31
Payments Regulation in Asia
Another recent trend is the growth of digital wallets 52 , which as of 2022, represented 12% of in-store spending and 31% of ecommerce spending, making it the most popular payment method for online spending. 53 With that in mind, it’s important to note two of the most popular digital wallets in Australia (Apple Pay and Google Wallet 54 ) typically utilize card infrastructure to process and settle transactions. For example, in its 2019 report on Consumer Payment Behavior, the Reserve Bank of Australia defined mobile wallets as “an application on mobile devices like smartphones that stores card details and allows in-person payments to be made by using the near field communication (NFC) functionality of the mobile device by tapping the device on or near a compatible terminal.” 55 In addition, the RBA explains in a research discussion paper that “‘card payments’ in this paper generally refer to transactions where respondents reported that they directly used a physical (plastic) debit or credit card or a card stored in a mobile wallet.” 56 As WorldPay data (Figures 5 and 6) segment digital wallets from card payments, it is anticipated that a significant share of digital wallet spending is card spending.
10% 15% 20% 25% 30% 35% 40% 45%
Account-to-account (A2A) Buy now pay later (BNPL) Cash on Delivery (CoD)
Credit card Debit card Digital wallet Others POS financing PostPay Prepaid card PrePay
0% 5%
2017
2018
2019
2020
2021
2022
Figure 5. Australia Ecommerce Payments Mix (2017-2022) 57
52
Inclusive of pass-through, stored value, and staged digital wallets (See report introduction for defini -
tions) 53
WorldPay-FIS Global Payments Report (2023)
54
WorldPay-FIS Global Payments Report (2023)
55
https://www.rba.gov.au/publications/rdp/2020/pdf/rdp2020-06.pdf
56
Ibid
57
WorldPay-FIS Global Payments Report (2018-2023)
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