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Education

2. Cash is going digital

While 52 percent of consumers are using it less often,
cash is alive and well. Thirty-one percent of in-person
transactions are still paid in cash. More importantly, 59
percent of respondents think cash is the most reliable form
of payment; 70 percent would be worried if they couldn't
access it anymore.

The biggest signal cash is here to stay is its growing
prominence as an online payment method. Over the past
12 months, eCash payments—online transactions paid in
cash—have increased: 47 percent of respondents would
prefer to make online purchases in cash; 44 percent would
buy online more often if they could pay in cash.
Five ways consumer While our survey did not ask respondents to explain why
they desired to pay online in cash, the cost-of-living crisis
spending habits have is likely a factor. Twenty-six percent of those who have
changed payment habits due to inflation are using eCash
more often. This suggests they may be using it to rein in
changed in 2022 their online spending.

and far less willing to take chances. eCash can provide
By Chirag Patel Consumers are also increasingly aware of online fraud—
Paysafe an added layer of security by making it possible to pay
without sharing sensitive financial details.
ow has the skyrocketing cost of living changed 3. Online safety comes first, but
customers’ payment preferences? What are not if it entails more friction
their expectations moving forward, and how
H do they fit with recent payment trends? In For 44 percent of respondents, security is the primary
April 2022, Paysafe interviewed 11,000 consumers in 10 consideration when choosing how to pay online. This
countries across Europe and the Americas to find out. evidently needs to be addressed upfront to drive the first
Here are the five key take-aways from that research. transaction. Seventy percent also prefer not to share their
1. Customers want more control over their spending financial details; 62 percent would worry if they weren't
asked for any security information before completing
With most households tightening their belts due to soaring payment.
prices, consumers are reconsidering how they pay online.
Forty-four percent of respondents have changed their But while security is top of mind for most customers,
habits, with the majority switching to payment methods they're not prepared to jump through an infinite number of
that track spending more accurately. hoops to make online commerce safer. Forty-four percent
Of those who have changed how they pay, debit cards are are happy with the current balance between security and
the most preferred online payment method overall. convenience; 23 percent would accept additional security
measures only if the inconvenience were minimal.
Fifty-nine percent of respondents paid with a debit card 4. Embedded payments' potential
in the month before our survey—a 5 percent increase
over 2021 (www.paysafe.com/gb-en/paysafe-insights/lost-in- is still largely untapped
transaction-consumer-payment-trends-2021/). Digital wallet Embedded payment technology, which enables non-
use also increased: 41 percent are using them more this financial brands to integrate payments into their user
year than last; 16 percent of those who changed payment journeys, attracted huge interest in 2021 (https://bit.
methods are paying with crypto more often. ly/3zDkyXe). But even though many consumers have
probably used embedded payment technology, 49 percent
By contrast, credit-based payments are trending haven't heard of the term.
downward, with one notable exception: credit cards. With
overall usage standing at 51 percent, credit cards remain The good news is that 31 percent can envision using
the second most popular payment method for online embedded payments within the next two years if they
purchases after debit cards. They're also preferred when learn more about the technology and it becomes more
the purchase is a long-haul flight, holiday, household widely available. The 51 percent who have heard of the
appliance or other big-ticket item. term also feel positive about embedded payments, with
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