According to STICPAY, a renowned digital payment service, technological improvements and security, along with the COVID-triggered drop in cash payments have resulted in a sharp increase in e-wallets adoption throughout Europe.
Mobile payment wallets may be used for two sorts of transactions: e-commerce and point-of-sale (POS) transactions. Between 2016 and 2020, e-commerce payments in Europe increased by 14% annually, with a 10.1 percent growth rate predicted to persist until 2024. As a result, mobile payment wallets are on the increase.
But Europe is a highly complex and fragmented market. The continent can be categorized into nations with:
- Many internet users and fast e-commerce growth, such as Spain and Sweden.
- High internet adoption and medium e-commerce growth, such as the United Kingdom and other Northern European countries.
- Low internet usage but fast growth, such as Russia and Turkey.
- Low internet adoption and slow growth, such as in Belgium, Poland, and Ireland.
From a possible low of 7.4 percent CAGR in Belgium to a projected high of 22 percent CAGR in Turkey, e-commerce in Europe is predicted to rise rapidly through 2024.
This anticipated surge of e-commerce in Europe is great news for the mobile payments sector. In 2020, an impressive 26.4 percent of e-commerce payments in the area happened via digital wallets–and electronic wallets are the most popular payment option in the five main e-commerce markets in Europe: France, Germany, Spain, Russia, and the United Kingdom.
This influence is predicted to expand, with e-wallets expected to make up nearly 30% of all e-commerce payments in European markets by 2024.
In Europe, digital wallets have experienced an increase in POS payments. Due to the epidemic, cash transactions declined dramatically worldwide in 2020, with many POS payment options closing or allowing only contactless payment methods.
Electronic wallets were already gaining traction, but COVID-19 has hastened the shift away from banknotes by three years.
Nevertheless, card payments (credit and debit) are still the most preferred mode of payment for point-of-sale transactions in Europe, but e-wallets are picking up steam.” Right now, they are the most common way of payment for internet shopping, and it won’t be long before they’re the same for POS transactions.
Payment industry guru Taylor Cole is a passionate payments expert who understands how to get the best e wallet uk. He also writes non-fiction on subjects ranging from personal finance to stocks to cryptopay. He enjoys eating pie with ice cream on his backyard porch, as should all right-thinking people.