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November 22, 2018
Mexico City, November 22, 2018 – In its latest Global Payments Report 2018, Worldpay Inc. (NYSE: WP; LSE: WPY), a global leader in the payments technology industry, reveals a complex landscape brimming with diversity, where alternative payment methods are rising to meet the needs of consumers online, led by eWallets and bank transfers. Cash remains the leading payment method at the point of sale, although its long reign of supremacy is nearing its end.
According to the 2018 report, the rise of eCommerce is expected to surpass $4.7tn globally by 2022. The way people shop online is changing too: alternatives to credit and debit cards now account for more than half of eCommerce transaction volume.
Juan D'Antiochia, General Manager for Latin America at Worldpay, explains that the region is a dynamic market that offers a panorama of changes and opportunities in payments. Macroeconomic winds and political instability that have limited growth in recent years are declining, reviving hopes that the region's economic potency will consolidate.
“Retail sales in general and the growth of eCommerce in particular, will far exceed the two percent estimated growth for the economy of the region as a whole. The data points to strong eCommerce growth in Latin America—with a projection of over $61bn in transactional value in 2018 rising to over $94bn in 2022,” stated Juan D’Antiochia, General Manager for Latin America at Worldpay.
D'Antiochia stresses that the increase in mobile commerce continues to shape our society, "Mobile commerce accounted for more than half (58.9 percent) of $2.3bn in global eCommerce sales in 2017, an impressive increase of 40.3 percent compared to 2016. Today our data projects that global mCommerce will surpass desktop sales by 2023.
“The smartphone is the central disruptive figure in many industries. However, it is often thought that ‘mobile’ is simply another channel. However, smartphones serve as a revolutionary catalyst, freeing all commerce from any channel conception. What started with the mobile phone is already spreading virtually everywhere.”
Results for México
According to the report, cash is most preferred byMexican consumers at the point of sale, which leaves a huge growth potential for other means of payment. eWallets are increasing as a means of payment in line with the growth of eCommerce, but still has room for growth before catching up with the current level of preference for credit and debit cards.
The report also reveals that the eCommerce market in Mexico is set to increase by 56 percent between now and 2022, set to become worth $28bn. The most popular online payment methods are credit cards at 30 percent of the market, followed by debit cards (24 percent) and charge & deferred debit (15 percent). eWallets make up 14 percent of online sales.
Latin America Landscape
The payment landscape for eCommerce is significantly more complex and dynamic:
Worldpay has published guidelines to help merchants capitalise on the global mCommerce opportunity:
To learn more about these key insights and trends in global payments, please visit https://worldpay.globalpaymentsreport.com/
About the 2018 Global Payments Report
The 2018 Global Payments Report offers a snapshot of the current payment landscape across 36 countries globally. Worldpay’s Market Intelligence team compiles the Global Payment Report using a combination of authoritative third-party vendors and other publicly available data. This compiled data was analyzed using Worldpay’s proprietary data model and categorization scheme, with support from McKinsey. The report also draws upon Worldpay’s decades of experience in providing global eCommerce solutions, informed by our processing of more than 40 billion transactions annually via more than 300 payment types, across 146 countries and 126 currencies.
The projected growth figures contained in this report were sourced from GlobalData and McKinsey and relate to the industry as a whole, not Worldpay’s business. The data has been collected using consumer surveys, B2B surveys and input from local research teams. 45,000 consumers were surveyed globally. Any indicative predictions based on the data we have used should be treated as such. No representation or warranty, expressed or implied, is made by Worldpay, Inc. and/or any of its affiliates, directors, officers, employees, agents or advisers as to the reliability, accuracy, timeliness or completeness of any information, opinions or analysis contained in this document, which is not intended to be relied upon by you or any person for any purpose whatsoever.
Worldpay, Inc. (NYSE: WP; LSE: WPY) is a leading payments technology company with unique capability to power global Omni-commerce. With an integrated technology platform, Worldpay offers a comprehensive suite of products and services, delivered globally through a single provider. Worldpay processes over 40 billion transactions annually, supporting more than 300 payment types across 146 countries and 126 currencies. The company is focused on expanding into high-growth markets and customer segments, including global eCommerce, integrated payments and B2B. Visit us at www.worldpay.com
1 Worldpay Mobile Payment Journey 2018
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