In fact, cash is still the most popular form of payment for online orders and website purchases. This is especially true for unbanked consumers who don’t have access to credit or debit cards. While there are some disadvantages to using cash, such as the risk of theft or loss, there are also many benefits. For example, cash is a convenient way to make small purchases without incurring fees. It’s also an anonymous form of payment that doesn’t require a bank account or personal information. In short, cash is still a valuable form of payment, even in the digital age.
Cash transactions are not going away and Amazon recognizes this characteristic of consumer behavior. But hard cash does not work on the Internet. So now enter Amazon PayCode. Partnering with Western Union’s extensive store network, consumers can go there and pay in person with cash for online orders.
Once payment is received and referenced via a QR code, Amazon will release the order for shipping to the customer. Merchants who sell goods online via Amazon’s website will applaud, given that cash can still be king for some shoppers making website purchases.
A TechCrunch article, excerpted below, reports more on the topic:
Amazon is making it easier for customers to pay with cash for their online purchases. The retailer today announced the U.S. arrival of Amazon PayCode, a new checkout option that will allow online shoppers to pay for Amazon.com purchases at one of 15,000 Western Union locations.
Separately from this, Amazon said that its Amazon Cash service, which lets you load cash into an Amazon account, is now offered at more than 100,000 cash-loading locations across the U.S.
Prior to today, PayCode was available in 19 countries around the world, including emerging markets where paying with cash is more common and bank account penetration is lower than in the U.S. or Europe.
The service itself launched earlier this year in partnership with Western Union, and was initially available in 10 markets: Chile, Colombia, Hong Kong, Indonesia, Kenya, Malaysia, Peru, Philippines, Taiwan and Thailand. It has since expanded to Barbados, Costa Rica, Federated States of Micronesia, Kazakhstan, Marshall Islands, Mauritius, Palau, Kenya, Tanzania and Uruguay.
Overview by Raymond Pucci, Director, Merchant Services at Mercator Advisory Group
