Cash is used for 9% of POS payments in Hong Kong
Aug 29, 2024
This statistic comes from latest Global Payments Report by Worldpay, which says we are ‘entering an era defined not by technology, but by people… where choice is the main driver of the payments landscape.’ In this new era, ‘cash remains relevant amid economic uncertainty.’
Cash Share and Significance
According to the report, worldwide, the share of cash use fell by eight percent in 2023. ‘Yet cash remains a vital payment tool for billions’, accounting for 16 percent ($6 trillion) of global transaction value and a double-digit share of payment value in thirty of the forty markets covered. It even sees representation in e-commerce, with two percent of transaction value made up by cash payments.
Consumers of many income strata turn to cash as a budgetary tool during high inflation and the cost of living crisis. This has led to campaigning and lobbying by consumer groups to protect access to cash.
Overall Payments and Countries Where Cash is King
Digital wallets now lead point-of-sale payments at 30 percent, with credit cards second at 27 percent, followed by debit cards at 23 percent and cash at 16 percent.
Cash is the leading payment method in twelve of the forty markets examined: Argentina, Colombia, Japan, Malaysia, Mexico, Nigeria, the Philippines, Peru, Poland, Spain, Thailand and Vietnam. In Germany, cash comes a close second to debit cards, at 36 and 38 percent of payment value respectively.
Conclusion
The report concludes: ‘Payments are now more personal than ever, with how consumers pay varying by geography, by personal economic conditions, and nuanced by what they’re purchasing.’
In this landscape, the strengths of cash shine: being an ‘always on’ payment unaffected by network outages, supporting people with managing tight budgets, and providing privacy and competition as a not-for-profit payment method in a field of profit-making options.
About Worldpay
Worldpay describes itself as an industry leading payments technology and solutions company with unique capabilities to power omni-commerce across the globe. It offers processing solutions that allow businesses of all sizes to take, make and manage payments in-person and online from anywhere in the world.
Annually, it processes over 50 billion transactions across 146 countries and 135 currencies.