According to recent studies, over a third of transactions processed online from Wi-Fi/internet-connected smartphones, tablets, laptops, and desktop computers were made via digital wallets in the past twelve months.
Digital wallets, sometimes called web wallets, electronic wallets, or e-wallets, are fast becoming the payment method of choice, especially in the United Kingdom.
Here is a closer look at why digital wallet transactions look set to become the most popular way to pay for goods and services within ten years.
Why are digital wallets so popular in the United Kingdom?
Digital wallets have transformed how consumers pay for goods and services. Although some of the older digital wallets, like PayPal, have been around for more than two decades, the technology has dramatically evolved in more recent years.
They are a convenient way for consumers to pay for items at the checkout, free and easy to use, and come with extremely high levels of security. They have also become known as APMs (Alternative Payment Methods), and they are now accepted at millions of online and land-based checkouts.
The other thing that makes digital wallets so popular is that they can be used for more than just paying for goods and services. They can also be used for many other things, such as storing your personal identification, concert/theatre/sporting event tickets, hotel reservations, membership and gift cards, coupons/vouchers, and much more.
Digital wallets are also great for storing your travel (bus/plane/train) tickets, so you never have to worry about your important tickets/documents/bank card or physical money ever getting lost again.
They eliminate the need to carry around a physical wallet with you, which can easily be lost or stolen, and they are known for processing instant transactions. All you need to access your digital wallet to pay for things is a Wi-Fi/internet-connected desktop or mobile device.
Can digital wallets be used at iGaming sites?
Yes, digital wallets can also now be used at iGaming sites. For example, you could now use your PayPal account to claim your 32red casino bonus.
This trusted site also accepts bank transfers, credit and debit cards, and prepaid cards, not just digital wallets. However, a lot of players these days prefer to use digital wallets to deposit and withdraw at sites like these.
What are the most popular digital wallets in the United Kingdom?
PayPal is by far the most popular digital wallet in the United Kingdom. However, many other digital wallets that work just as well as PayPal are also becoming extremely popular.
Some digital wallets are accepted at more website checkouts than others, and some can only be used on certain devices. The most popular UK digital wallets in 2023 are the following tried and tested brands:
- Apple Pay
- Samsung Pay
- Skrill
- Neteller
- Revolut
- Trustly wallet
- Much Better
Other digital wallets that are also becoming more popular in the UK and around the world are Jeton, Google Pay, Payz (formerly ecoPayz), MiFinity, eZeeWallet, EPS, Paytm, Web Wallet, and ClickandBuy, to name a few.
It’s not uncommon to find many consumers actively signed up to three or four digital wallets. It takes just a minute or so to sign up to a digital wallet, and then your digital wallet account can be topped up in a number of ways.
You can normally link your digital wallet to your bank credit or debit card or directly to your bank account and then send funds from that card/bank account to your digital wallet.
You can also receive money from anyone with the same digital wallet as you. For example, instead of connecting your PayPal digital wallet to your bank card/account, someone else (perhaps an employer, friend, or family member) with a PayPal account can send money from their PayPal account to yours.
Final note
As technology continues to advance and people look for more secure, reliable, and convenient ways to pay for things, traditional payment methods like physical cash, credit cards and debit cards could one day become a thing of the past. It’s not hard to imagine, and based on current trends, it looks like it could happen within the next ten years.
