In this article you will find a short overview of the e-commerce payment methods in the Russian Federation. This information will be helpful for you if you are interested in increasing the conversions in your online shop.
Preferred Online Payment Methods
Cash-on-Delivery is the main payment method in Russia. 65% of the online buyers prefer to pay such way, especially if they can choose the express delivery.
The remaining 35% of the buyers prefer to pay in advance. Now we will talk about them.
Credit Cards and bank transfer
⇒ 15% of all customers, who choose the way to pay in advance, use credit cards. Credit or debit cards are mistrusted but used more in the Russian megacities. Mastercard has the marginally greater share of the bank card market in Russia with 53.1% share (2016).
⇒ 8% of the buyers pay for their online orders via bank transfer- offline or online. Some of customers find this way to be less risky than using credit cards. However, it makes the purchase process more complicated and of course takes more time.
Electronic payment methods with e-money
⇒ 7% of the Russian online-shoppers use electronic payment methods – electronic money like Yandex.Money, Webmoney etc.. By the way, Paypal still has to conquer the Russian Web, its market share is still too low.
To pay with e-money is gaining popularity, because e-wallets are fast and easy to use and are relatively safe. Most online payment systems work without commission for the buyer, and the commission for the store is usually 3-5%.
⇒ 6% of the payment goes through payment terminals (Qiwi, JCB and others). This method is quite convenient and is quickly gaining popularity.
The loading of an e-Wallet can be done through various channels such as top-up via credit card, bank transfer, ATM or through cash-in kiosks.
⇒ The least popular payment method is through sms messages. Due to the high commission of mobile operators this kind of electronic payment could not reach enough users.