May 23, 2017
Who knows what happens on the Internet in one minute? Well, Worldpay does. During a keynote address on the first full day of the 2017 CNP Expo, Todd McGuire, Worldpay’s chief transformation officer, detailed the findings of a global report on how and where people pay online. The report detailed what markets and products are the best for e-commerce and to which consumers mobile matters the most. And, despite calling the prediction business a “fool’s errand,” McGuire made some guesses about what the payments market will look like in five years.
Even into the next decade, he said, China and the U.S. will maintain their dominance as the two largest e-commerce markets. But, corroborating other reports, the U.S. should be looking in its rearview for India, which Worldpay expects to surpass the U.S. sometime before 2035 for second on the list. The UAE and Mexico are other markets showing significant growth.
For companies that want to take advantage of that high growth, however, a breakdown of the payment methods online shoppers in India prefer showed a far different landscape than the one that exists in the U.S. The most popular online payment option identified by Indian consumers? Cash on delivery, preferred by more than one-quarter of those polled by Worldpay. Bank transfer was second with 23 percent identifying it as their top choice, followed by debit card (12 percent) and, finally, credit card (12 percent). According to McGuire, the lesson is clear.
“If you apply your own bias based on the market you are in today,” he said, “you will fail.”