage of ecommerce growth. This
“
must apply to both local merchants, but also international merchants, who will
lose market share if they fail to support the local payment methods users want.
Local payment methods are

delivering financial inclusion
and massive ecommerce
growth in LATAM. The
success of Pix in Brazil is
already leading to similar
moves across the region.
-Ricardo Amaral,
VP Americas
144 - 2024 Global Ecommerce Report – Boku & Juniper Research 2024 Payment
2024 Global Methods & Trends
Ecommerce Report– –ABoku
Boku&&Juniper
JuniperResearch 145 - 145
Research -Study
Key Data Across Latin America, A2A payments will grow from 20% of ecommerce trans-
action value in 2023, to 44% in 2028, driving wider access to payments and
Card payments are set to lose significant ground across Latin America, as the ecommerce.
early stage market lessens its reliance on cards for ecommerce payments. This
change will be driven by A2A and other local payment methods, which will en- Ecommerce checkout value % -LATAM
able new users to access ecommerce, driving overall market growth.
2% 5% 1%
3%
By 2028, almost 60% of all individuals within Latin America will actively use local
payment methods, reflecting the massive growth of these methods within this 20%
region. A2A payments will have the largest local payment method user base.
2%
1% 44%
Total commerce monthly active users – LATAM 15%

1%
40% 1%
15% 13%
8%
30% 15%
35%
11%
20% 2023 2028

10% A2A Payments BNPL Other
0%
Argentina Ecommerce checkout volume % - Argentina
Local Currency: $ ARS – Argentine Peso 1%
2023
5% 8%
47M GDP/CAPITA
18%
TOTAL
78%
BANKED 35M +4%
ADULTS BY 2028
7%
6%
1%
37%
1%
2028
4%
Credit Cards
Debit Cards
17%
Card-linked Wallets
ECOMMERCE BY 2028
MARKET SIZE DCB
3%
A2A Payments
BNPL 54%
CROSS-BORDER 15%
Other
ECOMMERCE
MARKET SIZE
73% $6B
NON-CARD 4%
LINKED
MCOMMERCE
MARKET SIZE
$11B
Key Takeaways ▸ Card will still account for a large proportion of volume, particularly debit cards,
as banking penetration increases, and is a sensible method to keep as a fall-
Bank Transfers to Rapidly Grow, as Local Payment Methods Grow back, but for merchants that want to attract larger average order values, local
▸ Within the Argentinian market, bank transfers will be an important method for payment methods are a must.
use locally, with A2A payments accounts for 43% of ecommerce transaction
Key Payments Data
value in the country by 2028.
Card payments are set to lose significant ground within ecommerce within Ar-
▸ Bank transfers are perceived as reliable within the Argentinian market, but are
gentina, as the early stage market grows with the help of A2A methods and oth-
not accessible to all.
er local payment methods, including bank transfers and non-card-linked wallets.
▸ As the rate of banking penetration is relatively low within Argentina, we expect
non-card linked wallet, such as those using physical locations for top ups, Total commerce monthly active users – Argentina
as well as cash and cash equivalents (such as vouchers) to continue to be
important, and to be increasingly linked to A2A methods as accessibility Non-card Wallets Users DCB Users A2A Users BNPL Users
broadens. 40%
Cards Still Have a Role to Play, But Role is Shrinking
▸ Payments cards have been important to start with in the Argentinian ecom-
merce payments market, reflecting a strong enabler for ecommerce growth,
30%
particularly where international websites are being used.
▸ However, their significance, particularly for larger purchases, is waning over
time, with cards set to account for only 26% of transactions by value in ecom-
merce in 2028, from a more dominant 47% in 2023.
20%
Selected Local Payment Methods - Argentina

10%
Non-card Offers a wide range of accep-
2003
linked Wallet tance tools and credit products
Cash & Over 8,000 branches through-

1996
equivalents out Argentina
0%
Cash &
1994 Pago Fácil has 3,600 locations
equivalents
Account to account payments users will grow by 114% between 2023 and
2028, reflecting strong prospects for bank transfers within this market.
Brazil
A2A payments will grow from 14% of ecommerce transaction value in 2023, to
43% in 2028, showing remarkable progress in the Argentinian market. Local Currency: R$ - Brazilian Real
Ecommerce checkout value % - Argentina

2% 5% 1%
217M
4%
GDP/CAPITA
14%
91%
BANKED
TOTAL
POPULATION $7,745
172M
3%
1%
43%
ADULTS +5%
BY 2028
23%
3%
6% 1%
18% 16%
6%
29% 20%
6%
2023 2028 +166%
ECOMMERCE BY 2028
MARKET SIZE
$128B
A2A Payments BNPL Other CROSS-BORDER
ECOMMERCE
72% MARKET SIZE
The rapid growth of local payments, in particular A2A and BNPL, means that NON-CARD
LINKED
$25B
merchants will need to update their acceptance strategies, or risk losing out to
MCOMMERCE
more agile players. MARKET SIZE
$61B
Ecommerce checkout volume % - Brazil
Key Takeaways
PIX is a Must Have for Acceptance, with Adoption & Satisfaction High
2% 2023 ▸ The sentiment survey found that PIX was the most popular payment type in
the ecommerce environment among local payment users, chosen by over
7% 72% of those users; showing that in a relatively short time period, PIX has
11%
become an absolute must have for ecommerce merchants.
▸ Reinforcing this importance is the high level of end-user satisfaction with PIX,
with it being selected top of all the payment methods in terms of user satis-
17%
faction.
▸ The respondents also expressed strong interest in migrating to the PIX auto-
38% matic debit service, again reflecting strong prospects for PIX.
8%
▸ As such, PIX must be considered as ‘table stakes’ for ecommerce merchants
in Brazil, being the single most important acceptance strategy.
12%
Card Is Being Eclipsed by Local Payments
▸ A clear finding from the survey and from market data is that card’s early role
2% 1% 2028 in ecommerce within Brazil is waning, with card’s share of transaction volume
3% 2% online falling from 27% in 2023, to 10% in 2028.
Credit Cards 4%
▸ Card-dominant users (those who selected more card and card-linked payment
Debit Cards 10% methods) than local payment methods only accounted for 16% of our respon-
Card-linked Wallets dents in a representative sample, showing that this is a small user group.
DCB Selected Local Payment Methods - Brazil
Cash & Equivalents
7%
A2A Payments Payment Method Launched Type Comments
BNPL
2% Represents all of A2A in
Other 2020 A2A
2% Brazil going forward.
62%
Mercado Pago supports Pix
Non-card
2004 payments and other capa-
linked Wallet
bilities.
Non-card PicPay is a widely accepted

2012
linked Wallet non-card linked wallet.
▸ Over 70% of card users would consider changing their existing payment Key Payments Data
methods, showing weak loyalty which can further erode card’s share.
While payments cards were initially important within the Brazilian market, due to
▸ Merchants must consider cards a fall-back method, rather than a method a lack of access to other methods, local payment methods are forecast to grow
central to their acceptance strategies, and must prioritize accepting the most rapidly, with Pix having a transformative effect on the market.
popular local payment methods.
By 2028, 82% of Brazil’s population will use
Volume of PIX Transactions, January 2022 – November 2023, Millions
local payment methods, from 69% in 2023, reflecting
4,500 the rapid growth of PIX in particular, with PIX driving
A2A payments growth.
4,000
Total commerce monthly active users –Brazil

3,500
70%
3,000
2,500
53%
2,000
1,500
35%
1,000
500
18%
Source: Banco Central Do Brasil
0
Oct 2022
Oct 2023
Apr 2022
Apr 2023
Jun 2022
Jul 2022
Jun 2023
Jul 2023
Jan 2022
Jan 2023
Mar 2022
Mar 2023
Aug 2022
Sep 2022
Nov 2022
Dec 2022
Aug 2023
Sep 2023
Nov 2023
May 2022
May 2023
Feb 2022
Feb 2023
0%
Local payment methods will account for over 77% of ecommerce transactions in Consumer Sentiment Survey Insights
Brazil by value in 2028, demonstrating a rapid transition from cards for ecom-
merce usage, as the market broadens. Key Survey Takeaways
The rapid growth of local payment methods in Brazil, in particular A2A pay- ▸ Local payments are dominating in terms of adoption, with 58% of respon-
ments, means that merchants must restructure their acceptance strategies, or dents accessing a larger number of local payment methods within the last
they will be unable to meet end-user requirements in an effective way. month online than card payments. By way of contrast, only 16% used more
card methods than local payment methods online in the last month.
Ecommerce checkout value % - Brazil ▸ PIX has the highest adoption of any local payment type, and the highest sat-
4% 1% 6% isfaction of any payment type, showing how quickly it has cemented its role
within Brazil.
▸ Willingness to consider changing payment methods is very high across Brazil,
32%
with 78% of respondents indicating they would be open to changing payment
methods, with lowering transaction fees seen as a major driver for this, with
security and better acceptance also seen as priorities.
“
1%
1% 65%
9%
7%
11%
1%
6%
Consumer adoption of
33% 9%
Pix has been incredibly
7%
rapid, with new features
5%
and planned solutions
2023 2028
powering consumer
Credit Cards Debit Cards Card-linked Wallets satisfaction. But it is far
Non-card-linked Wallets DCB Cash & Equivalents from the only payment
A2A Payments BNPL Other method in the hands of
Brazilian consumers.
– Cezar Rios,
SR Business Development
Manager in Brazil
Local Payment Methods Users PIX was heavily preferred for bill payments, whereas card users were much
more likely to make purchases on international websites, showing a difference
already emerging between what payments are used for what purposes.
Users of predominantly local payment methods represented 58% (436) of the This indicates that while local payment methods are used extensively domesti-
respondents, indicating a heavily mobile dominated ecommerce market. cally, international merchants are missing an opportunity by not leveraging local
The most common payment method for these users was PIX, being selected by payment methods, potentially leaving revenue on the table.
72% of local payment method dominant respondents. This was by far the most
popular method, with Mercado Pago being the next most popular with 44% of
mobile dominant respondents selecting this as a payment method. ▸ Based on the survey data, the most powerful drivers for local payments
users are security, personal relationships with brands, and the ability to earn
LPMs used last 30 days % - Brazil rewards or cashback.
▸ The ability to earn rewards or cashback was not a top driver for card users in
PIX the same way, indicating that rewards are a powerful driver for local payments
Mercado Pago users in particular.
PicPay
Key Reasons Respondents Would Change Payments Services (%)
Digital account debit cards Payment type discounts
by merchants
Boleto Bancário
More secure
Broader acceptance
Cash on Delivery by merchants
National network Better features, tools
credit cards or connected services
Nupay
Buy Now, Pay Later
Better offers or
Google Pay rewards program
Easier to fund the
Gift cards payment method
Charge to mobile phone bill Access to a saving
account in-app
Samsung Pay Access to loans/
credit in-app
Apple Pay
I can pay in instalments
0% 10% 20% 30% 40% 50% 60% 70% 80% with this method
using a new service
0% 10% 20% 30% 40% 50% 60% 70% 80%
As such, partnering with local payment methods to feature in rewards ecosys-
tems and marketplaces could be an effective strategy to drive growth.
Colombia
The Potential for PIX & Automatic Debits
Local Currency: COL$ – Colombian Peso
60% of local payments users would be willing to use PIX Automatico, showing
strong prospects for the method for recurring payments.
This will largely be due to the fact that local payments users are largely already
comfortable with PIX, and use it on a regular basis for one-off purchases. As 53M GDP/CAPITA
such, merchants who bill on a recurring basis, particularly digital goods subscrip-
TOTAL
POPULATION $6,599
tion companies, must work now to integrate this method to capitalize on this.
41M
ADULTS +7%
Payment Discounts Represent Main Driver for Changing Payments
The survey found that payment discounts from merchants were a major driver
65%
BANKED
BY 2028
for respondents to consider changing services, with over 70% of respondents

selecting this reason.
This is unsurprising, given the incentives we have seen for the use of Pix, which
has been a powerful driver for adoption. Security and broader acceptance from
merchants were also understandably key drivers for changes.
Multiple Payment Methods Mean Broader Acceptance
One striking feature of the survey is the massive amount of different payment
types that users selected.
+250%
ECOMMERCE BY 2028
MARKET SIZE
On average, Brazilian respondents selected 4.7 payment
types each that they have used online in the last month. $14B
This means that merchants cannot simply implement one primary payment CROSS-BORDER
ECOMMERCE
method, they must build a checkout and payments process that enables users 63% MARKET SIZE
to leverage the payment methods they want, without creating confusion for the
user. Ultimately, given the strength of local payment methods, this means focus-
NON-CARD
LINKED $6B
ing on leveraging local payment methods, to best match user attitudes. MCOMMERCE
MARKET SIZE
$7B
Key Takeaways
Ecommerce checkout volume % - Colombia
Local Payment Methods Driving Ecommerce Market Growth
1% 2%
2023 ▸ The sentiment survey found that the top three payment methods used online
were all local payment methods, comprising Nequi, PSE and Daviplata, re-
flecting strong prospects for local payments in this market.
13% ▸ Nequi was particularly strong, with almost 84% of local payments users lever-
aging this method.
33% ▸ Cards are losing share as a result of local payments growth, with cards’ share
of ecommerce transaction value falling from 47% in 2023 to 22% in 2028.
24%
▸ As such, adopting a local payments-focused strategy is a must for merchants
in Colombia, and must be prioritized for merchant success.
Security the Overwhelming Driver for Choosing Payment Method
14% 4% ▸ Security was the biggest driver for choosing a payment method with 56% of
8% all respondents selecting this reason.
1% 1% 2028 ▸ This means that ensuring that a secure end-to-end process is in place for
1% transactions is a vital requirement.
Credit Cards 6% ▸ A personal relationship with the payments brand was the second most select-
Debit Cards ed driver, reflecting a market where choosing payment types is about more
Card-linked Wallets than utility, and more about perception and trust.
▸ Accessing the right payment methods, that users feel an affinity with and have
DCB
trust in will mean adopting a local payments focused approach.
Cash & Equivalents
A2A Payments
3% Selected Local Payment Methods - Colombia
BNPL
60% 4%
Other Payment Method Launched Type Comments
6% 1% Non-card Nequi was the most popular
2016
linked wallet method surveyed.
PSE is heavily favored for bill

2005 A2A
payments.
Non-card Daviplata has evolved since

2011
linked Wallet launch.
Key Payments Data Local payment methods will account for 66% of ecommerce transactions in
Colombia by value in 2028, demonstrating a rapid transition away from cards for
While banked penetration is lower in Colombia than Brazil, this market follows
ecommerce usage.
many of the same trends which are impacting upon Latin America, with cards
being important earlier on in ecommerce payments, but losing their importance This means that local payments will be the engines of growth within Colombia,
over time as local payment methods emerge. rather than cards, meaning that merchants must prioritize A2A and other local
payment methods to drive their success going forwards.
By 2028, A2A payments have more users than non-card linked wallets and
BNPL, reflecting PSE’s strong growth.
Ecommerce checkout value % - Colombia
Total commerce monthly active users – Colombia 1% 1%
2% 2%
26%
58%
8%
1%
8%
20%
5%
15%
6%
1%
5%
13%
5%
32%
19%
7% 3%
2023 2028

Key Survey Takeaways Payment Types & Their Use Cases
▸ Local payments are dominating in terms of adoption, with 75% of respon- Users of predominantly local payment methods represented 75% (560) of the
dents accessing a larger number of local payment methods within the last Colombian respondents, indicating a heavily local payment method dominat-
month online than card payments. By way of contrast, only 6% used more ed ecommerce market, to a greater extent than other markets, such as Brazil,
card methods than local payment methods online in the last month, reflecting Japan and India.
that outright dominance of local payment methods.
LPMs used last 30 days % - Colombia
▸ Nequi has the highest adoption of any local payment type, at 84% of local
payments users, but has a challenge with acceptance compared to other
Nequi
methods, showing that merchants must prioritize broadening their strategies.
PSE
▸ Security is a big issue in this market for users, being the most important driver
Daviplata
for choosing what service to use.
Cash on Delivery
Efecty
“
Botón de Pago Bancolombia
Mercado Pago
Google Pay
Éxito
Credit cards will be less
Gift cards
than 5% of spend by 2028,
showing just how local
Other voucher payments
payment methods dominate
Buy Now, Pay Later
the market. Merchants must
Apple Pay
watch consumer adoption Samsung Pay
to make sure they offer the
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
right options.
– Lilliana Fernandez,
Manager
The top three payment methods selected were all local payment methods, indi- Nequi Most Frequently Used Online Payment
cating how dominated Colombia is by local payment methods. Cash on delivery, Daviplata and Botón de Pago Bancolombia made up the re-
The most common payment method for these users was Nequi, being select- mainder of the top 4 most frequently used methods, showing that local payment
ed by 84% of local payment method dominant respondents. This was by far methods are leading the usage within the Colombian market, making them
the most popular method, with PSE being the next most popular at 52%, and essential for merchants.
Daviplata at 36%.
Security Main Driver for Choosing Payment Type
PSE, a bank transfer system, was heavily preferred for bill payments, at over
The survey found that security concerns were the main driver for Colombians
66% of PSE users paying bills via this method. In contrast, Nequi, international
choosing which payment service to use, at 56% of respondents. The relation-
network credit and debit cards, and cash on delivery were heavily preferred for
ship to the brand and friends and family use were also important drivers. By
everyday purchases.
way of contrast, the ability to earn cashback or spread costs was a much lower
priority. The lack of interest in cashback contrasts with markets such as India
This indicates that while Nequi is preferred overall, and Indonesia in particular, where cashback was a priority for over 50% of
outside of bill payments, there is not a huge difference respondents.
between which methods are used for different purchase
types, indicating a need for a broad acceptance strategy Key Reasons Respondents Would Use to Choose Payment Service, (% of
for merchants. Respondents who Selected Each Reason)
I prefer more
Why Do Local Payment Users Leverage These Methods? secure methods
There are a few different drivers as to why users leverage particular services: Personal relationship
with the brand
▸ Cash on delivery scored the highest of any method for the perception of
security, cashback rewards and being used out of habit, suggesting that other My friends and family
use certain services
payment methods have work to do in incentivizing users.
I like a simple
▸ Nequi was rated very highly for ease and convenience of use, but compar- user interface
atively lower for the acceptance where users want to shop, indicating that
I can only use the methods
Nequi is primed for growth, if acceptance can be improved. that I have access to
▸ PSE is seen as much more trusted than other local payment methods from a
I am limited by what
brand perspective, reflecting its bank-linked nature. the website/app accepts
Ability to earn/rewards
Nequi was used by at least several times a week by 55% and/or cashback
of its users, the highest of any payment method. Ability to spread costs
0% 10% 20% 30% 40% 50% 60%
Mexico Ecommerce checkout volume % - Mexico
Local Currency: MX$ – Mexican Peso 1%
2023
8%
8%
133M GDP/CAPITA
5%
33%
TOTAL
98M
ADULTS
+3%
BY 2028
55%
BANKED
23%
18%
3% 2%
2028
Credit Cards 6%
Debit Cards 20%
ECOMMERCE BY 2028
MARKET SIZE Non-card-linked Wallets 20%
$61B DCB
Cash & Equivalents
49% CROSS-BORDER
ECOMMERCE
A2A Payments
BNPL
2%
17%
NON-CARD
LINKED MARKET SIZE 1%
Other
$16B 29%
MCOMMERCE
MARKET SIZE 3%
$34B
CoDi is Driving Strong A2A Payments Growth Cards will decline as a proportion of ecommerce transaction volume, from 51%
in 2023 to 37% in 2028, as the ecommerce market grows and other methods,
▸ Mexico is a very strong market for account to account payments, with the such as CoDi, go from strength to strength.
proportion of ecommerce transaction value via A2A expect to hit 21% in
2028, from only 8% in 2023. Total commerce monthly active users – Mexico
▸ CoDi is responsible for A2A payments growth within Mexico, and has, despite
some initial skepticism, proven to be a reliable payments system. Non-card Wallets Users DCB Users A2A Users BNPL Users
26%
▸ We expect CoDi to be a key focus area going forward for merchants, as they
look to leverage the methods that local users want to access, maximizing
their changes of checkout success.
Cards & Local Payment Methods to Coexist 20%

▸ Our payments data shows that cards are set to lose some of their importance
within the Mexican market, with the proportion of ecommerce transaction
value that is via cards falling to 37% in 2028, from 51% in 2023.
▸ However, it is noteworthy that cards will still be important within Mexico, ac- 13%
counting for over a third of payments by volume by 2028. This is being driven
in particular by the high degree of cross-border ecommerce that is pres-
ent in Mexico, with international websites tending to use cards as a reliable
cross-border system. 7%
▸ We expect that international websites will increasingly look to support local

Mexican payment methods in order to maximize user satisfaction.
Selected Local Payment Methods - Colombia 0%
March CoDi has scaled despite initial

A2A
2019 issues. By 2028, 56% of Mexico’s population will use local
Mercado Pago supports a full payment methods, reflecting strong success, considering
Non-card
2003
linked Wallet
digital banking experience in the low banking penetration of 55% within this market.
Mexico.
Cash and OXXO is a system from a popu-

2012
equivalents lar retailer.
Africa
Local payment methods will account for 40% of ecommerce transactions in
Mexico by value in 2028, from 32% in 2023, demonstrating a rapid transition
from cards for ecommerce usage, particularly for larger value purchases.
Ecommerce checkout value % - Mexico
& Middle East

5% 4%
2% 2%
8%
3%
1%
21%
1%
21% 1%
15%
4%
6%
23%
29%
33%
20%
2023 2028

The rapid growth of local payment methods in Mexico, in particular A2A pay-
ments, means that merchants, particularly those focused on more expensive
purchases, must change their acceptance strategies and align these increasing-
ly with new capabilities emerging.
176 - 2024 Global Ecommerce Report – Boku & Juniper Research

314 2024Global
2024 GlobalEcommerce
EcommerceReport
Report––Boku
Boku&&Juniper
JuniperResearch 177
Research --315
Africa & Middle East Ecommerce checkout volume % - Africa & Middle East

1% 3%
2023
2B GDP/CAPITA
TOTAL
POPULATION $4,150
14%
24%
+5%
BY 2028
58%
BANKED
1B
ADULTS 13%
28%
13%
2%
1% 2% 2028
2%
Credit Cards
Debit Cards
+88%
ECOMMERCE BY 2028 Card-linked Wallets 19%
MARKET SIZE
$106B DCB
Cash & Equivalents
CROSS-BORDER 12%
63% ECOMMERCE
MARKET SIZE
A2A Payments
BNPL
NON-CARD 15%
LINKED
$33B Other
3%
MCOMMERCE 24%
MARKET SIZE
$60B 2%
Key Takeaways Cards Playing a Smaller Role, as Bank-backed Wallet Apps Show
Promise
Mobile Money Driving Growth in Africa
▸ Cards will still be a prominent, albeit minority part of ecommerce markets
▸ By 2028, non-card-linked wallets will account for over 25% of all ecommerce within the Africa & Middle East region as a whole, driven by the Middle East,
payments by value in Africa & Middle East, driven by the importance of mobile where credit card usage will remain resilient.
money services within Africa.
▸ Cards will account for 29.5% of ecommerce transactions by volume in 2028 in
▸ M-PESA in Kenya is a powerful example of mobile money services in practice, the region, just under a third, showing their enduring importance.
achieving a dominant position within the local market.
▸ As mobile money services transition to smartphones, apps will enable addi-
tional features and growth in marketplaces.
Total commerce monthly active users – Africa & Middle East

30%
23%
“
15%
MEA has long been the home of

mobile money with M-PESA and
8%
Momo, so it is no surprise to see
new local solutions like NIBSS,
PayShap and Saire get traction
0%
with merchants and consumers.
- Allen Samawi, VP and GM, MEA
▸ A2A payments will reach 18% of ecommerce spend within Africa & Middle
Ecommerce checkout value % - Africa & Middle East
East, reflecting strong adoption of solutions such as Instant EFTCaptic pay
and PayShap in South Africa, and the popularity of NIBSS within the Nigerian 1%
2%
4% 1%
market and GhIPSS in Ghana. In addition, to the new promising launches as 11%
18%
Sarie in KSA, AANI in UAE and Instapay in Egypt.
12%
What This Means for Merchants 2% 6%
5%
Africa & Middle East is in many ways already a local payments success sto- 18%
ry, and mobile money in particular, with services such as STCpay, Vodafone
Cash, M-PESA and MTN MoMo, Orange Money, and Airtel Money. As such, this 6% 26%
means having highly localized strategies in these markets is key. 11%
8%
Forecast Data
11%
Across Africa & Middle East, local payment methods will grow from 33% of 38%
ecommerce transaction value in 2023, to 54% in 2028, showing remarkable
21%
progress, driving wider access to payments and ecommerce.
2023 2028
By 2028, almost 40% of all individuals within Africa & Credit Cards Debit Cards Card-linked Wallets
Middle East will actively use local payments, reflecting Non-card-linked Wallets DCB Cash & Equivalents
massive growth, despite issues with financial inclusion. A2A Payments BNPL Other
Egypt Ecommerce checkout volume % - Egypt
Local Currency: E£ – Egyptian Pound 1%
2023
11% 15%
109M GDP/CAPITA
TOTAL
+17%
69M
BY 2028
ADULTS
22%
43%
45%
BANKED
3%
1% 2028
Credit Cards 7%
Debit Cards 7%
Card-linked Wallets
+81% Non-card-linked Wallets 27%
ECOMMERCE BY 2028
MARKET SIZE DCB
A2A Payments
ECOMMERCE Other
81%
MARKET SIZE
NON-CARD
LINKED
$497B 26%
MCOMMERCE
MARKET SIZE
$2B 2%
Key Takeaways
Total commerce monthly active users – Egypt
Market Driven by Local Wallets & A2A Payments Replacing Cash
▸ Within the Egyptian market, local wallets will increasingly have a strong posi-
40%
tion, with non-card wallets accounting for 29% of ecommerce volume in 2028,
and 22% of ecommerce value in the same year.
▸ Wallets, such as Vodafone Cash, Orange Cash, and Etisalat Cash have
gained strong popularity, based on relatively low banking penetration and
30%
higher mobile penetration.
▸ Cash use at the same time is dropping significantly, with A2A payments
(Instapay) and local wallets through the Meeza mobile wallet switch being the
main beneficiaries.
20%
▸ Ecommerce will be disproportionately local rather than cross-border in this
market, given the currency controls in place in Egypt.
Card Use to be Very Limited

10%
▸ Card payments will play a much smaller role in Egypt than other markets, with
only 14% of transactions by volume in ecommerce being via cards by 2028.
▸ Local payments are leading the transition away from cash in this market, limit-
ing the role that cards can play. A relatively low banking penetration is also a
0%
factor for limiting card growth, although banking penetration will rise over the
next few years.
Non-card wallets and A2A payments will grow to reach almost 50% of
▸ Cards may benefit in future from mobile money services offering payment
Egypt’s population by 2028, reflecting strong prospects for local payments
cards as a premium feature.
going forwards.
Selected Local Payment Methods - Egypt Key Payments Data
Payment Method Launched Type Comments Local payment methods already have an important role to play within the
Egyptian market, which will only increase over time as the transition to a less
50 million network users and 9.3
2008 E-payments cash-centric economy intensifies.
million downloads.
Non-card- Around 3 million customers for

2013
linked wallet Vodafone Cash in Egypt.
A2A InstaPay is a nation wide A2A

2022
payments payments app.
Local payment methods will account for almost 51% of ecommerce transaction
values by 2028, growing substantially from 37% in 2023.
Ghana
The Egyptian market is a great example of where local payment methods are in-
creasingly becoming the norm, meaning that local ecommerce merchants must Local Currency: GH₵ - Ghanaian Cedi
prioritize these services for acceptance.
Ecommerce checkout value % - Egypt

34M GDP/CAPITA
$4,413
1% 1%
TOTAL
11% POPULATION
22%
+6%
31%
14%
22M
ADULTS
BY 2028
6%
6%
39%
BANKED
22%
19%
3% 4%
29% 30%
+77%
ECOMMERCE BY 2028
MARKET SIZE
2023 2028
$1.7B
Non-card-linked Wallets DCB Cash & Equivalents 47% CROSS-BORDER
ECOMMERCE
NON-CARD
A2A Payments BNPL Other MARKET SIZE
LINKED
$530B
MCOMMERCE
MARKET SIZE
$76B
Ecommerce checkout volume % - Ghana
Key Takeaways
Cards Remaining Important as Ecommerce Market Starts to Expand
3% 1% ▸ Within Ghana, cards have played an important role, as the ecommerce mar-
2023 ket has been limited in terms of overall scope.
▸ This means that cards will still play an important role, with the proportion of
ecommerce transactions via card in the market expected to fall from 53% in
2023 to 42% in 2028.
22% 35% ▸ However, as the ecommerce market develops, mobile money and other local
payment methods will become more prominent, expanding access to ecom-
merce over a wider set of addressable users.
2%
▸ Merchants will need to ensure that they partner with the right platforms to
capitalize on this growth going forward, whilst retaining cards.
18% Mobile Money Seeing Strong Growth

18%
▸ We predict that by 2028, non-card wallets will account for 43% of transaction
value within ecommerce in Ghana, growing from 24% in 2023.
1% 1% 2028 ▸ The growth of MTN MoMo is driving this, as well as local alternatives such as
1% AirtelTigo Money and Vodafone Cash, which are surging in popularity.
4%
Credit Cards ▸ Merchants should ensure that they access the key mobile money marketplac-
Debit Cards 14% es, in order to maximize their reach.
Selected Local Payment Methods - Ghana
DCB
A2A Payments 28%
Non-card This MTN service had over 5
BNPL 2009
linked Wallet million users (as of 2023)
Other
36% Non-card Previously known as Airtel
2010
linked Wallet Money.
Non-card Vodafone Cash in this country is

2015
1% linked Wallet based on M-PESA.
Key Payments Data Local payment methods will account for 55% of ecommerce transactions in
Ghana by value in 2028, from 30% in 2023, demonstrating a transition from
Payment cards will still have an important role to play in the early-stage ecom-
cards for ecommerce usage, as the ecommerce market broadens.
merce market within Ghana, but the extent of their involvement will reduce over
time, as local methods grow.
Ecommerce checkout value % - Ghana
By 2028, 46% of Ghana’s population will use non-card wallets, from 29% in
1% 2%
2023, reflecting the rapid growth of mobile money in particular. 3% 6%
10% 6%
Total commerce monthly active users – Ghana 2% 7%
30%
2% 42%
20%
23%
2%
26%
38%
15%
10%
2023 2028
8%
0%
Iraq Ecommerce checkout volume % - Iraq
Local Currency: IQD - Iraqi Dinar 3% 1%
2023
46M GDP/CAPITA
TOTAL
36%
+6%
29M
BY 2028
2%
ADULTS
15%
18%
22%
BANKED
1% 2028
3%
4%
Credit Cards
Debit Cards
+84% 26%
ECOMMERCE BY 2028 Non-card-linked Wallets 3%
MARKET SIZE
DCB
46% CROSS-BORDER
A2A Payments
BNPL
NON-CARD ECOMMERCE 21%
LINKED MARKET SIZE Other
$796B 28%
MCOMMERCE
4%
MARKET SIZE
$2B
Key Takeaways ▸ Ensuring that these services enable a platform for wider growth of ecom-
merce will be vital, and regulatory intervention will likely be necessary to
Local Payment Methods Expanding Within Iraq ensure that payment systems are enabling future digital payments growth.
▸ Local payment methods are becoming more popular within the Iraqi market,
Key Payments Data
with increasing mobile access creating opportunities for more formal access
to finance. Iraq has a strong local payments market, driven by NGO aid distribution and
other factors, with rising access to financial services also driving card usage in
▸ Local payment methods will represent 39% of ecommerce transactions in
the country.
Iraq by value in 2028, from 26% in 2023, showing significant growth as the
ecommerce market expands.
Total commerce monthly active users – Iraqi
▸ Given the very low banking penetration, Iraq has a large population that will
find it hard to access card payments or A2A payments. As such, in the short to
medium term, local wallet services will drive growth forward within this market.
30%
Rising Affluence Creating Ecommerce Opportunities
▸ Within Iraq, rising affluence is unlocking an opportunity for ecommerce, with
its market being small but growing quickly.
23%
▸ Accessing the maximum number of users will be important, necessitating
the user of payment systems with the broadest user bases. Given the much
higher mobile penetration than banked rate, mobile-based solutions are the
way forward in this market. Indeed, DCB will remain critical for digital enter-
15%
tainment and video games.
Selected Local Payment Methods - Iraq
Payment Method Launched Type Comments 8%
Non-card ZainCash is a market leader in

2016
linked wallet Iraq, having broad reach.
AsiaPay has been used exten- 0%

Non-card
2014 sively by NGOs for bulk distri-
linked Wallet
bution.
Non-card NassWallet offers many bank-

2019
linked Wallet style features and services.
By 2028, local payments will reach 41% of Iraq’s population, showing remark-
able growth.
Kenya
Local payment methods will account for 39% of ecommerce transactions in Iraq
by value in 2028, from 26% in 2023, showing significant growth as the ecom- Local Currency: KES – Kenyan Shilling
merce market expands.
Ecommerce checkout value % - Iraq

3% 1% 58M GDP/CAPITA
$2,118
4% TOTAL
10% 7% POPULATION
78%
2% 6%
BANKED +16%
21% BY 2028
29% 35M
ADULTS
5%
13% 6%
16%
46%
31%
+210%
ECOMMERCE BY 2028
2023 2028 MARKET SIZE
$2B
Non-card-linked Wallets DCB Cash & Equivalents CROSS-BORDER
71%
A2A Payments BNPL Other ECOMMERCE
MARKET SIZE
$84B
NON-CARD
LINKED
MCOMMERCE
MARKET SIZE
$28B
Key Takeaways
Ecommerce checkout volume % - Kenya
M-PESA Driving Local Payments to Dominant Position
2023 ▸ Our forecast data shows that by 2028, 69.7% of all ecommerce payments by
volume will be via non-card wallets, namely mobile money services, within the
Kenyan market.
1% 10%
15%
4% ▸ With the presence of M-PESA in the market, Kenya is the example of how
mobile money can provide a digital payments platform for growth in an
emerging economy, creating a successful model that many other mobile net-
work operators have tried to emulate.
18%
▸ As users transition from basic feature phones to smartphones, M-PESA and
its competitors will look to deploy more advanced services, such as access to
loans and credit, which can increase their revenue.
52% ▸ In terms of access to users, M-PESA is unrivaled within Kenya, and will con-
tinue to be seen as a go-to option for the foreseeable future.
Cash Use to Decline Quickly
2% 2028 ▸ Within Kenya, cash use will decline quickly, as non-card linked wallets grow in
strength.
Credit Cards ▸ Indeed, cash use as a proportion of ecommerce transaction volume is set to
3% 12% 6%
Debit Cards decline from 45% in 2023 to 27% in 2028, a major shift.
Card-linked Wallets
Selected Local Payment Methods - Kenya
6%
DCB Payment Method Launched Type Comments
Cash & Equivalents
A2A Payments Non-card M-PESA has over 32 million
2007
linked Wallet customers in Kenya as of 2023.
BNPL
Other
A2A Pesalink has over 3 million bank
70% 2016
payments users in Kenya.
Airtel Money is a distant second

Non-card
2010 in the Kenyan mobile money
linked Wallet
space.
▸ Card usage will also decline, as early adopters of ecommerce gives way to a By 2028, 57% of the Kenyan population will use non-card linked wallets, across
wider group of ecommerce users, enabled by the accessibility wallets provide. all commerce, reflecting strong adoption of M-PESA and rival services.
Key Payments Data Local payment methods will account for 49% of ecommerce transactions in the
Kenya by value in 2028, indicating their importance to the wider market.
Local payment methods are long established within the Kenyan market, with
non-card linked wallets being common, principally M-PESA. Cards will still play
an important role, accounting for many higher value or international purchases. Ecommerce checkout value % - Kenya
8% 5%
1% 4%
Total commerce monthly active users – Kenya 3%
12%
60%
70%
56%
45%
30% 5%
11%
17%
7%
15% 2023 2028

0%
Nigeria Ecommerce checkout volume % - Nigeria
1%
Local Currency: ₦ – Nigerian Naira
2023
8%
223M GDP/CAPITA
TOTAL
POPULATION $2,111 34% 23%
+2%
BY 2028
121M
48%
BANKED
ADULTS 4%
29%
1%
1% 2% 2028
Credit Cards
Debit Cards
+109%
MARKET SIZE 2%
DCB
A2A Payments 52%
69% ECOMMERCE
MARKET SIZE
Other
NON-CARD
LINKED $659B 10%
MCOMMERCE
MARKET SIZE
$2B
A2A Payments Driving Nigerian Market Ahead A2A payments (NIBSS), local wallets,and payments platforms such as Quick-
▸ A2A payments will become a vital part of the Nigerian market by 2028, ac- teller are becoming the default option within the Nigerian ecommerce space,
counting for over 50% of ecommerce transactions by volume in 2028, from accounting for over 68% of transactions by volume online in Nigeria by 2028.
just under 34% in 2023. By 2028, almost 70% of Nigeria’s population will use A2A payment services,
▸ The most common payment method for local payments users in our survey showing how important this is becoming.
was Pay with Transfer (internet banking), being selected by over 70% of local Local payment methods will account for 60% of ecommerce transactions in
payment method dominant respondents, reinforcing the major role that bank- Nigeria by value in 2028, from 39% in 2023, demonstrating the vast importance
ing services have to play in this space. of these methods in this market.
▸ As such, local payment methods will dominate in the Nigerian market, and are
a must have for merchants.
Digital Wallets Set for Solid Growth
“
▸ Within the Nigerian market, digital wallets are also seeing major growth.
▸ We expect that non-card linked wallets will account for 15% of ecommerce
transaction values by 2028, doubling its 2023 market share.
▸ International websites should look to adopt local methods to boost their po-
tential user bases. Our consumer
survey shows the
Selected Local Payment Methods - Nigeria
sheer complexity of
Payment Method Launched Type Comments the local payments
NIBSS is owned by a consor- market in Nigeria.
A2A Pay-
2011
ments
tium of the major banks and We are working with
Central Bank in Nigeria.
merchants to find
Enables users to perform bank-
2015 Local Wallet ing functions and access value
the right payment
added services. method that attracts
their key target
Bill (voucher) Quickteller is heavily used for bill
2010
Payment payments.
consumers.
– Ganiu Odewale,
B.D. Director
Total commerce monthly active users – Nigeria Ecommerce checkout value % - Nigeria
1% 1%
40%
30%
43%
30%
19%
5%
1%
1%
7%
15%
20%
1%
19%
14%
10% 21% 20%
2023 2028

Consumer Sentiment Survey Insights A2A Payments BNPL Other

▸ Local payments, in particular bank-based payments are dominating in terms Local Payment Methods Users
of adoption, reflecting a higher than average rate of banking access, particu-
larly amount ecommerce users.
▸ Pay with transfer was the most commonly chosen method, followed by OPay, Users of predominantly local payment methods represented 58% (436) of the
also having the highest average top up value by users. Nigerian respondents, indicating a local payment method dominant ecom-
merce market.
▸ Bank-linked payments were chosen as the most common way of paying for
bills, with mobile money agent locations being less common.
OPay Best Wallet for Higher Value Purchases
The top six payment methods selected were all local
The respondents indicated that OPay had the highest average top up value of
payment methods, indicating how dominated Nigeria is any mobile wallet, being topped up to higher values more frequently than any
by local payment methods. other method. By way of contrast, the two more mobile money-focused solu-
tions, MTN MoMo and Airtel Money had the lowest average top up values.
The most common payment method for these users was Pay with Transfer This data shows that not all wallets are created equal, with different wallets tar-
(internet banking), being selected by over 70% of local payment method dom- geting different segments within the market. Knowing these user preferences and
inant respondents. OPay was the next most popular at 62%, followed by bill choosing the right methods is essential to providing the best user experience.
payments using bank services.
LPMs used last 30 days % - Nigeria There are a few different drivers as to why users leverage different services:
▸ The perception of security is the biggest driver, at 54% of respondents.
Pay with transfer ▸ Preferring a simple user interface was the second biggest driver, at 46% of
Opay
respondents, showing that simplicity is key to the payments and checkout
Bill payment via Bank Mobile App
experience.
Bill Payment via Bank USSD
Cash on Delivery
▸ Limited access to was the third biggest driver, indicating that there is a clear
Bill Payment via Internet Banking issue with availability of payment methods in this market for different users.
Verve ATM/debit card
Internet Banking & Wallets Leading on Bill Payments
Quickteller
International debit cards The survey found that bank apps and internet banking are the most common
Purchases with physical payment ways regular bills are paid, followed by USSD and bill payment platforms like
Charge to mobile phone bill Quickteller.
MTN MoMo
By contrast, mobile money agents and paying directly on merchant websites
were the least common options.
Airtel Money
Gift cards
Verve credit card
Paga
Verve prepaid card
Konga Pay
Buy Now, Pay Later
0% 10% 20% 30% 40% 50% 60% 70%
How do you pay for your school fees, utility bill such as DSTV, Saudi Arabia
Electricity, Internet/data subscription or place your bets, (% of Key Market Statistics – 2023
Respondents who Selected Each Answer)
Local Currency: SAR – Saudi Riyal
I use my bank app or

Internet Banking
I use my bank's or Mobile
Money Wallet USSD 37M GDP/CAPITA
I use a bill payment

TOTAL
POPULATION $25,423
platform like Quickteller
I visit the biller's office or
pay at the bank's branch
76%
BANKED 27M +2%
ADULTS BY 2028
I pay on the
merchant website
I pay at Mobile Money
Agent location
0% 20% 40% 60% 80% 100%
+63%
ECOMMERCE BY 2028
MARKET SIZE
$11B
CROSS-BORDER
60% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED
$5B
MCOMMERCE
MARKET SIZE
$2B
Ecommerce checkout volume % - Saudi Arabia
Key Takeaways
Local Payment Methods Growing, but Role Still for Cards
2023 ▸ Local payment methods are certainly growing within the Saudi Arabian mar-
1% ket, and they will account for over 52% of ecommerce transactions by value
in 2028, from 31% in 2023.
11%
▸ In the sentiment survey, the top seven payment methods selected by respon-
27% dents were all local payment methods, indicating the strong proposition local
payments offer in this market.
20% ▸ However, cards will remain common, and Apple Pay, a card-linked wallet,
was indicated as the most frequently used method for online purchases by
survey respondents.
13% ▸ As such, Saudi Arabia represents a mixed picture. Given the different pay-
ment methods in place, merchants must carefully assess the markets they
13%
are operating in and understand what methods best match their audience, in
8% order to maximize their success.
7%
1%
2% 2028 Selected Local Payment Methods - Saudi Arabia

Credit Cards 6%
Debit Cards 10%
STC pay is the most popular
Non-card
Card-linked Wallets 2018 local payment method in Saudi
linked Wallet
Non-card-linked Wallets Arabia.
DCB
18% SARIE allows transfers via bank
Cash & Equivalents A2A
2021 accounts or aliases, such as
A2A Payments 39% Payments
mobile numbers.
BNPL
Other
Non-card Urpay integrates different loyalty
16% 2021
linked Wallet offers.
7%
1%
Mobile Payments Preferred by Respondents, with Security a Major
Theme By 2028, the penetration of local payment methods will
have significantly increased from 2023, reflecting strong
▸ The survey revealed that mobile payments were the most frequently used
online, with a mix of card-linked and non-card-linked wallets.
growth in non-card-linked wallets such as STC Pay.
▸ A preference for more secure payment methods was the most important Local payment methods will account for over 52% of ecommerce transactions in
factor users identified in choosing which payment type to use online, with Saudi Arabia by value in 2028, from 31% in 2023.
mobile’s biometrics capabilities having a clear benefit.
Key Payments Data Ecommerce checkout value % - Saudi Arabia
Saudi Arabia is shifting towards digital wallets and A2A payments at a rapid 5% 2%
4%
rate, reflecting ongoing change in the market. 2%
20%
Total commerce monthly active users – Saudi Arabia
35%

20%
8%
3%
1%
11%
13%
11%
15%
18%
6%
35%
10%
18%
2023 2028

0%
Consumer Sentiment Survey Insights What Methods Are Used for What Purchases?
There are a few key differences in how payment methods are used within Saudi
Arabia, regarding purchase type and average spend:
▸ Local payments an important trend, but more respondents selected that they
▸ Mada debit card and international network credit cards had the highest aver-
used card payment predominantly than local payments, in contrast with many
age value spend for ecommerce, with Google Pay and Mobily Pay having the
other markets surveyed.
smallest average spend, reflecting their different use cases.
▸ STC Pay was the most commonly chosen payment method by local payment
▸ Apple Pay had nearly as high average spend as the card methods, reflecting
users, followed by payments from bank account and cash on delivery, reflect-
its card-linked nature.
ing the wide accessibility of these methods.
▸ Mada debit card, Urpay and payments via bank account were the most com-
▸ Mobile payment methods were used most frequently by the largest propor-
monly used methods for bill payments, making these an important offering for
tion of end users, with Apple Pay, Mobily Pay and Samsung Pay having the
this type of online merchants.
highest proportion of users leveraging them at least weekly.
“

Saudi Arabian respondents, however this was lower than the proportion that
predominantly used card-linked methods, at 47%, reflecting the card-heavy
nature of the Saudi Arabian market.
The top seven payment methods selected were all local payment methods,
Our survey shows
indicating the strong proposition local payments offer in this market.
that consumers in
The most common payment method for these users was STC Pay, being se- KSA use a selection
lected by 72% of local payment method dominant respondents. This was by far
of international
the most popular method, with payments via bank account being the next most
popular at 53%, and cash on delivery at 41%.
and local payment
methods. A2A
is becoming
increasingly favored
because of the built-
in security.
– Allen Samawi,
VP and GM, MEA
▸ BNPL was used the most frequently for premium physical goods purchases, As such, we expect local payment vendors to focus on integrating as many
reflecting its primary purpose of increasing average order value (AOV). mobile methods as possible, in order to access the most active potential ecom-
merce users.
▸ Google Pay was most frequently used for digital music subscriptions, closely
followed by Mobily Pay.
Proportion of Local Payments Users Who Selected That They Use Each
Service At least Weekly, (%)
Mobile Methods Leading Frequency of Use
The survey found that mobile payment methods were the most frequently used, STC Pay
with the highest proportion of users leveraging them at least weekly. The top Payments via bank account
three methods were a mix of card-linked (Apple Pay & Samsung Pay) and non- Cash on Delivery
card-linked (Mobily Pay), showing how varied the Saudi Arabian market is in
Urpay
terms of the times of wallets that have achieved success.
Mobily Pay
LPMs used last 30 days % - Saudi Arabia Buy Now, Pay Later
Apple Pay mada card
Mobily Pay
Gift cards
Samsung Pay
Apple Pay
mada credit card
Urpay Purchases with physical payment
mada prepaid card Google Pay

Google Pay International debit cards
STC Pay
mada debit card
Samsung Pay
International credit cards 0% 10% 20% 30% 40% 50% 60% 70% 80%
Cash on Delivery
Gift cards
Buy Now, Pay Later
0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
South Africa Ecommerce checkout volume % - South Africa
Key Market Statistics – 2023 1%
Local Currency: ZAR – South African Rand 2023
17%
62M GDP/CAPITA
31%
88%
TOTAL
POPULATION $7,073
BANKED
22%
43M
ADULTS
+5%
BY 2028
16%
7%
4%
2%
3% 3% 2028
Credit Cards
Debit Cards
Card-linked Wallets
17%
ECOMMERCE BY 2028
MARKET SIZE DCB

A2A Payments
38%
BNPL 18%
CROSS-BORDER
61% ECOMMERCE
MARKET SIZE
Other
NON-CARD
11%
LINKED
$2B 7%
MCOMMERCE
MARKET SIZE
$2B 2%
Key Takeaways Merchants Must Pick Right Strategies in a Rapidly Growing Market
▸ Picking the right payment methods to offer at checkout will involve multiple
Local Payments Gaining Traction, as Rising Ecommerce Market
considerations, such as target audience and what methods they prefer, costs
Drives Overall Growth
of acceptance and quality of user experience.
▸ In South Africa, local payment methods will account for 41.3% of ecommerce
transactions by value in 2028, compared to 32.6% in 2023, representing ▸ Getting this right as an international merchant will be tricky, as these mer-
strong growth. chants may lack an understanding of local methods such as Instant EFT.
▸ The ecommerce market within South Africa is growing rapidly, creating signifi-
cant opportunities within the market. Total commerce monthly active users – South Africa
▸ While cards appeal to higher income users in a relatively well penetrated
banking market, local payment methods appeal to less affluent users who Non-card Wallets Users DCB Users A2A Users BNPL Users
can access payments via local agent networks. 40%
▸ A2A payments are a major force, with InstantEFT being a long standing meth-
od, but with some security issues, and PayShap building on this by providing
faster settlement with a true instant payments system, which is preferred by
the Central Bank. 30%
Selected Local Payment Methods - South Africa
Instant EFT is very common in

A2A
Various South Africa, but does not have
Payments
instant settlement.
10%
A2A PayShap is a new instant pay-
2023
Payments ments system being rolled out.
Non-card MoMo has a very broad cash-in

2009
linked Wallet and cash-out network. 0%
A2A QR code based payments

2023
Payments linked to bank accounts.
Key Payments Data
South Africa has an increasingly strong ecommerce market, with many different
United Arab Emirates
payment methods growing at the same time, as the market quickly expands.
Local Currency: AED – UAE Dirham
Local payment methods will account for 61% of ecommerce transactions in
South Africa by value in 2028, showing the major progress being made.
By 2028, 84% of South Africa’s population will have access to local payment
methods, showing remarkable progress.
10M GDP/CAPITA
In South Africa, merchants must closely examine which payment methods are
dominant in their own use case in order to manage their checkout correctly.
90%
TOTAL
POPULATION $44,834
9M
BANKED
ADULTS +5%
Ecommerce checkout value % - South Africa
BY 2028
3% 5%
22%
26%
10% 2%
2% 3%
6% 8%
16%
19%
+75%
ECOMMERCE BY 2028
32% MARKET SIZE
26%
$16B
43% CROSS-BORDER
9% 11% NON-CARD
LINKED ECOMMERCE
2023 2028 MARKET SIZE
$7B
Non-card-linked Wallets DCB Cash & Equivalents MCOMMERCE
MARKET SIZE
$6B
Key Takeaways
Ecommerce checkout volume % - UAE
Local Payment Methods Gaining Traction Rapidly
1% ▸ The UAE is seeing a fast expansion of both the availability and use of local
2023 payment methods. By 2028, the use of local payment methods as a propor-
tion of the UAE’s population will almost triple. Local payment methods will
11% also account for almost 60% of ecommerce payments by value by 2028.
▸ A2A payments and non-card-linked wallets are the main drivers of this, with
7%
BNPL also playing a role, accounting for 4% of ecommerce spend in 2028.
▸ As such, we expect merchants to focus on local payment methods for their
47% acceptance strategies in accordance with this, meaning that international
merchants in particular must partner effectively with vendors that have access
20%
to this increasingly localized payments market.
Card Payments Still Important, but Bank Strategies Changing

▸ Despite the growth in local payment methods, cards will still remain important,
4% 10% accounting for just over a third of transactions by volume locally in 2028.
1%
2028 ▸ Card usage will endure in this market, with more affluent users preferring
credit cards in particular.
Credit Cards ▸ However, bank strategies are pivoting towards more local payments, with
Debit Cards there being more focus on bank-backed wallets and bank transfers for all
Card-linked Wallets 26% kinds of payment scenarios.
25%
DCB Selected Local Payment Methods - UAE
A2A Payments
2% Careem offers a broad range of
BNPL 8% Non-card
2022 super app capabilities, including
Other linked Wallet
payments.
35% Non-card Payit is backed by FAB, a large

3% 2018
linked Wallet bank in the UAE.
Aani offers QR code and

A2A
2023 ecommerce payments via bank
Payments
accounts.
Total commerce monthly active users – UAE Ecommerce checkout value % - UAE
3% 4%
15%
20%
27%
5%
1%
1%
20% 2%
15%
6% 26%
12%
10% 8%
11%
39%
5% 21%
2023 2028

Key Payments Data
UAE will see a consistent expansion in the importance of local payment meth-
ods by 2028, although cards will remain important in certain segments, particu-
larly for spending on international websites.
By 2028, UAE’s availability of local payment methods will almost triple, reflecting
their gaining strength within this market.
Local payment methods will account for 59% of ecommerce transactions in the
UAE by value in 2028, from 38% in 2023, demonstrating a rapid growth in local
payment methods, particularly for BNPL and non-card-linked wallets.
Indian Subcontinent
1.7B GDP/CAPITA
TOTAL
POPULATION $2,324
1.3B +26%
68%
BANKED
ADULTS
BY 2028
Indian
Subcontinent
+159%
ECOMMERCE BY 2028
MARKET SIZE
$141B
CROSS-BORDER
67% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED $94B
MCOMMERCE
MARKET SIZE
$129B
Ecommerce checkout volume % - Indian Subcontinent
Key Takeaways
Local Payment Methods to Take Lead Position in Indian Subcontinent
1% 1%
2023 ▸ Local payment methods are anticipated to represent a sizeable share of

checkout by 2028, equating to 72% of ecommerce transactions by value, an
increase from 58% in 2023.
▸ India is the largest driver of both volume and value within Indian Subcontinent,
19%
22% therefore it is unsurprising that the highly successful UPI scheme is driving
local payments forward, providing a template for future growth.
15%
16%
24%
3%
“
2% 1%
2028
Credit Cards
Debit Cards 11%
Card-linked Wallets
12% UPI adoption is surging,
DCB 39% embraced by both online and
3%
Cash & Equivalents offline merchants. It is popular
A2A Payments due to wide availability and
BNPL simplicity, Consumers prefer
23%
Other
9%
it to other options, driven by
security and incentives.
- Trishla Mehta,
VP, Business Development
1%
Card Payments Have Role as a ‘Premium’ Offering
Total commerce monthly active users – Indian Subcontinent
▸ While card payments and their share of ecommerce volume will decline by
2028, they will still have a major role to play in the regional market. Non-card Wallets Users DCB Users A2A Users BNPL Users
30%
▸ Where mobile money has been popular, such as in Pakistan, access to credit
and debit cards, as well as their use for payments, is seen as a premium ser-
vice, which can be added on to many mobile money accounts.
▸ As such, we expect cards to remain an important element, particular as ac-
23%
cess to banking services increases across the region.

The Indian Subcontinent is seeing an increasing shift towards local payment 15%
methods, with A2A payments in particular gathering momentum. As such, mer-
chants, particularly international merchants who are not on the ground in each
country, must leverage local expertise, or they will increasingly disengage from
their potential customers who want to use local payment methods.
8%
Key Data
Local payment methods are anticipated to have a sizeable share of payment
0%
volume, equating to 64% of ecommerce transactions in 2028, up from 48% in
2023. Card share is anticipated to fall from 33% in 2023 to 23% in 2028 as local
methods outpace card growth. Across the Indian Subcontinent, local payment methods are gaining ground,
accounting for 72% of ecommerce transactions by value in 2028 in the region.
A2A payments will be a major contributor to this, at 36% of transaction value by
By 2028, 60% of all individuals within the Indian 2028, reflecting the success of UPI and Raast.
Subcontinent will actively use local payment methods,
reflecting the massive presence of A2A payments and
non-card-linked wallets across the region.
Total commerce monthly active users – Indian Subcontinent India
5%
10%
Local Currency: Rs₹ - Indian Rupee
19%
5% 36%
1%
1.4B GDP/CAPITA
33% 4%
TOTAL
POPULATION $2,423
2%
76%
BANKED
1B
ADULTS
+28%
24% BY 2028
3%
11%
6%
10%
21%
8%
2023 2028

+159%
ECOMMERCE BY 2028
MARKET SIZE
$111B
CROSS-BORDER
ECOMMERCE
MARKET SIZE
70% $81B
NON-CARD
LINKED
MCOMMERCE
MARKET SIZE
$103B
Ecommerce checkout volume % - India
Key Takeaways
Local Payment Methods Becoming the Default Option
1% 1%
2023 ▸ Local payments will be particularly dominant in India, driven by the impact
of the UPI system. A2A payments will account for over 42% of ecommerce
transactions by value in 2028, having a vital role in the Indian market.
12% ▸ On the survey side, Paytm was the most popular payment method, with 89%
of local payment users accessing it within the last month, with PhonePe and
29% Google Pay, both also supporting UPI, both faring very well.
18% ▸ As such, merchants, both domestic and international, must ensure that they
are leveraging these methods as much as possible, in order to improve their
checkout processes and conversion rates.
Market Quick to Change, with Users Using Lots of Different Services

13% 2%
23% ▸ The sentiment survey found that willingness to consider changing payment
methods is high across India, with 77% of respondents indicating they would
be open to changing payment methods.
2% 1%
1% 2028 ▸ This is supported by another survey finding, that on average, respondents in
India selected 4.8 payment types each that they have used online in the last
month.
Credit Cards 8%
Debit Cards Selected Local Payment Methods - India
Card-linked Wallets
14% Payment Method Launched Type Comments
DCB 3% Non-card- Google Pay, unlike elsewhere in
2017
Cash & Equivalents 46% linked wallet the world, runs on UPI in India.
A2A Payments
Non-card- PhonePe has leveraged UPI to
BNPL 19% 2015
linked wallet achieve quick success.
Other
A2A UPI offers an easy way to make
2016
8% Payments transactions within India.
1%
▸ As such, given a lack of loyalty to individual methods means that merchants A2A payments will continue to grow their share of ecommerce payments by
must be highly diligent in terms of identifying changes in their markets, and value by 2028, as UPI expands at the same time as the growth of the wider
working with the best connected payments partners in their markets of ecommerce market.
choice.
Key Payments Data Key Survey Takeaways
Payments cards are anticipated to account for only 22% of online transactions ▸ Local payment methods are seeing strong adoption, with 44% of respondents
by volume in 2028, showing that UPI is gaining increasing momentum and is accessing a larger number of local payment methods within the last month
transforming the Indian payments system. online than card payments, with 80% of all respondents using at least one
local payment method in the last month. By way of contrast, only 28% used
By 2028, 63% of India’s population will use local payment more card methods than local payment methods online in the last month.
methods, reflecting strong growth based on UPI.
Ecommerce checkout value % - India
6%
Total commerce monthly active users – India 12%
24%
4% 1% 42%
18%
35%
3%
2%
19%
3%
12%
13%
5%
11%
15%
5%
6%
2023 2028

0%
▸ Paytm is the most popular payment method with 89% of local payment users
LPMs used last 30 days % - India
accessing it within the last month.
▸ Willingness to consider changing payment methods is high across India, with Paytm
77% of respondents indicating they would be open to changing payment PhonePe
methods.
Google Pay
Local Payment Methods Users Cash on Delivery
Payment Types & Their Use Cases Gift cards

NEFT
respondents, indicating a reasonably locally-dominated ecommerce market. The
most common payment method for these users was Paytm, being selected by Buy Now, Pay Later
89% of local payment method dominant respondents. This was closely followed Charge to mobile phone bill
by PhonePe, with 82% of mobile dominant respondents selecting this as a pay- RuPay debit card
ment method. In third was Google Pay, at 68%, which unlike in other markets is IMPS
not card-linked and uses UPI.
RuPay credit card
The top three methods selected are all UPI linked,
showing the massive importance of the A2A scheme.
RuPay prepaid card
Paytm was heavily preferred for bill payments, mobile phone top ups and food International prepaid cards
delivery services, with cash on delivery being preferred for physical goods ev- Other (please specify)
eryday purchases. 0% 10% 20% 30% 40% 50% 60% 70% 80% 90%
What Reasons Drive Users to Change Payment Methods?
▸ Local payments users much prefer better user interfaces, with this being a key This indicates that providers must invest in improving their user journeys, which
driver to consider changing services. Other key reasons include lower trans- will have knock off effects for merchants.
action fees, which makes sense in comparison to mobile money services that
sometimes charge for transactions. Better features rounded out to top three. Multiple Payment Methods Mean Broader Acceptance
▸ By way of contrast, the ability to pay via installments was barely selected, On average, respondents in India selected 4.8 payment types each that they
suggesting BNPL is not that desirable in this market. have used online in the last month.
This means that merchants cannot simply implement one primary payment
method, they must build a checkout and payments process that enables users
Pakistan
to leverage the payment methods they want, without creating confusion for the Key Market Statistics – 2023
user. Ultimately, given the strength of local payment methods, this means focus- Local Currency: Rs – Pakistani Rupee
ing on leveraging local payment methods, to best match user preferences.
Paytm Leading on User Satisfaction
The survey found that Paytm had the highest level of satisfaction of any payment
method, reflecting its position as the most popular payment method. 235M GDP/CAPITA
TOTAL
POPULATION $1,632
Proportion of Respondents Which Use Each Method At Least Weekly, (%)
Paytm +9%

148M
ADULTS
BY 2028
PhonePe
Google Pay
Cash on Delivery
21%
BANKED
Gift cards
RuPay prepaid card
RuPay debit card

+180%
Buy Now, Pay Later ECOMMERCE BY 2028
MARKET SIZE
$7B
CROSS-BORDER
RuPay credit card
60% ECOMMERCE
MARKET SIZE
NEFT NON-CARD

LINKED
$831M
IMPS MCOMMERCE
MARKET SIZE
84% 86% 88% 90% 92% 94% 96% 98%
$7B
Key Takeaways
Ecommerce checkout volume % - Pakistan
Card Payments to Continue to Remain Important in Pakistan, but
1% Banking Penetration Limits Potential
3% 1%
2023 ▸ The data shows that by 2028, although card share of ecommerce transaction
volume is declining, it will still be at 26% in 2028, making up a significant part
of this market.
8%
▸ However, the very low rate of banking penetration in the country limits the
possibilities for card payments in the market.
33%
13% ▸ As financial inclusion expands, so will the utility of card payments, but a limit-
ed acceptance infrastructure remains a stumbling block.
Local Payment Methods to Account for 57% of Ecommerce Transac-

16% tion Value by 2028
▸ The data shows a significant shift towards local payment methods, which
26%
will reach 66% of ecommerce transaction value in Pakistan by 2028, from
38% in 2023.
2% 1% ▸ Easypaisa and JazzCash are driving growth of non-card transactions, both hav-
2028 ing strong success in lifting users from informal financial systems to formal ones.
▸ Instant payments scheme Raast has potential to grow A2A payments, but
Credit Cards further development will be required to enable it to achieve its goals across
Debit Cards different ecommerce use cases.
20%
Card-linked Wallets
Non-card-linked Wallets 29% Selected Local Payment Methods - Pakistan
DCB
6% Payment Method Launched Type Comments
Cash & Equivalents
A2A Payments 5% Non-card- Easypaisa is increasingly offer-
2009
BNPL linked wallet ing bank-style services.
Other 16% 20%
Non-card- JazzCash is a popular platform
2012
linked wallet with cashback and rewards.
A2A Raast IDs are linked to mobile

2021
1% Payments numbers for transactions.
Key Payments Data Local payment methods are gaining traction, accounting for 66% of ecommerce
transaction value in Pakistan by 2028, from 38% in 2023, making drastic prog-
Cards will remain to be an important payment method within the Pakistani mar-
ress as the ecommerce market grows quickly.
ket, accounting for 40% of online transactions by volume in 2023, falling to 26%
in 2028, as local payment methods gain ground.
Ecommerce checkout value % - Pakistan
1%
By 2028, almost 57% of Pakistan’s population will 5%
1%
2%
use local payment methods, showing it is becoming

20%
an increasingly important consideration.
6%
37%
19%
Total commerce monthly active users – Pakistan
1%
15%
40%
6% 2%
4% 5%
8% 22%
30%
6%
31%
6%
10%
20% 2023 2028

0%
Europe
Europe
841M GDP/CAPITA
91%
BANKED
TOTAL
POPULATION $30,116
702M
ADULTS +8%
BY 2028
+70%
ECOMMERCE BY 2028
MARKET SIZE
$1.3T
CROSS-BORDER
47% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED
$237B
MCOMMERCE
MARKET SIZE
$741B
Key Takeaways
Ecommerce checkout volume % - Europe
Cards to Continue to Lose Popularity in Ecommerce
2% 1% ▸ Credit and debit cards are forecast to record a significant fall in share of
2023 checkout, with credit cards falling from 38% of transactions in 2023 to 21%
in 2028 and debit cards falling from 15% of transactions to 9% in 2028. This
drop is as a result of competition from emerging payment methods that pro-
vide a more seamless ecommerce transaction, such as A2A payments.
15%
2% ▸ Cash will fall from 932 million transactions in 2023, to 774 million transactions
38% in 2028. Ultimately, cash no longer provides the convenience and speed that
2%
is offered by other payment methods.
6%
“
18%
15%
3% 1% 2028
Merchants are sometimes
Credit Cards
surprised that a mature
Debit Cards
ecommerce market like
Europe’s can still be
DCB
25% experiencing shifts in
Cash & Equivalents payment methods. We
A2A Payments 9% expect those changes to
BNPL continue with growth in
Other 1% A2A and other local
2% 11% alternative payment
27%
methods in particular.
- Christian Wambsganz,
VP and GM Europe
▸ It is important to note that there are several domestic card schemes in Eu- Key Data
rope, such as Cartes Bancaires in France, Dankort in Denmark, and Bancon-
tact and PayConiq in Belgium. Where these schemes are popular, we expect Cards will see a decline in share of checkout with credit cards falling from 38%
cards to be more robust. of transactions in 2023 to 21% in 2028 and debit cards falling from 14.5% of
transactions to 9.1% in 2028.
Consumers Require Frictionless Payment Methods
▸ Card-linked wallets and non-card-linked wallet transaction volume is antici- By 2028, A2A payments will have the largest user base
pated to experience a 164.5% and 204% growth respectively between 2023 of any local payment method within Europe.
and 2028, due to the fact that these methods are able to provide a simpler
checkout process for consumers, as well as providing additional features.
Total commerce monthly active users – Europe
▸ BNPL offers a more frictionless shopping experience than traditional card
payments, and with increasing economic challenges across Europe it will
continue to grow as more people turn to paying in installments. As such, 26%
BNPL transaction volume within ecommerce is anticipated to grow by 187%
between 2023 and 2028.

20%
Europe is a heavily developed market in regards to ecommerce, with the majori-
ty of consumers having access to bank accounts. One of the greatest concerns
for ecommerce consumers across Europe is the ability to checkout seamlessly,
hence the great growth in regards to lower friction payment methods such as; 13%
BNPL, A2A payments and non-card-linked wallets. Merchants must be quick
to offer these methods in the markets needed, otherwise checkout conversion
rates will start to drop.
7%
0%
Across Europe, A2A payments will grow from 16% of ecommerce transaction
Denmark
value in 2023, to 27% in 2028, showing remarkable progress in Europe, while
the share for other payment methods, in particular cards, decreases. Local Currency: DKK – Danish Krone
Ecommerce checkout value % - Europe

1%
8% 9%
100% 6M GDP/CAPITA
15%
BANKED TOTAL
POPULATION $70,094
2%
1%
26%
5M
ADULTS
5% +3%
BY 2028
1%
9%
24%
13% 30%
8%
31%
15%
2023 2028 +47%

ECOMMERCE BY 2028
MARKET SIZE
34% $33B
NON-CARD
A2A Payments BNPL Other LINKED CROSS-BORDER
ECOMMERCE
MARKET SIZE
$4B
MCOMMERCE
MARKET SIZE
$0B
Key Takeaways
Ecommerce checkout volume % - Denmark
A2A to Gain Traction in Danish Market
3% 1%
2023 ▸ Within the Danish market, bank transfers will become an increasingly import-
ant payment method, with A2A payments accounting for 15% of ecommerce
1% transaction value in the country by 2028, this is up from 9% in 2023.
1%
9% ▸ This means that merchants must prepare and alter their acceptance strate-
gies accordingly, given such a large shift is underway.
8% Wallets Growing in Interest in Denmark
38%
▸ Both card linked wallets and non-card linked wallets will continue to grow,
with the proportion of ecommerce values associated with wallets growing
12%
from 27% in 2023, to 29% in 2028.
Selected Local Payment Methods - Denmark

28%
Locally-
3%
2028 1983 issued 4.5 million members (2023).
debit card
Credit Cards Used by over 4 million people

Debit Cards A2A in Denmark (2023), transition-
2013
Card-linked Wallets 15% Payments ing from card linkage to A2A
30% payments.
DCB
1960 Riverty is backed by Arvato
Cash & Equivalents BNPL
(wider group) Infoscore.
A2A Payments 9%
BNPL
Other
14%
26%
Key Payments Data A2A payments will grow from 52% of the population using it in 2023, to 88% in
2028, showing the most progress in the Danish market.
Card payments are set to lose significant ground within ecommerce within Den-
mark, falling from 66% of transactions occurring through card in 2023, to 57%
Ecommerce checkout value % - Denmark
of ecommerce transactions occurring through card in 2028, as consumers turn
to more convenient payment methods.
13% 12%
A2A will experience the greatest growth across 9%

1% 15%
payment types in Denmark, reflecting its ease of use 1%
11% 1%
and consumers looking for advanced security.
12%
16%
Total commerce monthly active users – Denmark 17%
60%
22%
27%
45% 20%
2023 2028

15% The rapid growth of local payments, in particular A2A, means that mer-
chants will need to update their acceptance strategies, or risk losing out to
more agile players.
0%
Germany Ecommerce checkout volume % - Germany
3% 1%
Local Currency: € EUR 2023
100% 84M GDP/CAPITA

BANKED TOTAL
31%
71M
ADULTS +5%
BY 2028
4%
5%
13%
4% 12%
1% 2028
5% 2%
Credit Cards 9%
Debit Cards
Card-linked Wallets
ECOMMERCE BY 2028
MARKET SIZE DCB
$159B Cash & Equivalents 34% 21%
A2A Payments
CROSS-BORDER BNPL
65% ECOMMERCE
MARKET SIZE
Other
NON-CARD
LINKED $36B
20%
MCOMMERCE
MARKET SIZE 5%
3%
$12B
Card Use to Fall in Germany Payment cards in Germany will continue to fall in popularity, with their ecom-
merce share falling from 35% in 2023 to 12% in 2028, this is due to increasing
▸ In line with other countries in Europe, card usage will continue to fall in Ger- interest in other payment methods.
many, going from 35% in 2023 to 12% in 2028.
There will be large growth in A2A payments towards the end of the forecast pe-
▸ As card payments are anticipated to fall across Germany’s ecommerce riod, as these payment methods become more readily available in ecommerce,
market, card-linked wallets will grow, going from being used in 13% of ecom- their convenience will lead to many more consumers utilising them.
merce transactions by volume in 2023, to 21% in 2028.
Total commerce monthly active users – Germany
A2A Payments to Experience Great Growth in Germany
▸ A2A payments are anticipated to go from being used in 28% of ecommerce Non-card Wallets Users DCB Users A2A Users BNPL Users
transactions in 2023, to 34% of ecommerce transactions in 2028, this is due 50%
to the growing popularity of both Open Banking and the existing bank pay-
ment methods which have been offered for some time.
▸ Compared to other countries in Europe, BNPL is not making as much of an

38%
impact in Germany, with it anticipated to only account for 5% of ecommerce
transactions by volume in 2028. This weakness can be attributed to strong
competition, from both credit cards and financing options from local banks,
which are very well developed.
25%
Selected Local Payment Methods - Germany
13%
A2A
2005 Acquired by Klarna in 2014.
Payments
A2A Giropay is broadly supported by

2006
Payments Germany banks. 0%
Klarna is well supported within

2005 BNPL
the German market. By 2028, 82% of the population will have used
A2A payments, this is a massive growth from
the current 42% of the population that
have used A2A payments for ecommerce.
Ecommerce checkout value % - Germany Italy
24%
Local Currency: € EUR
30%
27% 98% 59M GDP/CAPITA

27% BANKED TOTAL
POPULATION $37,509
4%
2% 1% 52M
ADULTS +7%
7% 3%
BY 2028
13%
19%
13%
5% 1%
12% 12%
2023 2028

+127%
ECOMMERCE BY 2028
MARKET SIZE
As alternative payment methods continue to grow in Germany there will be less $55B
spend on traditional ecommerce payment methods, this can be observed in the
figure above, with card-linked wallet spend falling from 19% of transaction spend CROSS-BORDER
in 2023 to 13% of transaction spend in 2028, reflecting changing user demand.
65% ECOMMERCE
MARKET SIZE
NON-CARD
LINKED $14B
MCOMMERCE
MARKET SIZE
$34B
Ecommerce checkout volume % - Italy
Key Takeaways
Card Payments in Italy to Transition to Card-linked Wallets
▸ Cards are losing share as a result of alternative payments growth, with cards’
2%
2023 share of ecommerce transaction value falling from 29% in 2023, to 4% in 2028.
▸ As such, adopting an alternative payment focused strategy is a must for mer-
9%
17% chants in Italy, and must be prioritized for merchant success.
▸ Card-linked wallets are also anticipated to grow in popularity over the forecast
11%
period from 34% of transactions by volume in 2023, to 44% of transactions by
volume in 2028.
14%
6%
A2A Payments Achieving Significant Growth
▸ A2A payments are gaining traction within Italy, rising to reach 41% of all
3% ecommerce transactions value by 2028, from 17% in 2023.
10%
27% ▸ The capabilities being unlocked by Open Banking, which is being adopted in
Italy, is allowing Italians to make A2A payments in a much easier way, with a
simpler user interface.
2% 2028 ▸ Ensuring that checkout processes mirror changing user behaviors will be
critical to maximizing ecommerce success in the Italian market.
8% 5%
Credit Cards
5%
Debit Cards Selected Local Payment Methods - Italy
Card-linked Wallets
DCB Postepay is a popular prepaid
16% 2003 Other
Cash & Equivalents card scheme in Italy.
A2A Payments
42% Pay in stores, buy phone top-
BNPL 2015 Wallet
4% ups and exchange money.
Other
Klarna acquired the Italian BNPL
2% 2005 BNPL
17% startup Moneymour
Key Payments Data Local payment methods will account for over 25% of ecommerce transactions
in Italy by value in 2028, demonstrating that cards are no longer unchallenged in
While card usage in ecommerce transactions continues to decrease in Italy,
this market.
card-linked wallets and A2A payments will gain significant popularity over the
forecast period.
Ecommerce checkout value % - Italy
By 2028, A2A payments will have grown significantly, 7% 4% 2%
5%
being the second most popular ecommerce payment
8% 21%
method by both transaction volume and value.
6%
2% 1%
1%
10%
Total commerce monthly active users – Italy 18%

16% 34%
44%
10%
12%
19% 2%
7%
8% 2023 2028

Merchants must prioritize A2A and other alternative payment methods to drive
their success going forwards, as there will be less interest in using card as a
0% payment method within ecommerce in this market.
Netherlands Ecommerce checkout volume % - Netherlands
3% 1%
Local Currency: € EUR 2023
100% 18M GDP/CAPITA

27%
BANKED TOTAL
POPULATION $60,893
15M
ADULTS +4% 45%
BY 2028
6%
13% 3%
1%
2028
1% 1%
5%
Credit Cards
15%
Debit Cards
$42B DCB
Cash & Equivalents
4%
67% ECOMMERCE
MARKET SIZE
BNPL 52%
15%
NON-CARD Other
LINKED
$5B
MCOMMERCE
MARKET SIZE
1%
$28B 1%
iDEAL Driving Strong Growth for A2A As is common in much of Europe, A2A is anticipated to experience great growth
across the forecast period, with over 93% of the population having used A2A
▸ The Netherlands is a very strong market for account to account payments, payments by 2028.
with the proportion of ecommerce transaction value via A2A expect to hit
69% in 2028, from 64% in 2023. Total commerce monthly active users – Netherlands
▸ iDEAL is well established for A2A payments and has been driving continuous
innovation in order to sustain overall ecommerce growth. Non-card Wallets Users DCB Users A2A Users BNPL Users
90%
▸ We expect iDEAL to be a key focus area going forward for merchants, as
they look to leverage the methods that local users want to access, maximiz-
ing their changes of checkout success. This will be particularly important for
cross-border merchants.
68%
Cards & Local Payment Methods to Coexist, but Growth Slowing
within the Netherlands market, with the proportion of ecommerce transaction
volume that is via cards falling to 20% in 2028, from 33% in 2023. 45%
▸ However, it is noteworthy that cards will still pay an important role within the
Netherlands ecommerce marketplace, with cross-border interoperability be-
ing a key advantage for cards in such a cross-border oriented market.
23%
▸ We expect that international websites will increasingly look to support local
Netherlands payment methods in order to maximize user satisfaction.
Selected Local Payment Methods - Netherlands

0%
A2A Pay- iDEAL is widely supported and

2005
ments well established. By 2028, credit card and debit card will account for 20%
of transaction volume of different payment methods,
Riverty was previously known as
2022 BNPL
AfterPay reflecting strong success for local payment methods.

2005 BNPL
the Dutch market.
The majority of the population in the Netherlands will be using A2A payment
methods for ecommerce, over 90% of the population will utilize it as a payment
Norway
method due to the simplicity it provides. Key Market Statistics – 2023
Local Currency: NOK - Norwegian Krone
Ecommerce checkout value % - Netherlands
10%
14%
99% 6M GDP/CAPITA
BANKED TOTAL
POPULATION $92,400
5M
ADULTS
+5%
69% BY 2028
63%
1%
1% 1%
5%
2%
13%
4%
3%
10% 3%
2%
2023 2028
+65%
ECOMMERCE
Credit Cards Debit Cards Card-linked Wallets BY 2028
MARKET SIZE
A2A Payments BNPL Other $25B
47% CROSS-BORDER
ECOMMERCE
NON-CARD
The rapid growth of A2A payment methods in the Netherlands, requires mer- LINKED MARKET SIZE
chants to alter their acceptance strategies to align with the consumer needs. $7B
MCOMMERCE
MARKET SIZE
$10B
Key Takeaways
Ecommerce checkout volume % - Norway
Local Payment Methods Growing Quickly
1%
2023 ▸ Norway is seeing a rapid transition towards local payment methods, which
has big ramifications for ecommerce merchants.
▸ Local payment methods will account for 72% of ecommerce payments by
transaction value in 2028, from 51% in 2023.
▸ This growth will be driven by the continued impact of Vipps in this market,
33%
34% as well as the rise of Open Banking within Norway, which is creating another
alternative to cards within this market.
▸ Merchants should prioritize offering A2A payment methods in order to lower
their cost of acceptance, which can be high with card payments.
Wallets Have a Large Impact in Norway

2% 19% ▸ Our payments data shows that wallets are set to grow further within Norway,
6%
1% with both card-based and non-card-linked wallets to increase their market
3%
share in terms of ecommerce transaction values through until 2028, reaching
1%
2028 25% of all ecommerce transactions by value in 2028.
▸ However, it is noteworthy that cards will still account for a large number of online
payments in 2028 by volume, showing that the card is still an enduring method
Credit Cards
within Norway, suited to payments for international purchases in particular.
Debit Cards 22%
Card-linked Wallets Selected Local Payment Methods - Norway
DCB
Cash & Equivalents Vipps is classified as A2A, and
9% A2A
52% 2015 represents a service in transition,
A2A Payments Payments
upgrading its payment rails.
BNPL
Other Local Debit BankAxept is Norway’s local
10% 1991
Card card network brand.
5% Klarna is well supported within

2005 BNPL
the Norwegian market.
1%
▸ We expect that international websites will increasingly look to support local A large amount of the population will be using A2A payment methods with 83%
Norwegian payment methods, including wallets, in order to maximize user of the population having used A2A by 2028. Non-card wallets and BNPL will
satisfaction. also have a great portion of the population having used them, with 41% and
47% having used them by 2028 respectively.
Key Payments Data
A2A payments will continue to gain traction within Norway, with digital wallets Ecommerce checkout value % - Norway
also rapidly growing, changing the ecommerce landscape within the market. 1%
By 2028, card usage for ecommerce transactions will reduce significantly, from 17% 18%
over 53% of transactions by volume to just over 30%, reflecting the success of
A2A payment methods.
29%
Total commerce monthly active users – Norway
48%
60% 4% 1%
13%
1%
1%
6%
13%
45%
19%
18%
7%
2%
30% 2023 2028

In regards to transaction value, A2A payments will make up just under half of
transaction values within Norway by 2028, achieving very strong success and
0%
showing a strong transition away from card payments.
Poland Ecommerce checkout volume % - Poland
Local Currency: PLN - Polish Zloty 1% 1%
2023
13%
97% 38M GDP/CAPITA

6%
BANKED
TOTAL
POPULATION $19,251
4%
32M 1%
1%
ADULTS +15%
BY 2028 2%
71%
3%
2028
3%
Credit Cards
5%
Debit Cards
Card-linked Wallets
9%
2%
ECOMMERCE BY 2028
MARKET SIZE DCB 1%

A2A Payments
CROSS-BORDER BNPL
ECOMMERCE Other
MARKET SIZE
82% $11B 76%

NON-CARD
LINKED MCOMMERCE
MARKET SIZE
$26B
A2A is anticipated to have a large share of the ecommerce transaction volume,
Cards Playing Limited Role in Polish Market
with A2A accounting for over 75% of the ecommerce volume and 63% of ecom-
▸ Poland will have a very small cards market by 2028, with cards expected to merce transaction value in 2028.
account for 9% of ecommerce transactions by volume in 2028, a fall from
18% in 2023. Total commerce monthly active users – Poland
▸ BLIK is one scheme which is offering an alternative, and will be important
to driving A2A payments to over 63% of ecommerce transactions by value Non-card Wallets Users DCB Users A2A Users BNPL Users
70%
in 2028.
▸ We expect BLIK to be a key focus area going forward for merchants, as they
look to leverage the methods that local users want to access and reducing
their overheads, maximizing their chances of checkout success.
53%
Homegrown Solutions to Power Poland’s Growth
▸ Poland is a market with a very strong domestic payments market, with BLIK
being a key example of innovations within the country.
35%
▸ Poland also features PayPo, a local BNPL provider which has become the
larger BNPL provider within Poland, a market that has seen decent take up of
BNPL solutions.
18%
Selected Local Payment Methods - Poland
A2A BLIK is well supported in Po- 0%

2015
Payments land.
A2A Przelewy24 operates in

2004
Payments partnership with all Polish banks
PayPo is the largest BNPL

2017 BNPL
provider in the country.
By 2028, 84% of Poland’s population will use A2A Ecommerce checkout value % - Poland
payment methods, growing from 65% in 2023. 1% 4% 1%
3%
Card is anticipated to account for a falling number of ecommerce transactions

through to 2028, and will also decrease when it comes to actual transaction
value, with card-linked wallets and A2A payments increasing when it comes to
ecommerce transaction value. 63% 63%
2% 1%
1% 3%
1%
12%
“
21%
9%
8% 4%
3%
2023 2028

Its interesting to note how
resistant Poland has been A2A Payments BNPL Other
to international payment
methods, and how BLIK
now accounts for over
70% of ecommerce
volume. Merchants can’t
afford to ignore this.
– Michael Walla,
VP, Business Innovation
Spain Ecommerce checkout volume % - Spain
Local Currency: € EUR - Euro 1% 1%
2023
99% 48M GDP/CAPITA

BANKED TOTAL
41M
ADULTS
43%
+7% 2%
BY 2028
2%
2%
15%
12%
2% 1% 2028
Credit Cards
Debit Cards

MARKET SIZE 29%
DCB 32%
A2A Payments
45% CROSS-BORDER
ECOMMERCE
BNPL
NON-CARD
LINKED MARKET SIZE Other
5%
$0B
1% 24%
MCOMMERCE 2%
MARKET SIZE
3%
$59B
Card Payments Strong in Spain, Supported by Card-linked Wallets Cards will still play an important role within Spain, whether this is via a wallet, or
directly via the cards themselves, but the extent to which this is true is reducing
▸ Spain is seeing a strong reliance on cards, with card payments, in one form between now and 2028.
or another, seeing use in over 55% of ecommerce transactions by volume
currently, however it is anticipated to fall to 34% in 2028.
By 2028, 67% of Spain’s population will have access to
▸ A2A payments currently have a 21% share of ecommerce transaction volume.
A2A payment methods, driven by the growth of Bizum.
This means that local payment methods are gaining a greater level of traction.
▸ However, the forecast of 25% of ecommerce transactions being via card-
linked wallets in 2028 means that merchants still must look to integrate with Total commerce monthly active users – Spain
these wallets via APIs, or they will fail to correctly serve their customers’
preferences.
60%
Bizum & Open Banking Bring Hope for Change
▸ While the scale of disruption in Spain from A2A payments has not yet
matched other markets, there are disruptions to come, as Bizum and Open
45%
Banking scale up in the market.
▸ As such, we anticipate that A2A payments will reach 32% of ecommerce trans-
action volumes in Spain in 2028, from 21% in 2023, representing strong growth.
▸ We expect there to be further pilots, innovations and ultimately user adoption 30%
going forward, creating change in the Spanish payments market.
Selected Local Payment Methods - Spain
A2A Bizum is a popular, bank-

2016
Payments backed A2A payments service.
Aplazame is a popular local 0%

2014 BNPL
BNPL brand.

2005 BNPL
the Spanish market.
Local payment methods will account for 36% of ecommerce transactions by
value in Spain in 2028, from 29% in 2023, demonstrating that local methods are
Sweden
becoming more popular, although at a slower rate than some European peers. Key Market Statistics – 2023
Local Currency: SEK - Swedish Krona
Ecommerce checkout value % - Spain
4% 1% 4% 1%
20% 25% 100% 11M GDP/CAPITA
3%
BANKED TOTAL
POPULATION $61,595
9M
1%
4% 1%
2%
5%
ADULTS +4%
BY 2028
32%
43%
12%
4%
24%
16%
2023 2028
+61%
ECOMMERCE BY 2028
Credit Cards Debit Cards Card-linked Wallets MARKET SIZE
A2A Payments
DCB
BNPL
Cash & Equivalents
Other
$43B
58% CROSS-BORDER
ECOMMERCE
Open Banking and Bizum have the potential to uproot traditional payment meth- NON-CARD MARKET SIZE
LINKED
ods within Spain, predominantly card, but it will take time for this transition to
occur at scale.
$16B
MCOMMERCE
MARKET SIZE
$27B
Key Takeaways
Ecommerce checkout volume % - Sweden
Swish is Driving Strong A2A Payments Growth
1%
▸ Sweden is a very strong market for account to account payments, with the
2023 proportion of ecommerce transaction value via A2A expected to hit 46% in
2028, from only 28% in 2023.
9%
▸ Swish is responsible for A2A payments growth within Sweden and has
25% reached a level of penetration that is admired in many other markets, due to
its ease of use.
▸ We expect Swish to continue to iterate and develop new features, in an effort
27%
to drive Sweden’s digital economy forwards.
Cards & Card-linked Wallets to Maintain Role

18%
within the Swedish market, they will account for just over 10% of ecommerce
6% 12%
transactions by volume in 2028.
1%
1% We expect that international websites selling into the Swedish market will contin-
1%
2028 ue to focus on cards as a well-supported part of the ecosystem, but they should
also consider offering local payment methods to maximize their appeal.
Credit Cards 6%
Debit Cards 5% Selected Local Payment Methods - Sweden
18%
Card-linked Wallets Payment Method Launched Type Comments
14% A2A Pay- Swish has 8.4 million users
DCB 2012
ments (2023)
Cash & Equivalents
A2A Payments Non-card- Largely accepted online within
2000
BNPL 8% linked wallet Sweden.
Other
2005 BNPL
46% the Swedish market.
2%
1%
Key Payments Data
Ecommerce checkout value % - Sweden
Sweden will have one of the highest rates of A2A payments use within ecom-
1%
merce in Europe, as Swish continues its success story in the market.
22% 22%
By 2028, A2A payments will reach saturation

point within the population of Sweden,
driven by the popularity of Swish. 25%
44%
1%
Total commerce monthly active users – Sweden 1%
7%
90% 1%
9%
15%
18%
68% 15%
4% 1%
2023 2028

45%
23%
The continuing growth of Swish, alongside Open Banking and other local pay-
ment systems means that Sweden is a leader within Europe for the use of alter-
native payment solutions. As such, international merchants looking to enter the
Swedish market must be aware that high banked penetration does not translate
0% into a high propensity to prefer card payments in this market.
Sweden by value in 2028, from 55% in 2023, demonstrating a rapid transition to
local payment methods for ecommerce usage.
Switzerland Ecommerce checkout volume % - Switzerland
Local Currency: CHF - Swiss Franc 2%
2023
1%
3% 9%
100% 9M GDP/CAPITA
BANKED TOTAL
7M
ADULTS +3%
BY 2028
36% 5%
15%
2028
2%
4%
Credit Cards 7%
Debit Cards
+46% Card-linked Wallets 13%

MARKET SIZE 3%
DCB
20%
A2A Payments
CROSS-BORDER
BNPL
64% ECOMMERCE
MARKET SIZE Other
NON-CARD
LINKED
$7B 50%
MCOMMERCE
MARKET SIZE
$14B
Switzerland is Seeing Strong A2A Payments Growth, Driven by Switzerland will witness a strong continuing importance of card-linked wallet
TWINT payments within the next few years, but will also see increasing emergence of
A2A payments.
▸ Switzerland is seeing strong A2A adoption, with A2A payments expected to
make up 54% of ecommerce transactions by volume in 2028.
▸ TWINT is a positive example within this ecosystem, offering a QR code-based By 2028, 67% of Switzerland’s ecommerce value
approach which has resonated with audiences in Switzerland.
will come from local payment methods,
▸ We expect A2A payments to be a key focus area going forward for merchants reflecting growth, but also a lagging behind
in Switzerland, as momentum builds. As such, building integrations will be other European payments markets.
important to achieving success.
Cards To Retain Important Role Total commerce monthly active users – Switzerland
▸ Our payments data shows that cards are set to fall in Switzerland’s ecom-
merce payments landscape, accounting for over 11% of ecommerce pay- Non-card Wallets Users DCB Users A2A Users BNPL Users
30%
ments by volume in 2028.
▸ Cards were successful in Switzerland due to the very high level of banking
penetration, as well as due to the presence of high net worth individuals.
However, we expect cards to fall with other local payment methods taking
23%
favor, as merchants seek to drive users towards lower cost options.
Selected Local Payment Methods - Switzerland

15%
Ratepay is available in Germany,
2009 BNPL Austria, Switzerland, and the
Netherlands.
TWINT is a QR-based, bank- 8%

2015 Wallet
linked system.

2005 BNPL
the Swiss market.
0%
Switzerland by value in 2028, from 56% in 2023, demonstrating strong growth.
United Kingdom
Ecommerce checkout value % - Switzerland Local Currency: £ GBP – Great British Pound
4% 0%
4%
12% 14%
100% 68M
1%
2%
GDP/CAPITA
31%
BANKED TOTAL
POPULATION $49,338
56M
45% ADULTS +4%
BY 2028
15%
4%
21%
33%
2%
12%
2023 2028
Credit Cards Debit Cards Card-linked Wallets +54%

ECOMMERCE BY 2028
Non-card-linked Wallets DCB Cash & Equivalents MARKET SIZE
$356B
45% CROSS-BORDER
NON-CARD
A2A payments will become a popular alternative to cards within Switzerland, but LINKED
ECOMMERCE
MARKET SIZE
cards will have an important role to play going forward, mainly via card-linked
wallet services, particularly as card schemes target high net worth individuals in $49B
this particular market.
MCOMMERCE
MARKET SIZE
$295B
Ecommerce checkout volume % - UK
Key Takeaways
Open Banking Underpinning Local Payment Method Growth
2% 1%
2023 ▸ The UK has been seen as a leader within the Open Banking space, having
seen early adoption compared to many other European markets.
▸ A major stumbling block to further Open Banking success is the lack of con-
2% 12% sumer awareness, which has restricted growth.
1%
1% ▸ We anticipate that Open Banking will drive A2A payments to account for 22%
of ecommerce payment transactions by volume in 2028, representing a genu-
38%
ine challenge to cards in the longer term.
Cards & Local Payment Methods to Coexist in the UK

25% ▸ Our payments data shows that cards are set to lose some of their importance
within the UK market, with the proportion of ecommerce transaction volume
that is via cards falling to 37% in 2028, from 55% in 2023.
17%
▸ However, it is noteworthy that cards will still account for the majority of online
1% payments in 2028, when including card-linked wallets. This is being driven by
2028 a long term reliance on cards within the UK payments market, longstanding
4% user familiarity, and boosts in usage with the widespread popularity of con-
Credit Cards tactless payments via digital wallets such as Apple Pay.
Debit Cards
Card-linked Wallets Selected Local Payment Methods - UK
27%
Non-card-linked Wallets 22% Payment Method Launched Type Comments
DCB
Open Banking operates under
Cash & Equivalents
Open 2018
A2A many different brands at check-
A2A Payments 1% Banking Payments out and is underpinned by Faster
BNPL 1% Payments.
2% 10%
Other
More than one million U.K. cus-
33% 2015 BNPL tomers use Clearpay at more than
1,400 top retailers
Klarna is well supported within the

2005 BNPL
UK market.
▸ As such, cards will continue to play an importance role due to their near ubiq- Local payment methods will account for just over 30% of ecommerce transac-
uitous acceptance, but other methods will grow, as merchants and regulators tions in the UK by value in 2028, from 19% in 2023, demonstrating that alterna-
look to reduce cost of acceptance for merchants. tive payment types are growing quickly.
Key Payments Data

Ecommerce checkout value % - UK
The UK will still be card dominated in transaction terms, but local payments, most
5% 5%
notably A2A payments, will lead to big changes within the UK ecommerce space.
12%
Total commerce monthly active users – UK 2%
1%
25%
1%

40% 1%
38%
46%
30%
20%
20% 12%
20%
9%
2023 2028
10%
0%
The emergence of Open Banking is facilitating non-card payments within the UK

By 2028, around 79% of the UK’s population will use market, and given the reduced cost to merchants from this approach, this is a
move we believe will accelerate over the next few years. While cards are not dis-
local payment methods, reflecting strong success, driven
appearing, they will have genuine competition in the UK market going forward.
by BNPL and A2A payments adoption.
Ecommerce and GDP forecast, 2023-2028 Total ecommerce (USD millions) GDP per Capita (USD)
2023 2028 CAGR 2023 2028 CAGR
US & Canada $1,163,305.2 $1,663,618.3 7.4% $69,344.0 $73,475.7 1.2%
US $1,077,870.8 $1,538,693.3 7.4% $71,178.3 $75,651.5 1.2%
Canada $85,434.4 $124,925.1 7.9% $53,578.4 $55,285.1 0.6%
Latin America $267,419.8 $714,912.4 21.7% $8,058.0 $8,465.3 1.0%
Argentina $18,939.3 $65,099.6 28.0% $11,182.7 $11,571.7 0.7%
Brazil $128,092.9 $341,012.3 21.6% $7,745.5 $8,121.3 1.0%
Colombia $14,230.1 $49,759.4 28.4% $6,599.3 $7,065.0 1.4%
Mexico $60,775.0 $154,425.9 20.5% $10,198.5 $10,541.1 0.7%
Other LA Countries $45,382.5 $104,615.2 18.2% $6,760.3 $7,215.8 1.3%
West Europe $1,035,498.1 $1,633,098.9 9.5% $48,085.5 $50,810.5 1.1%
Denmark $33,297.2 $48,994.4 8.0% $70,094.7 $72,468.7 0.7%
Germany $158,994.6 $241,402.5 8.7% $52,021.8 $54,421.4 0.9%
Italy $55,213.7 $125,518.2 17.9% $37,509.3 $40,263.1 1.4%
Netherlands $42,384.5 $95,615.3 17.7% $60,893.8 $63,462.4 0.8%
Norway $24,888.1 $41,112.6 10.6% $92,400.1 $97,423.0 1.1%
Spain $97,650.0 $156,329.0 9.9% $32,159.6 $34,549.0 1.4%
Sweden $42,822.2 $68,905.2 10.0% $61,595.8 $63,724.9 0.7%
Switzerland $14,022.8 $20,430.2 7.8% $95,103.9 $98,065.5 0.6%
UK $365,009.9 $562,997.1 9.1% $49,338.9 $51,378.1 0.8%
Other WE Countries $201,215.0 $271,794.3 6.2% $46,482.6 $49,445.0 1.2%
Central & East Europe $216,267.9 $489,396.3 17.7% $12,148.3 $13,307.6 1.8%
Poland $38,537.5 $96,047.1 20.0% $19,251.5 $22,065.5 2.8%
Other Central & East Europe $177,730.3 $393,349.2 17.2% $11,431.4 $12,434.8 1.7%
Indian Subcontinent $140,503.1 $363,806.8 21.0% $2,324.2 $2,927.3 4.7%
India $111,849.8 $289,879.1 21.0% $2,422.6 $3,092.4 5.0%
Pakistan $7,392.5 $20,666.8 22.8% $1,632.4 $1,783.5 1.8%
Rest of Indian Subcontinent $21,260.8 $53,260.9 20.2% $2,423.6 $3,136.0 5.3%

Ecommerce and GDP forecast, 2023-2028, continued Total ecommerce (USD millions) GDP per Capita (USD)
2023 2028 CAGR 2023 2028 CAGR
Far East & China $3,275,817.3 $5,064,638.1 9.1% $16,163.0 $18,739.4 3.0%
China $2,868,946.5 $4,470,084.3 9.3% $13,150.6 $15,806.7 3.7%
Japan $215,028.7 $316,758.0 8.1% $40,148.7 $42,009.8 0.9%
South Korea $127,674.3 $185,444.9 7.8% $35,917.8 $39,477.0 1.9%
Taiwan $22,020.4 $32,733.7 8.3% $34,138.1 $35,591.8 0.8%
Other FEC $42,147.4 $59,617.1 7.2% $11,415.5 $14,102.0 4.3%
Rest of Asia Pacific $202,418.8 $455,398.5 17.6% $7,828.6 $8,962.6 2.7%
Australia $51,116.4 $105,881.5 15.7% $65,429.9 $67,992.6 0.8%
Indonesia $44,097.6 $108,811.4 19.8% $4,638.9 $5,603.4 3.9%
Malaysia $10,913.6 $26,071.9 19.0% $12,553.0 $14,483.9 2.9%
Philippines $20,495.1 $47,121.2 18.1% $3,934.2 $4,941.1 4.7%
Singapore $8,434.5 $32,181.3 30.7% $72,560.1 $82,493.9 2.6%
Thailand $16,262.0 $42,214.9 21.0% $7,723.2 $8,929.9 2.9%
Vietnam $18,743.2 $31,358.5 10.8% $4,212.4 $5,528.8 5.6%
Other ROAP Countries $32,356.4 $61,757.7 13.8% $4,433.9 $4,822.0 1.7%
Africa & Middle East $106,056.2 $199,774.4 13.5% $4,149.9 $4,356.7 1.0%
Egypt $6,724.8 $12,144.7 12.5% $4,165.4 $4,884.5 3.2%
Ghana $1,658.3 $2,930.7 12.1% $4,413.0 $4,681.3 1.2%
Iraq $2,497.0 $4,602.8 13.0% $4,358.1 $4,639.1 1.3%
Kenya $2,192.7 $6,798.4 25.4% $2,118.4 $2,462.5 3.1%
Nigeria $10,722.1 $22,375.5 15.9% $2,111.4 $2,157.3 0.4%
Saudi Arabia $16,267.4 $26,506.5 10.3% $25,423.3 $26,976.2 1.2%
South Africa $7,960.8 $22,507.8 23.1% $7,072.8 $7,433.6 1.0%
United Arab Emirates $16,332.4 $28,408.5 11.7% $44,834.1 $51,452.0 2.8%
Other AME Countries $41,700.7 $73,499.6 12.0% $3,497.5 $3,632.5 0.8%
Global $6,407,286.3 $10,584,643.8 10.6% $12,702.0 $13,637.2 1.4%

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2024

2024 Global Ecommerce Report – Boku & Juniper Research - 1

Global....................................12 Ghana .................................... 189

2024 Global Ecommerce Report – Boku & Juniper Research - 3

2. A Uniform Approach to Payments is Flawed Norway

▸ LPMs offer a much more convincing user experience.

2023 and 2028, reaching 16%.

3. Sovereignty of Payments Systems

0% 20% 40% 60% 80%

Ecommerce Checkout Value %, Europe

Credit Cards Debit Cards Card-linked Wallets

Key Market Statistics – 2023 1% 1%

Cards Playing a Smaller Role, as Local Payment Methods Get Greater

Credit Cards Debit Cards Card-linked Wallets

All satellite images courtesy of NASA - Visible Earth

Key Market Statistics – 2023 3% 1%

Total commerce monthly active users – Asia Pacific

Credit Cards Debit Cards Card-linked Wallets

Card-linked Wallets to Take Leading Role

Broad, bank-backed network

A2A Enables A2A-based split bill

Ecommerce checkout value % - Australia

Payment Method Launched Type Comments

Non-card- WeChat Pay has over 1.13 billion

Non-card- Alipay has over 300 million us-

The app allows for payments via 0%

Local Payment Methods Users

Users of predominantly local payment methods represented 80% (603) of the

UnionPay prepaid card Easier to fund the

On average, respondents in China selected 3.7 payment 283M GDP/CAPITA

9% ▸ QRIS is boosting interoperability and leading to a more locally focused mar-

Non-card Ovo includes BNPL as a val-

Total commerce monthly active users –Indonesia

Credit Cards Debit Cards Card-linked Wallets

Other (please specify)

Buy Now, Pay Later

Charge to mobile phone bill

0% 10% 20% 30% 40% 50% 60% 70% 80% 90%

Local Payment Methods to Account for 38% of Transaction Value by

Selected Local Payment Methods - Japan

Users of predominantly local payment methods represented 41% (308) of the

I am limited by what 25M

My friends and family

Other (please specify)

0% 5% 10% 15% 20% 25% 30% 35%

Over Half of Respondents Use More than One Payment Type

16% ▸ As such, adopting a local payments-focused strategy is a must for merchants

10% A2A DuitNow is a fast growing

Non-card Wallets Users DCB Users A2A Users BNPL Users

Credit Cards Debit Cards Card-linked Wallets

Payment Types & Their Use Cases

Local Payment Methods are Most Frequently Used Online Payments

Cash on Delivery Ability to earn/rewards

0% 20% 40% 60% 80%

114M GDP/CAPITA 23%

21B Cash & Equivalents

CROSS-BORDER BNPL 51%

Payment Method Launched Type Comments

GCash offers investments and 30%

Non-card Maya offers banking services as