Over the past few years, the exponential growth of the payment industry has opened the gateway for digital currencies such as cryptocurrencies, buy now pay later (BNPL), e-wallets, and more to become mainstream modes of payment in 2022.
The digital payment as an electronic trade of currencies has helped expand the digital payment market size. As a result, the global digital payment market has been looking for a payment solution that can significantly enhance the user experience by providing convenient cashless transactions.
Payment gateways, payment security, fraud management, risk management, payment processing are parts of the global digital payment market. The payment industry evolves with payment models as more platforms have started playing a more active and direct role in processing payments. Let us learn more about the digital payment trend in 2022.
How COVID Affected the Payment Industry
The growth of the digital payment industry accelerated in times of the pandemic as it unexpectedly led to the revolution of online payments and their popularity. Even after the restrictions are lifted, many markets across the globe are open to receiving digital payments.
People adopted different approaches to making payments during the pandemic, but in 2022, these payment methods will sustain.
Offline and online payment structures have transformed. Brick and mortar businesses switched to a virtual presence as it was the only viable option during the pandemic.
This way, the digital payment market size is expected to grow in a couple of months, causing many physical stores to also switch to contactless payments in post-pandemic.
While uncertainties are present regarding the global digital payment market, it is clear that the future of the economy is digital. This means that digital payment methods across the globe will last for a lot longer than predicted.
Several innovative trends in post-pandemic are also reshaping the digital payment world as the demand for online, digital, and contactless payments increases.
Contactless Payment Trends
In 2022, users demand online, frictionless, and contactless payment methods. Since the pandemic promoted the innovation of the payment industry, many Fintech startups and digital payment companies continue to offer speedier payment methods.
Providing users with new ways of making payments has increased the number of non-cash payments. According to the global payment trends, cashless transactions grew by 6% from 2019 to 2020.
The Future of Digital Money
Since digital payments have made their way into various industries such as financial sectors and banking, restaurants, retail, corporate sectors, healthcare, telecommunication, and many other sectors, digital payments market share is expected to grow with a CAGR of 10.9% during 2021-2027.
Today’s world is more gravitated towards efficient online payment solutions which offer seamless transactions. Here are various methods of digital payment in 2022.
Mobile Wallet Payments
The covid pandemic made users switch to mobile payments all over the world. All thanks to the security and end-to-end encryption of contactless payments.
With ecommerce becoming mainstream post-pandemic, every customer is looking for more mobile-friendly online payment methods.
Mobile wallets are an excellent alternate payment method as they are reliable, efficient, quick, and secure. All you have to do is download the software and link it with your credit card to pay for online purchases.
This is why mobile wallets have become the prime method of making payments in several regions.
It is notable that the world is moving towards a cashless society in 2022.
Digital wallets are called e-wallets. These offer customers an advanced way of making online payments. E-wallets require merchants and customers to sign up.
Once a user creates a digital wallet, they have to link their e-wallet account to their bank account in order to withdraw or deposit funds.
This efficient payment method lets users make instant payments. All you have to do is provide your personal information to the e-wallet account.
When you shop online, the e-wallet will automatically fill in your information on a payment form. Then you have to enter your password for activating the electronic wallet and make instant payments with a few taps on your phone.
Green payments are becoming more popular as users are becoming aware of the importance of creating a sustainable environment. In addition, various meetings draw attention to climate change, which results in users looking for more sustainability features.
According to research, about 62% of consumers will stay loyal to their bank if it provides sustainable benefits.
In addition, some modern banking features such as Visa Eco Benefits helps users understand more about the impact of the spending. Their transactions also offer donations to eco-friendly fundraisers.
Buy Now Pay Later (BNPL)
The rise of eCommerce resulted in an increased interest in installment-based payment solutions. Similar to credit cards, BNPL offers credit to users that they can use in physical and online stores.
Oceanpayment | Global Digital Payment Solution
It is crucial for businesses to adapt to the digital payment models in 2022. With the advent of technology and the betterment of the banking system comes the challenge of handling online payments in a competitive market.
Merchants must offer their customers various payment solutions to compete with other businesses. If a business fails to provide efficient payment methods, it will lose potential customers.
If your business lacks the required information regarding payment processing, you can consider third-party payment solutions to help make the payment process easier and more convenient.
Choosing the right ecommerce payment platform for your business is crucial as it can significantly increase or decrease sales and revenue generation.
Oceanpayment, a global digital payment company, is the right partner for processing payments. The experts at Oceanpayment help provide customized solutions to all your payment needs.
From managing digital payments to offering innovative solutions to various companies around the world, Oceanpayment covers every aspect of processing payments.
Merchants also do not have to partner with credit card providers for processing payments, as we will offer you the most simplified processes for payment collection. If you wish to have an all-in-one solution for managing digital payments, consult this global payment service through a phone call or contact form.