Wednesday 10/28/20

Is PayPal the Most Popular Payment Method in Finland?

Let's take a look at some statistics to find out how Finns prefer to spend money online.

A Finnish flag. Photo: Baptiste Valthier from Pexels.
Photo: Baptiste Valthier from Pexels.

PayPal has grown to become one of the most popular digital payment methods on the planet. In Finland, however, there are a variety of different payment options which you can use online. But does that necessarily mean that PayPal isn’t the most popular banking option in the country?

Services such as PayPal are immensely popular, for example, with online gamers and casino fans. You can compare various offers on this page to see how widely-accepted the e-wallet actually is in the online gaming industry. With Finland’s gaming scene a little different to much of Europe’s casino standards, however, does this mean PayPal falls behind a little?

Finland’s Preferred Ways to Pay

Let’s take a look at some statistics from 2018 to tap into how Finnish people prefer to spend money online. Looking at e-commerce in general, it is clear that the vast majority of people buying products and services online actually stick to their banks and their cards.

A massive 41% of people in Finland don’t stray from their online banking services. What is all the more telling is the fact that a further 24% of people use cards. This is a huge sway towards traditional banking, even in the digital age!

In fact, when it comes to e-commerce, e-wallet payments are only slightly accepted amongst the masses. 13% of people in Finland reportedly used PayPal when it came to online purchases in 2018. Further down the way, still, is MobilePay, at 1%. This indicates only a small niche of payers are actively using digital wallets.

Will This Change?

Specific changes in the global atmosphere may push Finnish payers towards e-wallets. However, with it still being so easy to pay for services with cards and online banking services, there may be little growth expected at least as PayPal is concerned.

A further point to consider is the rise of cryptocurrency around the world. While some territories have adopted currency such as Bitcoin with open arms, Finland prefers to keep it at arm’s length.

There are tax laws in place in Finland which address cryptocurrency directly. However, the general consensus, in law, is that trading in crypto is a risky manoeuvre.

Therefore, with such a heavy sway towards safe, online banking in the country, a safe assumption to make would be that this is the way Finland will continue to proceed for some time.

Is PayPal Losing Its Appeal?

Taking a look at Finland’s approach to PayPal, many may wonder whether the rest of the world might be dropping away from the e-wallet, too.

However, global statistics clearly suggest otherwise. From year on year, as of Q2 2020, PayPal grew by up to 21% in terms of active accounts. This now accounts for more than 346 million different wallets worldwide.

These genuinely are staggering statistics! However, it seems Finland is keen to stick with what works – and for many people, that’s keeping to the tried and tested banks.