New York, May 15, 2008 -- Today's tech savvy and possibly even eco-conscious lifestyles have led to paperless shopping and bill pay. Consumers are enjoying the ease of alternative online payment systems that offer greater privacy and security features than traditional payment systems as well as multiple checkout options.
A new report from Packaged Facts, "The Alternative Payment Systems Industry in the U.S.," estimates total dollar volume of online alternative payments rose 33% over the 2006 level of $28.1 billion to $37.3 billion in 2007.
When paper payments began declining in 2003, the card and electronic payment segments of the industry increased 14% and 13%, respectively. By 2012 Packaged Facts forecasts the marketplace will see an even split for payment options: paper forms are expected to slide to 32% while electronic forms will capture 35% of the market and cards will keep at a steady 33%.
The battle between credit cards and alternative payments may end in stalemate, but the battle among alternative payment systems providers is just getting started. eBay, a long-time PayPal checkout endorser, recently banned Google Checkout from its online auction site. According to eBay, the ban is due to insufficient evidence of reliability.
"Though the market is dominated by PayPal, new alternative payment options are becoming increasingly popular," said Tatjana Meerman, Publisher of Packaged Facts. "Companies such as Amazon and Google have seen the future growth and opportunities in the marketplace and are coming on board.
Others, as diverse as Bill Me Later, OboPay, Verizon, Chase and Wachovia are all getting into the mix. Packaged Facts' all-new report, "The Alternative Payment Systems Industry in the U.S." provides an in-depth analysis of both the business-to-consumer (B2C) ecommerce market and the consumer payments market. The report presents the size and growth of the market using several key metrics, including paper payments, card payments and electronic payments, as well as trends and factors that affect the industry. Special regard is given to the activity of top players and the varied upstarts, particularly in mobile payments, hoping to steal share and further alter the old school payments paradigm. Major key competitors are profiled, along with a focused analysis of consumer payment demographics and preferences.
For further information on this report from Packaged Facts visit: http://www.packagedfacts.com/Consumer-Online-Bill-1103803.
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