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Alternative Payment Methods To Boom Online
By Anna Johnson on November 19th, 2008As quoted in Clickz, research firm Javelin Strategy & Research predicts that nearly 20 percent of all online purchases during the holiday season will be paid for using alternative payment methods.
In its report, “2008 Online Retail Payments Forecast”, the research firm quoted such alternatives as prepaid or gift cards, eBay’s PayPal, and eBillMe, an online banking service, as being major winners over the holiday period.
Evidently, the ‘credit crunch’ will see online shoppers to cut down on their use of bank-issued credit cards, while increasing their use of store-branded credit cards and alternative payment methods.
Of the $42.8 billion expected to be spent online during the holiday season, Javelin estimates that or $7.8 billion or 18 percent will be paid using alternative payment methods. By 2012, this is expected to increase to one-third of all online transactions.
