Digital wallets are projected to become the most popular payment method in Singapore, according to the 2024 Global Payments Report by Worldpay, a leading payments technology and solutions company. By 2027, digital wallets are expected to account for nearly S$34 trillion in global transaction value, representing 49% of combined e-commerce and point-of-sale (POS) sales. In Singapore alone, digital wallets are anticipated to handle S$89 billion across POS and e-commerce.
In 2023, cards remained the dominant payment method in Singapore by transaction value, accounting for 42% in e-commerce and 37% in POS. However, the increasing interoperability of regional payment systems and the success of the Singapore Quick Response Code (SGQR) — the world’s first unified payment QR code — are driving significant growth in digital wallet adoption. By 2027, digital wallets are projected to represent 44% of transaction value in Singapore, equivalent to S$14.8 billion. The report’s consumer survey revealed that Millennials are the largest cohort using digital wallets (70%), compared to just 39% of Baby Boomers.
“Payment behaviours have changed, and consumers around the globe are demanding faster and more digitised payment options. In card-rich countries like Singapore, the digital wallet is a fast-growing way to facilitate credit card transactions and provide consumers with a streamlined payment experience that thrives on efficiency,” said Phil Pomford, General Manager, Global eCom, APAC, Worldpay. “Singapore’s government has established an extremely robust infrastructure that has accelerated the use of digital wallets, and we expect to continue seeing investment by both private and public organisations in this space to broaden capabilities and partnerships – ultimately benefiting both merchants and consumers.”
APAC consumers led the world in digital wallet usage online in 2023, accounting for 70% of regional e-commerce transaction value. In APAC, digital wallets represented over US$2 trillion in e-commerce transaction value, making up more than 64% of global online digital wallet spending.
Among younger, digitally savvy consumers, the Buy Now, Pay Later (BNPL) payment method remains highly favored and is forecast to grow at a CAGR of 8% in Singapore from 2023 to 2027. In Singapore, 77% of Gen Z survey respondents reported using BNPL, compared to 47% of Millennials, 28% of Gen X, and 13% of Baby Boomers.
About The Global Payments Report
The Global Payments Report 2024 offers a snapshot of today’s payments landscape: globally, by region and in 40 select markets. The report tracks consumer payments when shopping online and at the point of sale, identifies key payment trends, and projects future scenarios for payment method shares as well as market size. The report’s data was collected using a survey of 48,000 consumers, secondary research, and extensive validation by payments experts from each region; the complete research methodology is published as an appendix to the report. Published continuously since 2015, the Global Payments Report is an industry benchmark used by merchants, financial institutions, press and researchers around the world.
Download the complete report at https://worldpay.globalpaymentsreport.com/
