British consumers turning to new digital payment methods

Research by American Express reveals that one-third of British consumers (33 percent) feel confident trying new types of online payment methods when paying for products or services online.

The research, conducted in partnership with YouGov, found that the shift to spending online using new payment methods is linked to the Covid-19 pandemic. It found that one in five (20 percent) stated that the pandemic has made them “more open” to trying new forms of payment online. While 20 percent added that the pandemic has also changed the way that they think about how they pay for products and services online.

The findings show that consumers are adapting to the ‘new normal’, with 40 percent reporting that they have spent more money online since the onset of the pandemic and 60 percent added that they intend to continue shopping online more than on the high street when restrictions lift.

This upsurge in online transactions has led to consumers expecting more from online payment experiences, with two-thirds of Britons (66 percent) identifying areas for improvement in the payment method they currently use when shopping online.

The research also shows that security is one of the key considerations for consumers when choosing a payment process, with 63 percent saying they’d consider a new payment method if it offered a more secure way to pay.

Half of consumers also added that they are more likely to use a new payment product if offered by a well-known brand, showing that brand familiarity and trust are key drivers to encourage consumers to try new payment methods.

Holly Coventry, director of Pay with Bank transfer, said in a statement: “This research clearly demonstrates that the extra time - and money - spent online over the course of the pandemic has heightened consumer awareness of the pain points in existing payment processes.

“As e-commerce will continue to be critical for many businesses, they need to make sure they’re staying on top of the latest payments tech. Consumer expectations are higher than ever, so offering a fast and frictionless, but highly secure, payment option is key to long-term sales success.”

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