Profiling Users of E-Payment Systems in Russia 2015

For eCommerce players entering the Russian market, one of the most frequently asked questions concerns the forms of online payments in Russia.  Businesses entering the Russian market naturally want to know how to make it easy for their Russian customers to pay for goods and services.  Among other options like cash on delivery and credit card, online payment systems are becoming increasingly popular with Russian users who are learning that these systems can be trusted and that they offer an easy method for making online transactions.

Yandex.Money, one of Russia’s most popular online payment systems, teamed up with TNS to conduct research on Russians’ use of e-payment systems.  The research team conducted surveys with Russians between the ages of 20 and 44 who live in cities with populations over 700,000.  Users were asked about their knowledge of various e-payment systems, platforms for use, frequency of use, and types of purchases. The research provides a clear picture of the current status of e-payment systems in Russia.

Cash on delivery payments continue to be a popular method for Russians to pay for online purchases but still people are familiar with other payment options.  By now Russians are fully aware of e-money as a payment method.  Generally speaking the population has caught up to the growing trend.

awareness of noncash payments 2015

Approximately three quarters of surveyed Russians use e-payment systems at least once per year.  Users similarly use online banking, bank cards, and most popularly offline payment kiosks.

Russia noncash payment systems 2015

Almost half of the respondents utilize e-money options several times per month. Desktop continues to be the dominant method for making e-money payments.  When it comes to mobile e-money use, respondents generally used the payment methods approximately 15-25% less on mobile than desktop.

Russian use of emoney 2015

Fewer people strictly make smartphone e-payments with only 7% of users making their e-payment transactions on their phones.  53% of respondents only use e-money on their desktops.  A significant portion of Russians use both their phones and their desktops to make online purchases.  Quite frequently Russian online shoppers will view an item for purchase on their mobile device and desktop before making a purchase so it’s no surprise that there is a combination of devices for transactions.

Russian emoney users by device

E-wallet users in the 25-34 age group make the most purchases both on desktop and mobile devices.  Users who consider their professions to be specialists are the top e-wallet users followed by managers.  Specialist is a popular term for a wide number of Russian occupations that range by the specific field.  Simply put, working professionals tend to use e-payments more than others.  More middle income Russians who are married are e-wallet users in Russia.  As seen in the final category, more than half of users consider themselves to be beginners which speaks to the growing Internet use and development of e-payments in Russia.

Profile Russian ewallet users 2015

The top categories for e-money purchases include online shopping, mobile top ups, money transfers, bills, online content (movies, music), online games, and online tickets for events. The age group of 35-44 year old users tend to make more transactions with e-money in these categories than their younger counterparts.  However, the youngest group of 20-24 year old users make more purchases for online tickets for events and online content.

purchases by age

Yandex.Money is the most well known online payment service followed closely by WebMoney.  Yandex.Money is the largest online payment service in Russia.  The service also allows users to conveniently pay for goods and services and for merchants to have an integrated payment solution.

Russian awareness of online payment services2015

Russians most heavily rely on local options from Yandex.Money and WebMoney as the top e-payment systems.  Russians also turn to QIWI, a Russian based e-payment service that also provides local kiosks.  PayPal launched in Russia in 2013 and is now gaining some traction with locals there.

Russian use of payment services2015

For eCommerce businesses in Russia, its important to offer a number of payment options for local shoppers.  Integrating e-payment services in addition to other payment options is advised to guarantee customers have the ability to pay you and trust that option.  More specifically, the local e-payment services are the best ways to secure payments from Russians as this payment option continues to grow.