Changing consumer expectations around checkout experiences,both online and in-store, are reshaping how retailers approach payments andsecurity across Europe. A new report by payabl. draws on a survey of 1,400consumers in the UK, Germany, and the Netherlands to explore shopping habits,payment preferences, and attitudes toward fraud protection.
Online Shopping Is Now Routine
Online shopping has become routine for many, with 48% ofconsumers shopping online at least once a week and 42% doing so monthly. Theaverage spend per transaction is £53, while a smaller segment, about 10%,regularly spends over £100. Most shoppers prefer to plan their purchases ratherthan buy on impulse, often combining orders to reduce shipping costs or forenvironmental reasons.
Payment Preferences Vary by Country
Payment choice plays a key role in customer satisfaction.PayPal remains the most preferred method across Europe. However, preferencesdiffer by country. In the UK, debit cards are the top choice. In Germany,PayPal leads by a large margin. In the Netherlands, iDEAL is the most used.Consumers choose payment methods based on speed, convenience, and security.Familiarity is less important. Incentives like cashback, discounts, or fastercheckout may encourage shoppers to try new methods.
Cash Still Dominates In-Store Transactions
In stores, cash is still widely used. Sixty percent ofrespondents said they prefer cash for in-person purchases. Contactless cardsand mobile wallets follow. Germany shows the highest preference for cash at67%. This highlights a divide between online and offline habits.
Poor Checkout Drives Customers Away
The checkout experience strongly affects consumer behavior. 43%of respondents said a poor checkout experience would stop them from returningto a retailer. Key problems include hidden fees, forced account creation, andunclear payment steps.
The need for multi-factor authentication was a lesscommon complaint. Interestingly, 60% of consumers said they had not abandoned atransaction in the last six months. This differs from retailer data, whichoften shows much higher cart abandonment rates.
“The payment checkout experience is a critical. Offeringdiverse payment preferences – including cards, digital wallets,account-to-account and the appropriate selection of localised options – removepotential barriers to purchase and leave the customer with a suitably positivefeeling about their experience,” David Birch, Global Ambassador for ConsultHyperion, commented.
You may find it interesting at FinanceMagnates.com: TheFuture of Digital Payment Trends Heading into 2025.
Security Concerns Remain High
Security remains a major concern for online shoppers.According to the report, 71% of consumers are willing to accept a slowercheckout process if it provides stronger fraud protection. However, there is noclear agreement on who should be responsible for preventing fraud.
While 44%believe it is the duty of retailers, banks, or payment processors, 25% thinkconsumers themselves should take responsibility. Another 32% are unsure. Thislack of clarity suggests a need for better communication from businesses abouthow fraud protection works.
Interest in One-Click Checkout Grows
One-click checkout is growing in interest. About 48% areopen to using it, but only if it is backed by a trusted provider like Visa orMastercard. About 23% said they would not use one-click checkout at all.
The report suggests several steps for retailers. Theseinclude offering local payment options, reducing friction at checkout, andmaking all fees clear. It also recommends allowing guest checkouts and clearlyexplaining security measures.
This article was written by Tareq Sikder at www.financemagnates.com.
