Beyond Visa and MasterCard: A Merchant’s Guide to Alternative Payment Methods (APMs) in Europe, North America, and Asia

Qubepay guide for APM’s around the globe If you’re a merchant selling internationally—or even just domestically in a market where card networks don’t dominate—relying only on Visa and MasterCard means leaving revenue on the table. Alternative Payment Methods (APMs) now account for the majority of online transactions in many countries, and offering the right local […]

Qubepay guide for APM’s around the globe

If you’re a merchant selling internationally—or even just domestically in a market where card networks don’t dominate—relying only on Visa and MasterCard means leaving revenue on the table. Alternative Payment Methods (APMs) now account for the majority of online transactions in many countries, and offering the right local options can lift checkout conversion by up to 30%. checkout

This article breaks down the most important APMs by region, explains why they matter for merchants, and shows how to think about integrating them into your payment stack.

What Are Alternative Payment Methods (APMs)?

APMs are any payment options that aren’t traditional international credit/debit cards (Visa, MasterCard, Amex) or cash. They include: checkout

Digital and mobile wallets (PayPal, Apple Pay, Google Pay, Alipay, WeChat Pay, GrabPay)
Real-time bank transfers / account-to-account (A2A) payments (iDEAL, BLIK, SEPA Instant, PayNow, FPX, UPI, PIX)
Buy Now, Pay Later (BNPL) solutions (Klarna, Affirm, Afterpay)
Domestic card schemes and QR-based systems (UnionPay, KHQR, DuitNow QR)
Cash-based vouchers and over-the-counter payments (in some markets) corefy

For merchants, APMs are not just “nice to have.” They directly affect conversion rates, average order value (AOV), fraud exposure, and cost of acceptance. moneyhash

Why Merchants Should Care About APMs

1. Higher Conversion and Lower Abandonment

Shoppers prefer to pay with methods they trust and use daily. If their preferred option isn’t available, they often abandon the cart. moneyhash

Offering the top three payment methods in a market (instead of just the most popular one) can increase conversions by up to 30%. moneyhash
In many European and Asian markets, cards are not the dominant online method; local APMs are. checkout

2. Larger Basket Sizes with BNPL

Buy Now, Pay Later is one of the fastest-growing APM categories globally.

Merchants offering BNPL routinely see conversion improvements of 20–30%. chargebacks911
Average order values can increase by 15–40% (Affirm reports up to 87% AOV lift for some merchants). chargebacks911
Klarna reports around 30% higher checkout conversion and up to 41% higher AOV when BNPL is offered. accelerationpartners

3. Lower Processing Costs in Some Markets

Many APMs—especially A2A bank transfers—carry lower fees than international card schemes because they bypass card network interchange. adyen

Direct debits (ACH, SEPA) and real-time bank transfers often have lower transaction costs and lower fraud risk. adyen
For high-volume merchants, even small fee differences materially improve margins. adyen

4. Regulatory and Strategic Resilience

Relying solely on global card networks exposes you to:

Scheme rule changes and fee increases
Cross-border restrictions and 3DS frictions
Regional regulatory shifts (e.g., open banking, instant payment mandates) skaleet

APMs diversify your risk and align you with local payment infrastructure (e.g., Wero in Europe, PayNow/FPX in Southeast Asia, Bakong/KHQR in Cambodia). mollie

Europe: From iDEAL and BLIK to Wero and BNPL

Europe is highly fragmented: each country has its own “default” payment method, and cards are often secondary. solidgate

Key European APMs by Market

Country / Region	Dominant APMs	Merchant Implications
Netherlands	iDEAL (transitioning to Wero)	iDEAL is essential; by 2027 it will be fully replaced by Wero. solidgate
Germany	SEPA Direct Debit, SEPA Instant, Giropay (phasing out), Wero	SEPA bank transfers dominate higher-value e-commerce; Wero rollout is accelerating. solidgate
Poland	BLIK	BLIK is the default for many online and in-store payments; merchants targeting Poland should support it. payabl
Belgium	Bancontact, Wero	Bancontact remains critical; Wero is being introduced alongside it. primer
France	Cartes Bancaires, SEPA, Wero	Local card scheme plus bank transfers; Wero adoption growing via major banks. primer
Nordics	Trustly / open banking, Klarna	Account-to-account and BNPL are mainstream; Klarna is a must for many verticals. primer
Southern Europe (e.g., Portugal)	MB Way, Multibanco	Local wallets and reference payments are dominant domestically. solidgate

Wero: Europe’s Emerging Pan‑Regional APM

Wero is an account-to-account payment solution backed by 16 European banks and financial institutions via the European Payments Initiative (EPI). mollie

Already live for e-commerce in Germany, France, Belgium, and expanding to the Netherlands and Luxembourg. banking
iDEAL in the Netherlands will transition to Wero in 2026 and be fully phased out by end‑2027. cm
For merchants, Wero offers instant settlement, lower scheme dependency, and a single integration for multiple countries over time. mollie

If you sell across Europe, plan for Wero alongside existing local APMs, especially if you currently rely on iDEAL or are expanding into DACH, Benelux, and France. cm

BNPL in Europe

BNPL is deeply embedded in European e-commerce, led by Klarna, Clearpay/Afterpay, and local players.

Common in fashion, electronics, travel, and home goods. corefy
Merchants see higher AOV and conversion, but must weigh merchant discount rates (typically 1.5–7%) against margin. chargebacks911

For European merchants, a practical APM stack often looks like:

Cards (Visa/MasterCard) + PayPal + local APM (iDEAL/BLIK/Bancontact/SEPA) + BNPL (Klarna/Clearpay) + mobile wallets (Apple Pay/Google Pay). primer

North America: Digital Wallets, BNPL, and Real‑Time Payments

North America is still card-heavy, but APM adoption is accelerating quickly, especially in digital channels. solidgate

United States

Digital wallets (Apple Pay, Google Pay, PayPal) are now the most widely used payment method in North America. checkout
PayPal remains dominant for desktop e-commerce; Apple Pay and Google Pay lead on mobile. solidgate
BNPL (Klarna, Affirm, Afterpay, PayPal Pay Later) is mainstream, especially for mid-to-high ticket items. solidgate

Merchant impact:

Offering BNPL can lift conversion by 20–30% and AOV by 15–40% (Affirm reports up to 87% AOV increase for some merchants). chargebacks911
Younger demographics increasingly expect wallet and BNPL options at checkout. solidgate

Emerging rails:

Real-time payments (FedNow, RTP) are still early but will enable new A2A use cases over time. stripe
CashApp and other P2P wallets are gaining traction as payment methods among younger users. solidgate

Canada

Interac Online and Interac e-Transfer are the primary domestic bank transfer options and widely trusted. solidgate
Digital wallets and BNPL follow similar patterns to the U.S., though at slightly lower penetration. solidgate

For North American merchants, a strong APM mix typically includes:

Cards + Apple Pay/Google Pay + PayPal + BNPL (Klarna/Affirm/Afterpay) + Interac (for Canada). solidgate

Asia: Wallets, QR, and Real‑Time Bank Transfers Dominate

Asia is the most diverse region for payments. In many markets, cards are a secondary or niche method; wallets, QR codes, and real-time bank transfers are the norm. primer

Southeast Asia

Key APMs by country:

Singapore: PayNow, GrabPay, Apple Pay, Google Pay
PayNow is essential for local trust; many gateways now support it alongside cards and wallets. airwallex
Malaysia: FPX, DuitNow, Touch ‘n Go eWallet, GrabPay, ShopeePay
FPX (real-time bank transfer) and DuitNow QR are critical for domestic e-commerce. tazapay
Indonesia: QRIS, GoPay, OVO, DANA
QRIS is the national QR standard; wallets dominate online and offline. primer
Thailand: PromptPay, TrueMoney, Rabbit LINE Pay
PromptPay (A2A) is widely used and linked to regional QR standards. primer
Vietnam: VietQR, MoMo, ZaloPay
QR and local wallets are primary; cards are often secondary. primer

Regional trends:

Cross-border QR interoperability is expanding (e.g., PromptPay ↔ PayNow ↔ DuitNow ↔ QRIS ↔ VietQR). tazapay
For merchants selling across Southeast Asia, supporting at least one major wallet and one real-time bank transfer per country is crucial. airwallex

South Asia

India: UPI is the dominant payment method for online and offline transactions; cards are a small share. primer
Merchants targeting India must integrate UPI (via QR or intent flows) to access the mass market. airwallex

East Asia

China: Alipay and WeChat Pay are effectively mandatory for e-commerce and in-store payments. primer
Hong Kong: AlipayHK, WeChat Pay, Octopus alongside cards. airwallex
Japan: Convenience store payments (Konbini), line-pay, and domestic card schemes remain important. primer

Cambodia: Bakong and KHQR

For merchants operating in or selling to Cambodia:

Bakong is the National Bank of Cambodia’s blockchain-based payment platform, connecting banks and microfinance institutions. lightspark
KHQR is the national QR standard built on Bakong, accepted from large merchants to street vendors. lightspark
In 2025, Bakong processed 771.2 million transactions worth KHR 285.9 trillion, with 2.9 million merchants accepting Bakong/KHQR. facebook
While wallet creation is high, active usage is still growing; cash wages in sectors like garments remain a barrier, but adoption is accelerating. fintechcambodia

For Cambodian merchants and regional players, integrating Bakong/KHQR is increasingly important to:

Serve local consumers who prefer QR and bank-linked wallets
Align with national payment infrastructure and regulatory direction
Enable low-cost, real-time settlements in KHR and USD lightspark

How Merchants Should Think About APM Strategy

1. Start With Your Top Markets

Don’t try to support every APM globally at once. Instead:

Identify your top 3–5 markets by traffic/revenue.
For each market, implement the top 2–3 payment methods used locally. moneyhash

Example:

Netherlands: iDEAL (soon Wero) + cards + PayPal/Apple Pay
Poland: BLIK + cards + PayPal
Singapore: PayNow + cards + GrabPay/Apple Pay
Malaysia: FPX + DuitNow QR + cards
Cambodia: KHQR/Bakong + cards + major wallets

2. Use a Payment Orchestrator or Multi‑APM Gateway

Managing multiple PSPs and APM integrations in-house is complex. Consider:

A payment gateway or orchestrator that supports many APMs through one integration (e.g., Stripe, Adyen, Airwallex, local specialists). adyen
Dynamic checkout elements that surface the most relevant methods per user based on location and device. stripe

This reduces engineering overhead and lets you add/remove APMs as markets evolve (e.g., iDEAL → Wero). cm

3. Measure Performance by Payment Method

Track:

Conversion rate per APM
Average order value per APM
Chargeback and fraud rates
Cost of acceptance (fees, settlements, FX) moneyhash

Use this data to:

Promote high-converting, low-cost methods in your UI
Deprioritize or remove underperforming options
Negotiate better pricing with providers based on volume moneyhash

4. Align APMs With Your Business Model

Subscriptions / recurring billing: Favor direct debit (SEPA, ACH) and card-on-file with strong retry logic. stripe
High-ticket items: BNPL can significantly lift AOV and conversion, but model the fee impact on margins. chargebacks911
Cross-border B2B: Real-time bank transfers and open banking payments can reduce FX and card costs. adyen
Emerging markets: Prioritize local wallets and QR (KHQR, PayNow, FPX, UPI, PromptPay) over cards. primer

Practical APM Playbook by Region

Europe

Western & Northern Europe:
Must-have: local APM (iDEAL/BLIK/Bancontact/SEPA), PayPal, Apple Pay/Google Pay, BNPL (Klarna/Clearpay)
Watch: Wero rollout and iDEAL migration (2026–2027). cm
Southern & Eastern Europe:
Add country-specific methods (MB Way, Multibanco, local wallets) where relevant. solidgate

North America

U.S.:
Cards + Apple Pay/Google Pay + PayPal + BNPL (Klarna/Affirm/Afterpay)
Consider CashApp and other wallets for youth-focused brands. solidgate
Canada:
Add Interac Online/e-Transfer to the U.S. stack. solidgate

Asia

Southeast Asia:
Singapore: PayNow + GrabPay + cards + Apple/Google Pay
Malaysia: FPX + DuitNow QR + Touch ‘n Go/GrabPay + cards
Indonesia: QRIS + major wallets (GoPay, OVO) + cards
Thailand: PromptPay + local wallets + cards
Cambodia: KHQR/Bakong + cards + regional wallets lightspark
South Asia:
India: UPI is essential; cards are secondary. airwallex
East Asia:
China: Alipay + WeChat Pay (often via cross-border aggregators)
Hong Kong: AlipayHK + WeChat Pay + Octopus + cards airwallex

How QubePay Can Help Merchants Go Beyond Visa and MasterCard

For merchants looking to expand beyond Visa and MasterCard—especially in Asia and cross-border contexts—QubePay can:

Integrate local APMs (e.g., KHQR/Bakong in Cambodia, PayNow, FPX, and regional wallets) through a single platform.
Support multi-currency settlements and FX for cross-border merchants.
Provide reporting and analytics by payment method to optimize your APM mix.
Offer compliance and risk tools tailored to high-risk and cross-border verticals.

More information at Qubepay.com

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