76
77
CMSPI – IAC State of the Industry Report
CMSPI – IAC State of the Industry Report
Section 4 – The Payments Mix
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Others Prepaid Card PrePay
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The payments mix refers to the different types of payment instruments consumers use when purchasing goods and services from merchants, including cash, card and digital wallets. The mix itself is ever-changing and is shaped by the key stakeholders in the payments supply chain, including consumers, issuing banks and merchants. Understanding the payments mix is an important consideration for merchants because it determines key factors such as the cost of payments acceptance, transaction approval rates and fraud. Section 4.1 – Payments Mix by Region There are vastly different payments mixes across the globe. In some countries, cash continues to be the most prominent consumer spending type, while in others debit or credit card spending clearly leads the way. We also observe a rapid rise of non-cash-or-card Digital Payment Methods (DPMs) globally across POS and Ecommerce channels (Graphs 4.1 and 4.2), largely driven by large digital wallet volumes in China.
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Cash on delivery Buy now pay later Account-to-account
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Debit Card Credit Card Digital Wallet
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Graph 4.2 – Global Ecommerce Share of Spending by Payments Method (2019-2023)
Section 4.1.1 – Payments Mix in the Americas Card payments are the most prevalent payment method in the Americas, with all 5 countries covered seeing debit and credit cards the largest payment type for both POS and Ecommerce transactions (see Section 4.2). In Brazil, Chile and Mexico, cash volumes at the POS remain high, although cash has fallen below 15% of POS spending in both the U.S. and Canada (see Section 4.3). Digital Wallets are now a major source of spending in the Americas, particularly in the Ecommerce space. Although a large portion of this spend is with PayPal, there are several new and innovative developments in digital payments across the region (see Section 4.4).
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POS Financing Prepaid Card Cash Debit Card Credit Card Digital Wallet
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Graph 4.1 – Global POS Share by Payments Method (2019-2023) 126
126 Worldpay Global Payments Reports (2020-2024)
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