Europe’s e-commerce payments are at an inflection point. Card-based wallets are accelerating the fastest, while account-to-account (A2A) schemes are gaining traction in specific local markets. Buy now, pay later (BNPL) remains resilient, underscoring a broader shift toward frictionless, mobile-first payment experiences.

Figure 1. e-Commerce Payment Method Mix Evolution in Europe 

(% total e-commerce payment volume; based on top 10 European markets)

Note: Offline transfers include direct debit and offline credit and bank transfers
Sources: Global Data, local e-commerce associations, Flagship Advisory Partners

Key Market Highlights

• Card-based wallets (e.g., Apple Pay) are the primary growth engines in European e-commerce today, steadily capturing consumers’ share of wallet from traditional card rails as well as proprietary wallets (e.g., PayPal), driven by superior mobile-first frictionless checkout experiences.
  
• Local A2A payment schemes built on bank rails continue to grow rapidly in Europe, although momentum remains uneven across European markets. Solutions such as BLIK and Bizum show strong, sustained traction in their home markets, while others (e.g., Swish in Sweden) have experienced more mixed outcomes as competition has intensified.
• BNPL solutions (e.g., Klarna) also continue to demonstrate robust growth despite tightening regulatory frameworks in Europe, supported by ongoing merchant adoption and increasing demand for flexible payment options among European consumers.