The value of global e- commerce payment transactions will exceed $7.5 trillion (R117 trillion) by 2026, from $4.9 trillion in 2021– a growth rate of 55 percent over the next five years, according to a new study from Juniper Research, released this week.
The growth would be driven by retailers offering compelling omnichannel retail experiences that increased user e- commerce spending.
Omnichannel retail is a model that provides end users with the ability to access retail services, including sales and customer support, via multiple channels.
The research, titled 'eCommerce Payments: Emerging Trends, Opportunities & Market Forecasts 2022-2026', which also looks at data in South Africa, predicts that these channels, including online, mobile and physical retail locations, will be instrumental for future success. This is because users expect the same services to be available irrespective of the channel.
Additionally, it found that there is increasing appetite for new payment methods within e-commerce checkouts, including Open Banking-facilitated payments and digital wallet one-click checkout buttons. Accordingly, it recommends that merchants ensure payment options match changing user expectations, or they will be rapidly left behind.
The research found that by 2026, China would account for more than 37 percent of global e-commerce payments by transaction value, owing to its established and extensive e-commerce and payments landscape that provides greater convenience for users via easily accessible alternative payment methods.
The research recommended prioritising digital wallets, Open Banking facilitated payments and cryptocurrencies.
BUSINESS REPORT ONLINE