Digital payments make money transfers and shopping online easier. Apps like PayPal and Venmo turn users’ smartphones and even smart watches into digital wallets. Now, you can split bills, shop, or repay your friends with just a few taps or swipes. These are convenient apps, but digital payments affect consumer habits more than you think.
Changing Spending Habits
With the existence of digital payment options, people prefer to stay at home and shop online much more these day. Due to this change in behavior, online merchants have started to accept various e-wallets such as Google Pay and Apple Pay. The same can be said for online casinos, where there is also an increasing demand to make payments with e-wallets such as Skrill and Cash App casino.
As merchants started partnering with digital payments providers, they noticed consumers started to shop online more. As a result this change the way they market products, began to change, encouraging consumers to shop online more than at their physical stores. For example, offering online only special discount offers
Besides these special deals, consumers noticed that digital wallets have their advantages over traditional payments. Shopping online allows buyers to track their spending more easily and set budgets, as well as cancel purchases mid-process. Online shopping gives more control to buyers, and it requires less effort.
Points and Reward Collecting
If you’re an e-wallet user, you’ll know how e-wallet companies actively reward users for using their services. Several traditional payment options offer similar rewards such as credit cards, but digital payment apps offer more variety. From cashback to coupons, users can get various benefits from using the app when they make purchases.
Impulsive or Over-Buying
Impulsive shopping is when you purchase an item you don’t plan on buying. This is a strong urge to own an item, even if you know you can’t really afford it or truly need it. These kinds of purchases can easily happen when shopping online with so many great offers available.
With the way online shops and stores showcase their products online, its easy to get attracted by a product or an offer and buy it impulsively. In the past we had to go to the shop to buy something, now the shops are open 24/7 online and just a few clicks away.
Digital payment makes it easy for us to pay for items that catch our eye instantly. As there are no steps between purchasing and paying besides swiping and tapping on a screen, it doesn’t feel as real as pulling out a credit card or cash at a store. Psychologically, we can’t ‘feel’ the money leaving our accounts in the same way.
Informed Purchasing
Although there’s a chance that some of us will become more impulsive as a result of the existence of digital wallets, some may become wiser. Online shops that accept digital payments often allow buyers to leave reviews. These reviews are mostly honest, and you’ll get to read each one of them, including what the person who left the worst rating says.
Online stores change consumers’ perspectives on brands. We can now compare each item’s quality with similar items from different brands. Leading some of us to find less mainstream or more unique items.
With the number of online stores taking advantage of digital payment only growing, the number of online merchants offering discounts and special deals is increasing too. This gives savvy shoppers the opportunity to do research and get the highest quality item at the lowest price.
Cashless Lifestyle
Those of us who use digital payments more often than traditional options have quickly become accustomed to the efficiency they bring. As a result, many of us have a tendency to bring little to no cash when we go out. In many cases, all you need to pay these days is a smartwatch with a digital wallet app like Apple Pay.