Digital Transactions Authoritative, insightful and timely information for payments professionals
What can a global payments report tell you about the needs of businesses and their customers in 2024? Quite a lot, actually.
While used by multinational corporations to predict payment trends in major markets the world over, the Worldpay Global Payments Report, now in its nineth year, can also shed valuable light on consumer shopping patterns and preferences, both in-store and online, which can help businesses of all sizes adopt the fintech tools they need to capture more customer visits and more sales.
The following are key insights from the 2024 report, and what they mean to businesses.
- Digital wallets are the people’s payment choice.
Digital wallets are dominating the payment landscape as consumers around the world are choosing them above all other payment methods, online and at the POS. And with total global transaction value predicted to exceed $25 trillion by 2027, merchants may be disappointing their customers, and missing out on sales, if they’re not accepting digital wallet payments.
- Credit and debit cards continue to be strong inside and outside digital wallets.
Consumers are still heavily using their credit and debit cards; they’re just using them differently. Today, cards are powering the payments behind “pass-through” digital wallets like Apple Pay® and PayPal®. At the same time, card transaction value continues to rise even in highly penetrated card markets like the U.S.
- Global e-com growth outpaces POS by more than 2 to 1.
It’s hardly a secret that people like to shop online, but the rate of growth continues to be surprising. In 2023, eCommerce reached 14.4% globally as a percentage of all commerce, and it’s predicted to continue growing, with e-commerce forecasted to rise 7% in North America in the years ahead. The latest “Cart” technology is essential to quickly and securely process all payment types, and businesses should think beyond their websites to explore online marketplaces and social media sales channels.
- Prepaid cards will surpass $1 trillion in 2024.
Prepaid cards may sound like old tech, especially given the popularity of digital wallets, but they are still widely in use as gift cards, general purpose reloadable cards, and payroll or government-benefit distribution methods. In fact, prepaid cards are forecasted to be worth $1 trillion in global transaction value this year.
- Cash remains relevant amid economic uncertainty.
Cash may not be “king” anymore, but it is still in high use, especially among unbanked and lower-income consumers, but also among consumers at all income levels who are using cash as a budgeting tool amid high inflation. Businesses should look for payments solutions that can track all transactions, including cash, in one place for more complete and insightful business reporting.
So, what is your opportunity for 2024? The Global Payments Report points to digital wallet acceptance, eCommerce expansion, prepaid card innovation and better cash management as just a few of the ways businesses of all kinds can grow this year.
For additional insights, download the Worldpay Global Payments Report today.
