Despite the fact that it continues to be the most used payment method for transactions in Europe, cash payments have fallen from 72% in 2019 to 59% in 2022. Around 72% of the world population has access to immediate payments. The global BNPL market size is estimated to reach 39 billion.
Payments Observatory, an initiative of ditrendia, the digital strategy consultancy, and Pecunpay, the electronic money and payment solutions entity, under the umbrella of the Marketing Committee for Financial Institutions and Insurance Companies-MKTefa of the Marketing Association of Spain-AMKT, has presented today its second report entitled “Immediate payments as a competitive advantage”.
The 2023 report of the observatory can be consulted online on the ditrendia page. Or, the broadcast of the event can be checked on YouTube, where the main points are provided.
Close to a Cashless World?
The main conclusion of the report is that cash is still necessary, although its importance is declining over time. Just to illustrate, mobile payments have come to be preferred by 55% of Europeans. Another aspect that must be highlighted is 2020, the year of the pandemic, was crucial for the growth of digital payments.
In the observatory sessions, experts have participated in professional interviews with national and international entities. Among the opinions of the experts, the upward trend of open banking stands out, as an upward trend that is about to reach 25 million users just at the beginning of this year.
Observatory Conclusions
Among many other conclusions are the following:
Cash continues to decline: Although it remains the most widely used payment method for transactions in Europe, payment in cash has fallen from 72% in 2019 to 59% in 2022.
Digital or mobile payment is the preferred means of payment for 55% of Europeans
Contactless payment is consolidated: Mobile and digital wallets are the main means of payment worldwide, both at the traditional point of sale and through electronic commerce.
Around 72% of the world’s population has access to immediate payments and it is predicted that 427 billion transactions will be reached through immediate, instant or real-time payments in 2026.
Users demand multiple payment solutions in their shopping experience that are easy, simple, fast and without friction: the ideal situation is invisible payment, without the need to enter bank or card details.
The global BNPL market size is estimated to reach US$39 billion by 2030, growing at an annual rate of 26% from 2022 to 2030.
Despite the crisis of confidence that occurred in 2022, the crypto world is expected to grow in the coming years: it is estimated that there are more than 400 million users around the world who have some kind of cryptocurrency.
86% of central banks are actively investigating CBDC as a means of payment.
By Audy Castaneda
