Chart showing the Top online payment methods worldwide

Most Popular Online Payment Methods

As consumers’ shopping habits shift online and the global ecommerce market expands, online payment methods are changing along with it. In 2024, ecommerce’s share of retail sales is projected to rise by 0.7 percentage points to reach 20.1%. In other words, more than $1 of every $5 spent on retail items will be transacted online.

As an online business, knowing what the most popular ecommerce payment methods are can help you to know what forms of payment to implement. Here’s a look at the top online payment options consumers use for ecommerce purchases.

Top online payment methods worldwide

Online payment method (worldwide)

Share of total online transaction value (2023)

Digital wallets

50%

Credit cards

22%

Debit cards

12%

A2A

7%

Buy Now, Pay Later

5%

Cash on delivery

2%

Prepaid cards

1%

1. Digital wallets (50%)

A recent report shows that as of 2023, 50% of the total ecommerce expenditure worldwide is paid using digital wallets, making it the most popular online payment method among global consumers. Popular digital wallets include Google Pay, Apple Pay, and Venmo.

Not only do digital wallets have a strong lead over all other types of online payment methods, but they’re also expected to cement their top position in the coming years as the usage of many other online payment options declines. By 2027, more than three-fifths (61%) of all ecommerce spend is expected to be carried out with digital and mobile wallets. 

2. Credit cards (22%)

The second-most-popular online payment method is credit cards, which are currently used for 22% of global ecommerce sales. This should come as no surprise, considering the host of benefits of credit cards from cash back rewards to travel perks. 

3. Debit cards (12%)

Debit cards rank next on the list of the top online payment methods, with a share of 12%. Though debit cards will continue to be relatively popular online payment options for consumers, its share of online payment options is expected to fall to 8% by 2027.

4. A2A (7%)

Account-to-account (A2A) transactions accounted for 7% of online purchases in 2023 and its share is forecast to rise to 8% by 2027. According to experts, A2A payments are doing particularly well in markets like Brazil, India, in Poland.

5. Buy now, pay later (5%)

With a market value of $25.4 billion in 2022 and a projected increase to $160.7 billion by 2032, buy now, pay later (BNPL) has become one of the top online payment methods. In 2023, 5% of online transactions were carried out using BNPL.

6. Cash on delivery (2%)

Cash on delivery’s market share, registered at 2% in 2023, is anticipated to fall to 1% by 2027, highlighting a shift in consumer behavior toward digital payments and a cashless society.

7. Prepaid cards (1%)

Prepaid cards make up the top seven online payment methods worldwide in 2023, with a market share of 1%. This figure is set to hold steady in 2027.

Top online payment methods in North America

undefined

Online payment method (North America)

Share of total online transaction value (2023)

Digital wallets

37%

Credit cards

33%

Debit cards

18%

A2A

5%

Buy Now, Pay Later

5%

Prepaid cards

1%

Cash on delivery

1%

Digital wallets are strengthening their stronghold as the top online payment option worldwide, and this is no exception in North America. In 2023, digital wallets were North American consumers’ preferred online payment method, after having dethroned credit cards from their top spot a couple of years ago. As much as 37% of total online transactions in the region were done via digital wallets. 

Credit cards were the second-favorite online payment method in North America, used in 33% of the region’s total ecommerce expenditure. By 2027, digital wallets are expected to make up 51% of the total transaction value—marking a rise of 14 percentage points. By then, the share of credit cards is forecast to fall to 22%, less than half of that of digital wallets. 

Debit cards (18%), account-to-account transfers (5%), and buy now, pay later (5%) round out the five most popular online payment methods in North America in 2023. Less popular online payment methods are prepaid cards and cash on delivery, with a 1% market share each.

Want to learn more?