Payment cards continue to dominate e-commerce payments in Australia, reveals GlobalData


Payment cards are the preferred payment method for e-commerce purchases in Australia, collectively accounting for 50.6% share in 2023, finds the 2023 Financial Services Consumer Survey, conducted by GlobalData, a leading data and analytics company.

GlobalData’s E-Commerce Analytics reveal that the e-commerce market in Australia grew by 10.3% in 2023 to reach AUD74.9bn ($49.8bn), as an increasing number of consumers shift from offline to online purchases. The e-commerce market is estimated to grow by 9.3% to reach AUD81.9bn ($54.4 bn) in 2024.

Kartik Challa, Senior Banking and Payments Analyst at GlobalData, comments: “Australia’s e-commerce market is growing at a healthy pace. The rapid adoption of smartphones, growing internet penetration, the availability of secure online payment systems, and the increasing number of online shoppers all supported this growth.”

82% of households made online purchases in 2022

According to Australia Post, 9.4 million households in Australia made an online purchase in 2022, representing 82% of all households. Online sales accounted for 18.1% of total retail sales in Australia in 2022. Meanwhile, the presence of secure payment solutions, including Mastercard Identity Check, and faster checkout options such as Click to Pay and PayPal Express Checkout have encouraged consumers to shop online.

According to GlobalData’s 2023 Financial Services Consumer Survey, around 84% of Australian consumers reported having shopped online in the past six months, while only 6% of respondents cited that they never shopped online.

GlobalData’s survey also revealed that, among the various tools, used for e-commerce purchases, payment cards are the most preferred. They collectively accounted for a 50.6% share of e-commerce purchases in 2023, with credit and charge cards alone accounting for a 29.2% share. Card usage is driven by benefits such as reward points, cashback, discounts at partner merchants, and the availability of instalment payment facilities.

Access the most comprehensive Company Profiles
on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free
sample

Thank you!

Your download email will arrive shortly

We are confident about the
unique
quality of our Company Profiles. However, we want you to make the most
beneficial
decision for your business, so we offer a free sample that you can download by
submitting the below form

By GlobalData






Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

While payment cards continue their dominance, alternative payment solutions are also used for online purchases and collectively account for 34.2% share, with PayPal being the most preferred payment option, followed by other brands such as Apple Pay and Afterpay. Increasing usage of BNPL solutions such as Afterpay is also contributing to overall e-commerce sales.

Challa concluded: “Australia’s e-commerce market is expected to continue evolving rapidly going forward and will reach AUD109.7bn ($72.9bn) by 2028, with an anticipated compound annual growth rate of 7.6% between 2024 and 2028. Evolving authentication measures that offer enhanced security and faster checkout options will further encourage online payments”.




Source link

  • Related Posts

    Which stores accept EBT cards to make online payments?

    Here are the American citizens that can still receive SNAP payments, the former Food Stamps Currently, all 50 States accept EBT cards online. In this way, SNAP (Food Stamps) recipients…

    YAY Moments launches payment cards

    Fintech company YAY Moments has announced the launch of its payment cards in order to optimise the gift voucher experience for its customers and partners.  Following this announcement, YAY Moments’…

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    You Missed

    Which stores accept EBT cards to make online payments?

    Which stores accept EBT cards to make online payments?

    YAY Moments launches payment cards

    YAY Moments launches payment cards

    Sotheby’s Bets on High-End Trading Cards with New Fanatics Partnership

    Sotheby’s Bets on High-End Trading Cards with New Fanatics Partnership

    Dads lost to ill health remembered in commemorative Father’s Day cards

    Dads lost to ill health remembered in commemorative Father’s Day cards

    Old MTG card sees 1000% price spike due to Eldrazi commander

    Old MTG card sees 1000% price spike due to Eldrazi commander

    Deeper Drops to $60K Levels on Cards Amid Looming Concerns About ‘Death Cross’

    Deeper Drops to $60K Levels on Cards Amid Looming Concerns About ‘Death Cross’