North America eCommerce
When it comes to e-Commerce, the United States continues to be one of the super powers!
Second only to China, the United States’ e-Commerce market was worth US$606 billion in 2016. Growth has slowed over recent years, as the market enters maturity (94% of the population has access to the Internet) – but it’s still expected to see almost 30% growth over the next 4 years.
Mobile commerce is expected to drive a lot of this growth – as we predict a 57% increase from 2016 to 2020 in the United States.
Canada, on the other-hand, is a different situation. It’s the world’s leader in cross-border e-Commerce. Due to it’s proximity to the United States, 75% of Canadian online shoppers have purchased from a US website. Although the market is much smaller than it’s neighbour’s, Canada is expected to see bigger e-Commerce growth (up 41.8% over the next 3 years).
North America Payment trends
Traditional cards dominate in both markets, however Canadian’s are more likely to purchase via a credit card, than their American equivalents (who lean more towards debit cards).
However, change is on the horizon. By 2020, we expect e-Wallets to become the region’s preferred payment method. As Apple Pay and Android Pay become more widely available, 27% of all e-Commerce transactions will be made via e-Wallets (up from 19% in 2016).
Bank Transfers are also expected to increase – up from 7% in 2016 to 11% in 2020.
Both increases will come at the expense of traditional credit and debit cards – whose combined share of e-Commerce transactions, will fall from 59% to 41%.
With much of the region’s growth coming from mobile, it’s key that e-Commerce businesses optimise their mobile payment journey. Otherwise they are likely to miss out on this trend as consumers abandon their carts.
Casey Bullock, General Manager, e-Commerce North America, Worldpay eCom
“Our goal is to provide enterprise class service to our clients while supporting the health and wellbeing of our staff. Collaboration plus innovation equals results.”
Our Expertise in North America
Worldpay’s e-Commerce division has been operating in North America for over 8 years. Lead by General Manager, Casey Bullock, our team of 60 have over 100 years of combined payments experience in the region (with the grey hair to prove it!)
With our regional headquarters in the San Francisco Bay Area, we are ideally suited to assist medium to enterprise class business navigate the complexities of global payment markets. We work with hundreds of businesses across a variety of market verticals.
Companies like Google, Expedia, Airbnb and Abercrombie & Fitch work closely with Worldpay on a variety of global projects. Do you have a need to expand your business globally or are you looking to optimize your profitability in markets you already serve?
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North America Markets
As well as supporting e-Commerce payments in both the United States and Canada, we operate in over 146 markets across the globe.
Our annual Global Payments Report covers these markets in more detail.
North America Payment Preferences
If you’re unfamiliar with any of the popular payment methods in the region...