Online payment methods lead to increased UK e-commerce spend

New research has shown that online payment methods have led to an increase in UK e-commerce spend by over 25% in the past two years.

The study, carried out by the UK Cards Association found that 1.3 billion purchases were made online in 2014, and in only two years this total increased by a massive 38% to reach 1.8 billion. On average, 150 million transactions per month are now made using online payment methods.

UK online card spend totalled £154 billion in 2016, with an average of £422 million spent on e-commerce websites each day. Consumers in the UK spend more money online per household than any country in the world, with British shoppers spending over £4,500 online in 2015.

The average transaction value of online purchases has also recently changed. In the past, consumers would use online payment methods to carry out higher value purchases over the internet. The average value has now dropped by £9, meaning that internet shopping is becoming more commonplace for everyday purchases.

One e-commerce sector seeing a huge growth in online sales is the clothing industry, with consumers now using the internet for nearly a quarter of all clothing transactions. Event tickets are also seeing a surge in the number of internet orders, with up to 67 per cent of ticket sales now made online.

Companies who don’t provide their customers with suitable online payment methods are missing out on extra income, with previous research showing that businesses without a website are missing out on up to £20,000 per year. If they started trading online, it would lead to a boost of £8.4bn per year to the UK economy!

Make sure that your business doesn’t miss out on profits by implement online payment methods for your customers. We provide cost-effective e-commerce solutions for small business owners, starting at less than £10 per month. Get in touch today to find out how online payments could help your business grow.

Financial disclaimer:

Terminal hire contracts are provided by Merchant Rentals Limited, who is authorised and regulated in the UK by the Financial Conduct Authority (FCA) for Consumer Hire under FRN 720500. Terminal hire can be for consumer hire and non-regulated hire contracts. Please check your contract carefully for details. Regulation of all consumer hire fall under the control of the FCA.

Handepay Ltd is authorised and regulated by the FCA for Consumer Credit under FRN 673564. Handepay is a credit broker for consumer hire not a lender.

Handepay acts as an introducer of card acquiring services on behalf of EVO Payments UK, the card acquiring service provider. EVO Payments UK is the trading name of EVO Payments UK Ltd, a payment institution that is authorised and regulated by the Financial Conduct Authority (FRN number 959332).

Existing Cards Businesses- The one-month rolling terminal hire contract from Merchant Rentals is only available to businesses that are switching from their current acquirer to EVO Payments UK arranged through Handepay.

New to Cards Businesses- The 12-month terminal hire contract from Merchant Rentals is only available to businesses that are new to card payments and wish to receive acquiring services from EVO Payments UK, arranged through Handepay.

The Next Day Banking Settlement service provided by EVO Payments UK incurs an additional fee of £4 a month on top of your acquiring service charges and fees. Provided your card machine performs a reconciliation before 12am (midnight), you’ll receive settlement of funds the next banking day.

Editorial disclaimer:

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