The Rapyd 2020 Asia Pacific eCommerce and Payment Study conducted in March and April across seven countries in APAC reveals the most frequently used and preferred payment methods of 3,500 consumers
SINGAPORE, June 11, 2020 /PRNewswire/ -- Rapyd, a global Fintech as a Service company, has released its 2020 Asia Pacific eCommerce and Payment Study. The study analysed the financial habits, payment methods, considerations, and preferences of consumers in seven Asia Pacific countries, uncovering how consumer buying expectations and behaviours are evolving in an increasingly digital world.
The research, conducted in March and April 2020, surveyed 3,500 online consumers – 500 respondents per country in India, Indonesia, Japan, Malaysia, Singapore, Taiwan, and Thailand. The results highlight a quick rise of new payment technologies that have emerged in recent years and gained rapid adoption and popularity by offering a convenient payment experience, adapting to local context, and providing access to digital payments for traditionally underbanked communities.
The study helps businesses gain insights into consumer buying habits and payment diversity in Asia, helping eCommerce and mCommerce businesses increase their addressable audience and include new customer segments into the Internet economy by adopting the most relevant digital payment options, as buyers go increasingly cashless during the current health crisis.
E-commerce and mobile-commerce in the seven countries is worth some $355 billion, as presented in the study. Southeast Asia's internet economy hit $100 billion in 2019 and is expected to grow to $300 billion by 2025.
Joel Yarbrough, Vice President for Asia Pacific, Rapyd said: "Since the beginning of the global pandemic, going digital is no longer optional. eCommerce is now the new baseline. All over Asia, we see stratospheric growth in digital payment methods, with local patterns and local winners in every country. With this report, Rapyd provides businesses with the local market insights on payment behaviors, brands of choice, and technologies that are critical in creating a relevant checkout experience for consumers today."
Challenge for Card-Only Merchants
While cards and card-powered mobile wallets are dominant in Japan (61%) and Taiwan (51%), across markets, there is a dramatic uptake of eWallets and bank transfers as preferred ways to pay.
Taken together, eWallets and bank transfers represent the emerging wave of payments - particularly where they are enhanced by interoperable Real-Time Payment (RTP) systems like India with UPI (64%) and Thailand with PromptPay (62%). Even in a card-preferring market like Singapore, together eWallets and bank transfers, including PayNow, are preferred by 42% of respondents, swinging all the way to 78% in Indonesia.
Key findings for each country include:
Consumers in the region and current conditions continue to push businesses towards digitalisation and as digital adoption accelerates, it is essential for businesses to invest in the right technologies to build a strong online presence supporting mobile and social commerce trends catering to each market. This localisation is the key to sustaining the business in the time of the COVID-19 crisis, and for speedier recovery and further long-term growth.
Access the Rapyd Asia Pacific 2020 eCommerce and Payment study here.
Rapyd does for fintech what the cloud did for IT. It has built the world's largest local payments network to power frictionless global commerce. Innovative ecommerce companies, technology firms, and marketplaces use their Fintech as a Service platforms: Collect, Disburse, Wallet, and Issuing to seamlessly integrate payment capabilities into their applications. The Rapyd Global Payments Network covers 900+ locally preferred payment methods, including bank transfers, ewallets, and cash in more than 100 countries. Now businesses can open new markets, create new fintech applications, and reach four billion consumers worldwide without thinking about infrastructure or regulations. Investors include Stripe, General Catalyst, Oak FT, Tiger Global, Durable Capital, Target Global, and TaL Capital. For more information, visit www.rapyd.net, read our blog, or follow us on LinkedIn and Twitter.