What is Paysafecard?
Founded in 2000 and based in Austria, Paysafecard is one of the most widespread prepaid online payment methods in the world. What differentiates it from other payment solutions is that consumers can make online transactions using a 16-digit PIN purchased in physical points of sale, such as stores, gas stations, etc. Operating in over 650,000 sales outlets across more than 50 countries, the search feature on the Paysafecard website or mobile app allows shoppers to easily locate the nearest selling point. Paysafecard is an ideal and reliable payment option for consumers who don't have a bank account or don't want to share their personal or financial data when initiating a payment.
It’s worth mentioning that there’s a Paysafecard prepaid card run by Mastercard that enables consumers to make payments online or offline in the same way as with a payment card. To keep the account full, the customer just needs to transfer funds from their online ‘my paysafecard’ account to the prepaid card.
How does Paysafecard work?
At online checkout, the customer selects “Paysafecard” as their payment solution of choice. Once redirected to the platform’s login page, the consumer inputs their 16-digit Paysafecard PIN found on the prepaid card underneath a scratch away layer. Following the onscreen instructions, the consumer needs to review the transaction details and authorise the payment, while the amount paid is automatically deducted from the card. At the end of their shopping journey, the consumer may return to the merchant’s success URL.
The Paysafecard account is the customer's online payment account that allows them to pay using their username and password over long codes. By entering their 16-digit PIN code on their Paysafecard account or the Paysafecard mobile app, consumers can also check their transaction history as well as their remaining account balance. It's worth noting that shoppers can combine up to ten Paysafecard PINs to perform a single larger transaction.
What areas and verticals does Paysafecard serve?
Paysafecard’s geographic coverage is broad, as it’s available in the following list of countries: Australia, Austria, Bulgaria, Belgium, Canada, Czech, Croatia, Cyprus, Denmark, Germany, France, Finland, Gilbert and Ellice Islands, Greece, Gibraltar, Hungary, Italy, Ireland, Lithuania, Luxembourg, Liechtenstein, Malta, Mexico, Norway, Netherlands, New Zealand, Peru, Portugal, Poland, Romania, Slovenia, Slovakia, Sweden, Switzerland, Spain, Uruguay, United Kingdom.
At the same time, the industry verticals served by this payment solution include travel, forex, gambling, general eCommerce, retail, and gaming.
How big is Paysafecard penetration in the market?
As of 2020, Paysafecard reported that more than 176 million transactions were processed on a global scale, while over 4,000 online stores collect payments via prepaid cards for safe and seamless transaction processing.
A report from GlobalData reveals that the highest prepaid card penetration was recorded in Italy (60.5%), with Gen Z being the demographic cohort that embraced this payment solution the most (67.5%), followed by the Silent Generation (63.6%), Millennials (61.9%) and Gen X (57.9%) in 2021. The top eCommerce category in that region is retail, with health and beauty accounting for 12.7% of prepaid card payments, home and garden goods for 12.5%, as well as clothing and footwear for 11.4%. Travel is an equally promising sector for paying with prepaid cards standing at 11% while music/films/games/books and gambling services are marching next with 10.7% and 10.1%, respectively.
Benefits of using Paysafecard
For an Austrian company that has a global presence and is constantly expanding its acceptance, the benefits of using Paysafecard are endless.
Here are a few:
- Payment guarantee with real-time confirmation and no risk of chargeback
- Trusted and secure buying process, as consumers don’t need to divulge their sensitive credit card or banking details
- Familiarity with language and currency localisation
- Convenience for unbanked users who want to make online purchases
Accepting Paysafecard payments with emerchantpay
Paysafecard lives up to its name – it delivers safe, instant and easy payments, as users are not expected to reveal their personal and/or banking information to authenticate a transaction. Accepting payments via Paysafecard can also help merchants worldwide reach out to unbanked populations or new consumer segments with a limited credit card usage for maximised sales volumes.
No doubt, Paysafecard represents a valuable addition to the existing payment methods of your eCommerce store. Working with a payment service provider that has a global acquiring network as well as a firm grasp of your local target markets and their preferred payment methods can be a leap closer to your business growth. Our team of specialists, based all over the world, can support merchants across many verticals with navigating the regional payments landscape and streamlining their customer's checkout experience.
Get in touch with our team and find out how you can integrate Paysafecard into your payments system today.