For Consumer Market Research Professionals (Length: 17 pages)

May 16, 2008

Growing Payment Options Advance eCommerce In Asia Pacific

Regional Payment Options Emerge To Better Address Local Consumer Needs

by Dia Ganguly

with Reineke Reitsma, Jonathan Browne, Serena Goldberg

Executive Summary (This is a document excerpt)

Asian consumers are often on the forefront of technology adoption; however, this is not the case when it comes to eCommerce adoption for consumers in Japan, China, and India. Forrester's Asia Pacific Consumer Technographics® Survey, Q4 2007, asked consumers who had never shopped online what the most important barrier holding them back was. Top impediments are payment-related: Online financial security worries metropolitan Chinese and Japanese consumers, while a lack of credit cards is the top barrier for many metropolitan, affluent Indian consumers. As a result, in each of these markets, unique payment landscapes exist to adapt to these concerns. The growing popularity of new payment options will convince new consumers in each market to purchase content, goods, and services online. Retailers seeking to sell their goods and services online in Asia Pacific need to address consumers' payment concerns and barriers. Some steps that retailers should take include: 1) selecting one key payment option beyond cash and plastic cards; 2) selecting third-party payment options with the largest membership base; 3) leveraging the trust of well-known local third parties by incorporating their services; and 4) keeping an eye on mobile payment developments.