A new study by Juniper Research1 suggests that the pandemic has altered people’s relationship with digital wallets. According to the research, the number of digital wallet users globally hit 2.6 billion in 2020, with that figure expected to reach 4.4 billion by 2025. In the US alone, digital wallets accounted for 29.3% of e-commerce sales in 2020, up 6% on 2019, and they’re expected to soon overtake credit cards as the primary online payment method.
Dan Brames, EVP at fintech company FIS2, says the rising popularity of the online payment method is due to its ease of use. “Wallets definitely streamline the checkout process, particularly on e-commerce, because there’s no manual entry of the information. It’s pretty much just enter and go,” he said3.
Did you know, the payment methods you offer your customers at checkout could be the difference between winning or losing a sale? Discover which ones you should be considering with our guide to the new ways to pay.
It’s no secret that e-commerce has been one of the biggest beneficiaries of the pandemic, as locked-down consumers turned to online shopping in record numbers. Yet, as the world begins to reopen, many online brands may be wondering how they can evolve to continue their relationships with consumers beyond the screen.
In New York City, dating app Bumble4 is preparing to open its first all-day eatery, Bumble Brew. The café – in collaboration with restaurant Pasquale Jones – is designed to be a space for friendly catch-ups, networking and, of course, dates. Bumble Brew will boast an all-yellow interior to bring the app’s signature branding into a physical space.
During the pandemic, like many other companies, Bumble adapted to the “new normal” with extra investment in its digital channels – video calls on the app in the US increased 70% from the week ending on March 13, the day a national state of emergency was declared5. But now the brand is exploring offline collaborations, with plans to expand its hospitality experiences to further locations if Bumble Brew is a success.
Shopify6 has revealed its new Payments Platform during its annual Shopify Unite event. The new feature will allow the integration of third-party payment gateways into Shopify Checkout, so merchants can add them as payment options for their customers. The payment gateways can be created as Shopify apps.
“This opens Shopify to a broader ecosystem of gateways that offer niche functionality and brings new business value to merchants by helping them sell more, in more places”, the e-commerce software provider explains7.
Shopify has also made its checkout faster, meaning online retailers now have the capacity to handle tens of thousands of purchases per minute – particularly crucial during peak sales periods like Black Friday. Furthermore, the addition of Checkout Extensions will let developers build apps into Shopify Checkout – customizations that will also work in Shop Pay.
E-commerce platform BigCommerce8 has announced it will expand to France, Italy and the Netherlands, offering online businesses there access to a service “that’s built to sell on a local and global scale.”9
BigCommerce’s software already powers over 60,000 merchants worldwide, and the current expansion will let local merchants “manage their store(s) in their local language, as well as create a fully localized website experience for their shoppers, with their local payment methods and currencies”, a statement from the company said10.
“In the UK as well as France, Italy and the Netherlands, the volume of e-commerce sales is growing year on year. It is estimated Eurozone e-commerce sales are expected to total 448 billion euros by the end of this year alone”, the company added.
The results from Amazon Prime Day 2021 are in – and it’s good news for marketplace sellers. For the second year in a row, sales of marketplace products grew faster than Amazon’s own products11.
During the event, Amazon offered “curated small business collections”, where consumers could filter marketplace sellers’ products by merchandise category, business location, and collections such as Black- or woman-owned businesses.
Overall, Prime members purchased more than 250 million items worldwide during the 2021 event, which was held over June 21 and June 22. Best-selling categories worldwide included tools, beauty, nutrition, baby care, Amazon devices, electronics, apparel and housewares.
Thinking of selling on Amazon? Check out our guide to the leading online marketplaces for everything you need to know to hit the ground running.
1 - Juniper Research, Canvas8, July 2021
2 - FIS
3 - Dan Brames quote, Canvas8, July 2021
4 - Bumble
5 - Canvas8, July 2021
6 - Shopify
7 - Shopify statement, Ecommerce News Europe, July 2021
8 - BigCommerce
9 & 10 - BigCommerce statement, Ecommerce News Europe, July 2021
11 - Digital Commerce 360, June 2021