eCommerce Transactions to Reach $8 Trillion by 2027

The $5.3 trillion eCommerce market will continue to expand rapidly; driven by increased usage in developed markets, and significant adoption in emerging markets, according to Juniper Research. As eCommerce continues to outperform brick-and-mortar retail, new and evolving payment systems will enable much greater access to the eCommerce landscape; creating significant vendor opportunities.

With an increasing variety of payment options available to consumers, eCommerce vendors must offer the most attractive payment methods for their customers. Given the cost and complexity of integrating a large number of payment options, merchants must strategically select which payment methods best support their objectives, such as BNPL (Buy Now Pay Later), to increase average order value.

“eCommerce providers must understand their customer bases to a greater extent; offering the payment options customers want and removing undesirable options. In practice, this means working with eCommerce payment platforms that not only understand and support the most common payment types in each country but also recognize how these vary by vertical & target demographic. Understanding this can substantially improve the payments experience,“ remarked research author Cara Malone.

The report urges eCommerce payment vendors to offer dashboards and data visualizations to their smaller SME customers. At present, SMEs lack access to good customer analytics, and this data could highlight consumer purchasing behaviors, as well as provide insights into payment method popularity and fraud. By offering additional services to SMEs, eCommerce payment vendors can differentiate their portfolios in an increasingly competitive and commoditized market.