Payment methods are the ways customers pay for goods or services, and merchants receive those payments. They include cash, payment cards, bank transfers, digital wallets, direct debits, local payment methods, and other online or offline payment options.
As e-commerce, fintech, and digital banking continue to evolve, the number of available payment methods continues to grow. New payment formats make transactions faster and more convenient, while established methods such as cards and bank transfers continue to improve in speed, security, and user experience.
There are two payment method types – traditional and alternative. The traditional methods of payment are:
Alternative payment methods, or APMs, are payment options that do not rely only on cash or major card schemes. They usually reflect local customer habits, banking infrastructure, and regional payment preferences.
Common types of alternative payment methods include:
Alternative payment methods are especially important for merchants expanding internationally. In some markets, local payment methods are more popular than international cards, so offering only card payments can limit conversion.
Customers often use APMs to pay for online purchases. For instance, alternative payments account for 49% of the total annual volume in Europe, the Middle East, and Africa, and about 58% in the Asia-Pacific region. A business can lose from 20% to 30% of sales in these regions if it doesn't offer customers the preferred APMs. Supporting different payment methods, including alternative ones, can be a significant advantage for your business's expansion.
The right choice of payment options allows businesses to increase conversion and get more sales. Customers should be able to pay in their preferred payment methods. Otherwise, they'll likely leave your site or abandon their cart without completing their purchase.
However, adding every possible method is not always the best approach. The right payment mix depends on several factors:
For example, card payments may be enough for one market, while another may require digital wallets, bank transfers, or local payment methods to achieve acceptable conversion rates. A merchant expanding into several regions usually needs a more flexible payment setup than a business operating in one country.
Corefy helps businesses connect to and manage multiple payment methods through a single payment infrastructure layer. Instead of handling every provider and integration separately, companies can use Corefy to access payment options across cards, wallets, bank transfers, local methods, and other payment flows.
Corefy offers 600+ ready-made integrations with payment providers and acquirers worldwide, helping merchants, PSPs, and payment businesses expand payment coverage, manage transaction routing, and adapt their payment setup to different markets and customer preferences.
With Corefy, payment methods can be managed as part of a broader payment infrastructure — alongside routing, cascading, reporting, reconciliation, and provider connectivity.
