Jun
The Most Popular Payment Methods in APAC
By 2026, digital wallets will continue to be the dominant payment method in the Asian-Pacific region, according to data from Worldpay, FIS, and PCMI, pushed upwards not only by the overall payment digitalization but by the growth of account-to-account (A2A) schemes in some of the largest economies in the region, especially India. The graphic below offers a closer look at the e-commerce payment landscape, not only in APAC but also in other four regions:
Get insights about payment methods around the world:
At PCMI, our work in global payments market research often focuses on payment methods as clients explore opportunities in different areas, seek hard data and sights to drive new strategies, and look to achieve other goals. In this piece, we primarily share top insights on the most used payment methods in APAC, something we discussed in a recent webinar, but we did the same with other markets (see the box on this page).
Most Common Retail Payment Methods in APAC
Recent data from Worldpay provided an overview of common payment methods in the region for the following countries:
- Australia
- China
- Hong Kong
- India
- Indonesia
- Japan
- Malaysia
- New Zealand
- Philippines
- Singapore
- South Korea
- Taiwan
- Thailand
- Vietnam
When examining the Asia Pacific region, the most common payment methods at the point of sale (POS or retail) are:
Worldpay forecasts that the dominance of digital wallets will only increase in the coming years, while credit and debit cards, as well as cash, will lose ground:
In e-commerce, digital wallets are even more dominant in the APAC region, and, according to Worldpay, this will not change, as even newer methods, such as A2A transfers and Buy Now Pay Later, will probably keep the same market share:
Top Payment Methods in Selected Asia Pacific Markets
In addition to the overall megatrends in APAC, looking into specific regional markets is crucial as the payment landscape differs across countries. Below, you will find the top retail and e-commerce payment methods in selected Asian-Pacific markets based on 2023 transactional data published by Worldpay.
To facilitate browsing, choose the country you are interested in from the menu below.
TOP PAYMENT METHODS IN AUSTRALIA
Most common e-commerce payment methods in Australia
Digital wallets represent almost a third of the e-commerce payments market, followed by credit and debit cards. By 2027, Worldpay expects digital wallets to account for 45% of digital payments.
Most common retail payment methods in Australia
Despite the dominance of debit and credit cards in Australian retail, with more than 70% of payments, digital wallets are positioned to threaten this supremacy in the coming years. Worldpay projects a 30% market share for e-wallets by 2027.
TOP PAYMENT METHODS IN CHINA
Most common e-commerce payment methods in China
China leads the global adoption of digital wallets, with the method accounting for more than 80% of all e-commerce transactions by 2023. Credit cards are far behind as the country’s second most used online payment method.
Most common retail payment methods in China
The prevalence of digital wallets in Chinese retail is also significant and will only increase, reaching 79% of POS payments by 2027, according to Worldpay.
TOP PAYMENT METHODS IN HONG KONG
Most common e-commerce payment methods in Hong Kong
Credit cards are the prevailing payment instrument in Hong Kong, both in e-commerce and retail. By 2027, however, digital wallets tend to threaten this dominance, possibly reaching 41% of the market share.
Most common retail payment methods in Hong Kong
Credit cards are also the dominant payment method at POS, followed by digital wallets, which are likely to steal market share from prepaid cards and cash in the coming years — Worldpay projects a 42% market share for the method in 2027.
TOP PAYMENT METHODS IN INDIA
Most common e-commerce payment methods in India
Different from its neighbors, India has its A2A Unified Payment Interface (UPI) scheme gradually taking over its digital commerce and leveraging digital wallets’ market share — according to Worldpay, over 95% of all UPI transactions are triggered by Google Pay, Paytm, and Phone Pe.
Most common retail payment methods in India
In retail, digital wallets are also the main payment method, followed by cash and credit cards, but this tends to change in the coming years, as UPI is set to replace cash gradually. With it, digital wallets are projected to account for over 70% of all payments in Indian retail.
TOP PAYMENT METHODS IN INDONESIA
Most common e-commerce payment methods in Indonesia
Like in other APAC countries, digital wallets are the primary payment method in Indonesia’s e-commerce, followed by A2A schemes. As both methods grow, reaching almost 80% of e-commerce payments by 2027, they will contribute to reducing the cash-on-delivery market share.
Most common retail payment methods in Indonesia
In retail, wallets are also growing rapidly in market share, driven by the popularity of payments via QR codes, now standardized in the country. By 2027, Worldpay expects digital wallets to surpass cash in POS purchases.
TOP PAYMENT METHODS IN JAPAN
Most common e-commerce payment methods in Japan
Credit cards are the primary payment method in Japan, followed by digital wallets and A2A transfers. Wallet use, however, should contribute to reducing the market share of credit cards by 2027, projects Worldpay, making it the leading payment instrument in Japanese retail.
Most common retail payment methods in Japan
Cash is still widely used in Japan’s retail, accounting for 41% of all POS payments. Credit cards come right behind, but they will probably lose share for digital wallets in the coming years, which tend to reach 34% of POS payments by 2027.
TOP PAYMENT METHODS IN MALAYSIA
Most common e-commerce payment methods in Malaysia
A2A schemes are by far the most used payment methods in Malaysian e-commerce, trailed by digital wallets and credit cards — an overall picture that will probably not change much in the coming years.
Most common retail payment methods in Malaysia
Like in Japan, Cash is also widely used in Malaysian retail, but the rapid growth of digital wallets tends to change that. By 2027, they will likely answer for 44% of all POS payments in the country, according to Worldpay.
TOP PAYMENT METHODS IN NEW ZEALAND
Most common e-commerce payment methods in New Zealand
It is one of the most traditional payment markets in the region, with credit cards leading purchases in e-commerce, followed by digital wallets and debit cards, which tend to grow in market share in the coming years, reaching 31% of online transactions by 2027.
Most common retail payment methods in New Zealand
Credit cards are also the most used method in points of sale, followed by debit cards. Digital wallet usage, however, tends to grow, reaching 23% of the POS market share in 2027.
TOP PAYMENT METHODS IN THE PHILIPPINES
Most common e-commerce payment methods in the Philippines
Digital wallets have recently surpassed credit cards as the preferred payment method for online purchases. By 2027, Worldpay projects they tend to reach a 42% market share in the Philippines e-commerce, followed by A2A schemes (22%).
Most common retail payment methods in the Philippines
In the Philippines, cash is also the primary payment method in retail. As the digitization of in-person purchases increases, however, digital wallets should see their market share rise from 20% in 2023 to 43% in 2027, according to Worldpay.
TOP PAYMENT METHODS IN SINGAPORE
Most common e-commerce payment methods in Singapore
Credit cards will likely lose leadership in e-commerce payments in Singapore, with their market share dropping from 42% in 2023 to 32% in 2027, projects Worldpay.
Most common retail payment methods in Singapore
Digital wallets are poised to surpass credit card transactions also in retail. Worldpay calculations point to a market share of 44% for them in 2027, up 22 percentage points from 2023 penetration. Singapore was one of the first markets in the world to standardize and set rules for the interoperability of its QR code payments, which has been one of the main factors in the digitalization of retail payments in the country.
TOP PAYMENT METHODS IN SOUTH KOREA
Most common e-commerce payment methods in South Korea
The three main payment methods in South Korean e-commerce are credit cards, digital wallets, and debit cards – although the latter is set to lose ground, digital wallets are poised to overtake credit card usage by 2027.
Most common retail payment methods in South Korea
Credit card use at POS is the highest among APAC markets (58%). However, digital wallets, which account for 15% of retail purchases today, are likely to see their market share grow to 41% by 2027, foresees Worldpay.
TOP PAYMENT METHODS IN TAIWAN
Most common e-commerce payment methods in Taiwan
As in other APAC markets, credit cards are the primary payment method in Taiwan’s e-commerce but will likely lose a significant part of its market share to digital wallets by 2027, Worldpay projects.
Most common retail payment methods in Taiwan
Digital wallets are expected to slightly overtake credit card transactions in retail as well, representing 41% of POS payments in 2027, an increase of 23 percentage points compared to 2023 – the popularization of the QR code is helping to drive this trend forward.
TOP PAYMENT METHODS IN THAILAND
Most common e-commerce payment methods in Thailand
Thailand’s instant payment rail, PromptPay, is already the primary payment method in e-commerce, with 44% of all transactions. This only tends to increase in the coming years, leveraging the use of digital wallets, whose market share is likely to grow from 27% in 2023 to 36% in 2027, per Worldpay data.
Most common retail payment methods in Thailand
Cash is king in Thailand, the main payment method (46%) in points of sale across the country, but this is likely to change in the coming years, with digital wallets rapidly growing from 28% in 2023 to 53% in 2027 – their usage, according to Worldpay, is being driven, among other things, by PromptPay.
TOP PAYMENT METHODS IN VIETNAM
Most common e-commerce payment methods in Vietnam
Digital wallets and account-to-account schemes use will only increase in Vietnam in the coming years, going from the current 36% and 20% market share to 49% and 22%, respectively, in 2027, according to data from Worldpay.
Most common retail payment methods in Vietnam
Despite cash’s leadership in retail (38%), the use of digital wallets is growing rapidly in Vietnam – they represent 31% of purchases today but will see this market share rise to 50% by 2027, predicts Worldpay.
Next Steps
Contact us to go beyond these numbers to fully understand the payments trends in Asia Pacific. Our Asia Pacific payments market research can help your company in a variety of ways, including:
- Opportunity benchmarking
- End user insights
- Competitive intelligence
- Market sizing and projecting
And much more. Our data and insights help global payments companies determine their strategic approaches, make key investment decisions, inform product launches, understand near term market trends and guide other crucial initiatives. Contact us
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