The internet has forever changed the way we live our lives. It has changed how we socialise, work, consume media, and shop, making things more efficient and far more convenient.
In the early days of the internet, debit cards and credit cards were the primary payment method. These are still widely used, but we’re beginning to see the use of specialised payment methods become more popular. Digital wallets, or e-wallets, certainly fall into this category. Let’s take a look at what digital wallets are and discuss where they are used the most. Read on to find out more.
What are Digital Wallets?
Digital wallets are a form of virtual wallet space that can be used to hold bank information, credit card details, and other financial data. This information is stored in the cloud, where it can be easily recalled and used to pay for goods online whenever required.
Digital wallets can exist on a computer, where they can be used to pay for goods on websites and in applications. They can also be stored on our mobile devices, which means they can be used in place of a physical wallet when we’re out and about.
The way in which digital wallets work is relatively straightforward. They use the internet and communicative technology such as wifi, 4G, and Bluetooth to connect with sales terminals and payment processing networks to complete transactions.
Apple Pay, PayPal, Google Wallet, Samsung Pay, and Cash App are among the most popular digital wallets currently available.
Digital wallets are incredibly convenient and mean we no longer have to carry around physical wallets and purses. They offer a greater deal of security and reduce the need for us to reveal sensitive financial information.
Online Casinos
Online gambling is booming. It now accounts for the largest sector in the gambling industry, with platforms like www.10bet.co.za – sports betting and casino – offering a huge selection of incredible games and products.
As more and more players join up with online casinos and sports betting platforms, online brands must look for new ways to improve the player experience and provide greater security benefits.
Cybercrime is a real threat, and it’s only getting worse. Scammers and hackers are constantly coming up with new ways to target people and steal their personal information. When players sign up for an online gambling platform, they will have to reveal sensitive information if they want to use credit cards or debit cards to deposit funds. This data is stored by platforms, leaving it vulnerable to attacks from cybercriminals.
By using digital wallets to deposit funds, players can enjoy a far greater deal of privacy and security. They can be used as an intermediary to facilitate transactions, reducing the need for players to reveal information, and keeping them safe from cyberattacks.
Ecommerce Platforms
The ecommerce industry is enormous, with experts tipping it to surpass a global value of $6.35 trillion by 2027. People are visiting shops and high streets far less these days. Instead, online shopping offers them a chance to browse a far greater selection of products and have them delivered straight to their front door, often within 24 hours.
This unprecedented level of convenience is the reason behind the incredible growth of the ecommerce industry. Titans like Amazon and eBay have dominated the shopping landscape and are now one of the most commonly used methods for consumers to purchase products.
Ecommerce platforms have been at the forefront of promoting new payment methods, and the use of digital wallets on these channels is becoming increasingly commonplace. As well as improved security benefits, digital wallets can also offer faster transaction speeds that are free from the costs and fees associated with traditional methods. This means that consumers can shop more quickly and efficiently and both consumers and merchants can make savings.
In Physical Stores
Digital wallets aren’t just useful for online payments. We’ve seen them become increasingly popular among consumers who are shopping in person. A recent study revealed that 20% of all in-store purchases in Germany were made with digital wallets in 2022.
Previously, consumers would have to carry their debit cards, credit cards, and cash with them when shopping in person. This leaves them at risk of losing these or having them stolen, which could have severe financial implications. By using digital wallets, the in-person shopping experience is made far safer and more streamlined.
Conclusion
As consumers move ever more into the online sphere, we can expect to see digital wallets see far more mainstream integration. They are currently most used in the online gambling and ecommerce industry, while they have also been popular amongst in-person shoppers as well.
