ACI, a leading global provider of real time electronic payment and banking solutions, released the results of its new Thai Commerce & Payments Study, reports Business Wire.
The survey, conducted in collaboration with DataOne Asia, asked approximately 300 consumers about their shopping habits and payment preferences for in-store, online and mobile transactions in Thailand.
Results showed that Thai people lack trust in merchants and in ecommerce, which highlights how merchants should provide secure payment options for their clients.
40% of the people surveyed are using alternative payments methods today, so it is essential that merchants offer more than card based payments. The survey provided a directional market view into the future of Thailand’s payments and commerce. Startups that offer purely card based services will find it a challenge to gain a widespread pool of customers.
“Consumers are shopping on multiple channels and demanding to pay with new payment methods,” says Adisorn Kaewbucha, CEO of DataOne Asia.
ACI Worldwide study takeaways
Lack of trust in mCommerce: Although mobile commerce is popular in Thailand, only 17% of respondents believe that their payment credentials are protected from fraud when making transactions through mobile.
Alternative payments to lead the way: More than 40% of those who shop online and from their phone prefer to use alternative payments such as e-wallets, cash on delivery and PayPal. Approximately 10 percent of credit and debit card users are expecting to use their cards less in the next year.
Cash reigns as most popular choice, but for how long? Cash is marginally the preference for P2P payments today, however, 49% of P2P payments are made using an electronic payment method. This may suggest that the trend of cash dependency may decline over the next few years, but only if consumers gain more trust in payment systems.
The digitization of payments to merchants and to peers presents an opportunity to reduce friction and costs. As both local and cross-border ecommerce continues to grow, payment service provides, merchants and consumers will demand solutions that are simple, global and secure.
A version of this appeared in Business Wire on July 27. Read the full version here.