In India, non-cash payments on e-commerce platforms have seen a surge over the past six years. Ani
India saw the fastest growth in alternative payments share.
“This huge uptake of alternative payment solutions is
The report highlights that in the Asia Pacific (APAC) region, payment solutions such as mobile and digital wallets are replacing traditional methods such as cash and bank transfers for e-commerce payments.
According to the report, such alternative payments are already very popular in countries such as:
However, China took the lead in 2023, with alternative payments accounting for almost two-thirds of total e-commerce payments made across the Asia-Pacific region in 2023. However, India is not far behind, having seen a significant increase in alternative payment methods since 2018.
The company's e-commerce analysis revealed that similar trends are being seen in traditionally cash-dominated Asia-Pacific countries such as the Philippines, Malaysia and Indonesia.
“While most Asian markets are traditionally cash-centric, many markets in the region are seeing growing adoption of alternative payment methods for both online and in-store payments, even outpacing the West. This trend is driven by smartphone and internet penetration, increasing convenience of electronic payments, and the widespread adoption of mobile and QR code-based payment solutions,” said Shiv Gupta, senior banking and payments analyst at GlobalData.
The report also highlights that within the Asia Pacific region, China and India have higher adoption rates of alternative payment methods compared to other countries.
In China, the world's largest e-commerce market, alternative payment solutions account for more than 65% of e-commerce transaction value, up from 53.4% in 2018, according to the company's 2023 Financial Services Consumer Survey.
Other Asian markets such as Indonesia, Hong Kong, Singapore and the Philippines are also seeing increased adoption of alternative payment solutions.
“Alternative payment solutions have captured a significant share of the e-commerce market in many Asia Pacific countries, fuelled by rising internet and smartphone penetration and growing acceptance of digital payments by retailers. The convenience, speed and security these payment tools offer, combined with the expected high overall growth in the region's e-commerce market, are expected to further promote their adoption and revolutionize the consumer payments sector in the region,” Gupta said.
