- The ongoing digitalization of the global economy is affecting nearly every aspect of our daily lives, including the way we make payments. To better understand how consumers are changing their payment habits and how small businesses are adapting to shifts in consumer demand and market trends, Xero conducted a survey of over 6,000 adults aged 18 and older and more than 2,500 small business leaders from the United States, the United Kingdom, Australia, New Zealand, and Singapore. Based on the survey results, Xero identified three trends that help shed light on the current payment landscape for small businesses and their customers globally.
Trend 1: There is a mismatch between the payment methods offered by small businesses and the preferences of consumers.
Trend 2: The products businesses sell and who they sell to can influence customers’ payment method preferences.
Trend 3: Costs and security concerns are the primary obstacles faced by countries, but cultural, market, and economic dynamics are equally important.
- The remainder of the article presents regional survey results, such as: small businesses and consumers have the greatest fear of implanted payment chips (Australia); consumers prefer using bank cards, while small businesses continue to insist on cash (New Zealand); and Gen Z consumers are abandoning bank cards in favor of mobile payments (United Kingdom).