payment methods

payment methods
Maximizing E-commerce Success in Australia with POLi Payments: A Comprehensive Guide for International Merchants

The Australian e-commerce market continues to show significant growth. In 2024, the market is projected to reach a revenue figure of $35.92 billion. This represents a continuation of the rapid growth seen in previous years, fueled by various factors including the increasing preference for online shopping among Australian households and the rise of digital payment solutions like POLi. Additionally, the Australian eCommerce market is expected to grow at a compound annual growth rate (CAGR) of 8.33%, reaching $49.47 billion in sales by 2028​​​​.

Understanding POLi Payments in Australia

The Rise of POLi in Australian E-commerce

POLi has carved a niche as one of the most preferred online payment options in Australia, facilitating seamless Pay Anyone internet banking payments. Its integration with Australia Post’s robust infrastructure lends it unparalleled reliability and trust, making it a cornerstone of the digital payments landscape in the region.

How POLi Works

At its core, POLi enables users to conduct direct funds transfers from their bank accounts to merchants without the need for credit cards. This simplicity of use, coupled with the elimination of the need for a traditional account registration process, positions POLi as a user-friendly payment gateway for Australians and international merchants alike.

The Advantages of Using POLi for Businesses and Consumers

Instantaneous Transactions

POLi Payments are distinguished for their rapid processing, where transactions, particularly through POLi PayID, are completed almost instantly. This efficiency is paramount for businesses that prioritise quick turnaround times and for consumers who value speed in their online transactions.

Security Assured

With regular security reviews and the use of 2048-bit encrypted SSL certificates, POLi assures the utmost privacy and security for its users. Sensitive information, such as usernames and passwords, are never stored, providing a safe transaction environment.

No Registration Needed

POLi simplifies the online payment process by eliminating the need for account registration. Users can select POLi at checkout, facilitating a smoother and faster transaction process, enhancing the overall user experience.

POLi's Integration in International Payment Gateways

Facilitating Cross-Border Payments

For international merchants eyeing the Australian market, POLi serves as an essential bridge, enabling direct payments from any Australian bank. This multi-bank redirect capability ensures merchants can offer a localized payment solution, essential for tapping into Australia's lucrative e-commerce sector.

The Checkout Process with POLi

Within Australia and New Zealand:

  • Consumers select their bank from the POLi payment option at checkout.
  • They then input their internet banking credentials to authenticate the transaction.
  • Upon confirmation, the funds are directly transferred from the consumer's bank account to the merchant's account, completing the transaction.

For International Transactions:

  • A third-party payment provider comes into play to facilitate the process for transactions outside Australia and New Zealand.
  • Consumers select POLi as their payment method via the third-party provider's platform.
  • They complete the transaction as they would in a local POLi transaction.
  • The funds are first transferred to the payment provider’s local account in Australia or New Zealand.
  • Then, the funds are moved to the payment provider's international account.
  • Finally, the funds are disbursed to the foreign seller’s account, ensuring a seamless cross-border transaction.

Navigating Challenges with POLi

Region-locked

One of the primary drawbacks of POLi is its availability, which is currently limited to Australia and New Zealand. This regional exclusivity can pose challenges for international transactions, necessitating a third-party payment provider for global merchants.

Internet Reliant

Given Australia's vast landscape and varied internet connectivity, the online nature of POLi Payments means that transactions may sometimes be hindered by network stability issues, affecting the consistency of the payment experience.

POLi Fees and Transaction Costs

POLi endeavors to keep costs low, charging a modest 1.25% per transaction, capped at 3%, and a flat fee of AUD 0.95 for PayID payments. While third-party payment providers may introduce additional costs, the overall affordability of POLi transactions remains a significant advantage for businesses and consumers.

Leveraging POLi for E-commerce Growth in Australia

Market Penetration Strategies

Adopting POLi can dramatically enhance an international merchant's appeal to Australian consumers, offering a familiar and trusted payment method. This localization strategy not only boosts sales but also builds consumer trust and loyalty.

Enhancing Customer Experience with POLi

Integrating POLi into your payment options can significantly streamline the checkout process, reducing cart abandonment rates and elevating the overall shopping experience. The convenience and security of POLi payments encourage repeat business, fostering a loyal customer base.

Conclusion

In Australia's dynamic e-commerce environment, POLi Payments emerges as a pivotal solution for businesses aiming to capitalize on digital market opportunities. Its integration into international payment gateways offers a seamless, secure, and user-friendly transaction process, vital for tapping into Australia's growing online consumer base.

Ready to Embrace the Future of Payments?

Exploring POLi as part of your payment solutions is more than just offering another payment method; it's about unlocking the full potential of the Australian e-commerce market. For international merchants, the journey towards maximizing e-commerce success in Australia starts with understanding and implementing localized payment methods like POLi. Discover how integrating POLi Payments can transform your business and contact Tazapay for seamless international transactions today.

payment methods
Local Payment Methods: Top Banks in Singapore You Should Know for Your Online Payment Gateway

Familiarising yourself with financial institutions in Singapore is crucial for the successful localization of your business. As one of the most dynamic financial hubs in Asia, Singapore offers a fertile ground for expanding your eCommerce business.

Read on for a full guide to 10 of the top banks in Singapore that are pivotal for your online payment gateway, and a quick overview of the payment landscape in the country.

Banking & Payments Landscape in Singapore

The banking infrastructure in Singapore is not only steadily optimised for an increasingly digitised global economy but also well-integrated into the local populace. In 2022, Singapore topped the area of financial inclusion, beating powerhouse economies such as the United States, Britain, Hong Kong and Japan1, and attained a 92% internet penetration level in the country.2

This digital transformation is further supported by the government's proactive stance towards digitalisation, with initiatives such as PayNow and e-wallet integration enhancing Singapore's online payment gateway capabilities.

As such, the payments landscape in Singapore is largely digital, with card payments being the most popular online payment method. However, current trends in local payment solutions forecast that e-wallet payments will soon surpass cards by 2026, signalling a significant shift in consumer preferences.3

Top Banks in Singapore by Total Assets

  1. DBS Group
  2. OCBC
  3. United Overseas Bank (UOB)
  4. Standard Chartered Bank
  5. Maybank Singapore
  6. Citibank Singapore
  7. HSBC Singapore
  8. Bank of China
  9. Sumitomo Mitsui Banking Corporation
  10. BNP Paribas

1. DBS Group

DBS Bank, the largest bank in Singapore by total assets (SGD 686 billion as of 2021), was founded in 1968 by the government of Singapore. The bank excels in providing a variety of financial products and services, including personal and business banking, investment banking, and wealth management. DBS Group champions electronic payment methods for its customers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

Most third-party international payment gateways, including Tazapay, support DBS's bank redirected payment methods and card payments, catering to eCommerce transactions. Incorporating the PayNow system enhances familiarity for Singaporean buyers, fostering trust for international merchants.

2. OCBC

Founded in 1932, OCBC is the second-largest bank in Singapore with over SGD 542 billion in total assets as of 2020. It provides robust financial products and services suitable for a thriving digital economy:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayMore QR

3. UOB

UOB, ranking third in Singapore by assets with over SGD 459 billion (2021), has a prominent presence in the region, headquartered in the former tallest building in Southeast Asia. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

4. Standard Chartered Bank

A multinational presence since 1859, Standard Chartered Bank boasts over SGD 153 billion in total assets as of 2021 and is a trusted name among Singaporeans due to its long-standing reliability. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

5. Maybank Singapore

Maybank, a leading Southeast Asian bank with a strong Singapore presence (SGD 69 billion in assets as of 2021), operates over 2,600 branches across 18 countries. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR
  • Maybank2u

6. Citibank Singapore

Citibank, with SGD 52 billion in assets as of 2021, offers a diverse range of financial services, reinforcing its significant role in Singapore's banking sector. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

7. HSBC Singapore

HSBC, a global financial institution, holds approximately SGD 27 billion in assets as of 2021 and shares a historical lineage with Standard Chartered in British colonial history. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

8. Bank of China

With a robust SGD 5.2 billion in assets (2021), the Bank of China marks China’s expanding influence in the Asian digital economy. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow QR

9. Sumitomo Mitsui Banking Corporation

This Japanese banking leader, significant in Singapore, manages over SGD 5.2 billion in assets (2021) and has been a solid player since 1963. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow Corporate

10. BNP Paribas

Europe's largest banking group, BNP Paribas, holds about 3.7 billion SGD in total assets (2021) and maintains a strong European and global banking footprint. The bank offers:

  • Internet & Mobile Banking
  • Bank Transfers
  • Cards (Credit & Debit)
  • PayNow Corporate

With a clear understanding of the preferred banks in Singapore, you can better tailor your online business for the local market. Integrating with these banks through a payment gateway like Tazapay not only sets your business apart but also leverages localised payment methods to enhance customer trust.

Tazapay, operating with a 0.8%-2.5% fee for international transactions through local bank transfers, offers a compelling advantage for expanding your business in Singapore. Contact Tazapay today for more details and to take your business to the next level.

Sources

  1. S'pore ranked most financially inclusive market - The Straits Times
  2. Internet penetration in Southeast Asia as of July 2022, by country - Statistica
  3. FIS: Cards remain dominant payment method, but digital wallets projected to overtake in Singapore - The Edge Singapore