When it comes to selling in Brazil, even the largest international brands face the same bottleneck: turning customer interest into completed transactions.
Despite Brazil’s fast-growing e-commerce market, cross-border merchants still face a range of challenges—two critical ones being high cart abandonment rates caused by complex checkout flows and declined credit card payments linked to typing errors, outdated data, or security filters. These challenges are magnified by a mobile-first audience that expects speed and simplicity and will abandon purchases when payment takes too long.
As a result, they lose millions in revenue every year.
Digital wallets—like Apple Pay and Google Pay—are changing this dynamic. By offering one-click payments, biometric security, and seamless mobile experience, they are removing friction from the checkout process and driving higher approval rates.
In this article, we’ll explore the opportunities surrounding digital wallets:
- Why are digital wallets exploding in popularity in Brazil?
- How do they directly increase conversion rates?
- Which wallets are essential for reaching Brazilian consumers?
- And how can you implement them in your cross-border operation with PagBrasil?
What Are Digital Wallets and Why Are They So Popular in Brazil?
Digital wallets are apps or online services that digitally store a user’s payment information securely and allow them to make purchases online or in-store with just a few clicks—or even a single touch. Instead of typing out long credit card numbers and security codes, the shopper simply authenticates the payment through biometrics (fingerprint or facial recognition) or a PIN.
In Brazil, this convenience has made digital wallets one of the fastest-growing payment methods. In fact, 84% of Brazilian consumers have used digital wallets in the last year. For cross-border merchants, it’s crucial to understand that this high adoption isn’t just a matter of following global innovation but a direct result of Brazilian consumer expectations and market conditions.
- Convenience and speed: Shoppers can complete a payment with one touch or facial recognition, skipping the manual entry of card details—a common cause of failed and abandoned transactions.
- Enhanced security: Digital wallets use tokenization (replacing sensitive card data with secure tokens) and biometric authentication. This minimizes fraud and increases consumer trust, especially important in Brazil, where over half of the population has been a victim of fraud in the last year.
- Mobile-first culture: Brazil is one of the most mobile-driven e-commerce markets in the world. These days, as much as 73% of transactions happen on smartphones. Consumers expect checkout flows that are as fast and intuitive as the apps they use daily, and digital wallets align perfectly with this behavior.
For Brazilian consumers, digital wallets aren’t an option, but an expectation. For merchants, meeting that expectation means prioritizing the availability of this payment method in their e-commerce stores.
How Do Digital Wallets Directly Impact Your Conversion Rate?
For merchants, every extra step in the checkout process is a risk: a moment when the shopper may abandon the purchase. In Brazil—where cart abandonment rates are particularly high—this is especially critical. Digital wallets address this problem head-on.
By streamlining checkout, reducing typing errors, and increasing transaction approval rates, Apple Pay and Google Pay have a direct and measurable effect on conversions.
Drastic Reduction in Cart Abandonment at Checkout
Cart abandonment is one of the biggest challenges in Brazilian e-commerce. Whereas the global average is around 70%, that number jumps to more than 80% in Brazil. Many shoppers drop off at the payment stage, and one of the reasons is because they are required to type in lengthy credit card details or face errors when data is mistyped.
Digital wallets solve this problem by eliminating manual entry. With Apple Pay and Google Pay, payment data is already stored securely, and the transaction can be completed in seconds with biometric authentication.
For merchants, this means fewer lost sales at the most critical stage of the funnel—and a measurable increase in completed transactions.
Improved User Experience (UX) on Mobile Devices
With the majority of e-commerce traffic in Brazil coming from mobile devices, consumers expect checkout flows that are fast, intuitive, and mobile-friendly. Unfortunately, traditional credit card forms—with their long fields, multiple steps, and potential errors—create unnecessary friction on smaller screens.
In contrast, digital wallets fit right into the mobile checkout experience. With just a fingerprint or facial recognition, shoppers can confirm their payment in seconds, without having to type a single number. This seamless UX reduces frustration, shortens the path to purchase and increases the likelihood of repeat transactions.
In an increasingly digital world, optimizing for mobile isn’t optional, and digital wallets are among the most effective and secure ways to deliver a frictionless smartphone checkout experience.
Attracting Consumers with Higher Purchasing Power
According to a study by Croma Consultoria, around 74% of Brazilian digital wallet users are from the upper class, with greater disposable income and a preference for premium brands. By offering Apple Pay or Google Pay, cross-border merchants can position their e-commerce site to appeal to this valuable segment.
These shoppers not only value convenience and security but are also more likely to complete purchases and make repeat transactions. This can mean higher average order values and increased revenue—especially when combined with optimized mobile checkout and seamless payment flows.
Scarf Me, a Brazilian brand specializing in luxury scarves, pashminas, ponchos, and other accessories, is a great example of this. Since partnering with PagBrasil to boost its conversions, the company has seen a notable difference in its average ticket value with Apple Pay, reaching as high as 15% more than traditional credit card purchases.
Which Digital Wallets Should Your E-Commerce Offer in Brazil?
Not all digital wallets are created equal, and the wallets your e-commerce supports can directly influence conversion rates. At PagBrasil, we support Apple Pay and Google Pay, which are among the most trusted digital wallets in the country. Together, these wallets cover the majority of mobile users and cater to both iOS and Android audiences.
- Apple Pay: Associated with prestige and brand loyalty, Apple Pay is widely used by iOS users, who tend to have higher purchasing power and expect premium checkout experiences.
- Google Pay: With Android being the dominant mobile operating system in Brazil, Google Pay reaches a large share of smartphone users, making it an optimal choice for broad coverage.
How Can You Easily Offer Digital Wallets with PagBrasil?
Implementing new payment methods in cross-border operations can seem complex. But with PagBrasil Checkout, the evolution of the payment link, enabling these digital wallets is effortless. Our external checkout solution was designed to make integration seamless, requiring minimal development effort while delivering maximum impact on conversion rates.
With PagBrasil Checkout, you benefit from:
- Ease of activation: Digital wallets can be enabled natively within our checkout flow—no need for complex, custom development.
- Seamless user experience: Your customers stay on your site throughout the payment process, reducing friction and strengthening trust.
- Comprehensive coverage: PagBrasil enables Apple Pay and Google Pay, ensuring your checkout appeals to the full spectrum of Brazilian mobile shoppers.
- Exclusivity: PagBrasil is the only Brazil-specialized payment processor certified to enable Apple Pay natively in your checkout—and the only one that lets you offer installment payments with both Apple Pay and Google Pay.
By combining ready-to-use native integration with our deep expertise in Brazil’s payment ecosystem, PagBrasil helps cross-border merchants increase conversions and simplify their operations.
Prepare Your E-Commerce for the Future of Payments in Brazil
Brazil’s e-commerce market is mobile-first, competitive, and fast-evolving. Offering digital wallets like Apple Pay and Google Pay is not a question of keeping up with global trends but of meeting Brazilian consumers’ expectations and ensuring every potential sale becomes a completed transaction.
By reducing cart abandonment, improving the mobile user experience, and appealing to high-value consumers, digital wallets directly boost conversion rates. And with PagBrasil Checkout, enabling them is easier than ever.
If your goal is to maximize revenue and simplify payments in Brazil, digital wallets should be a key part of your strategy—and PagBrasil is the partner to get you there.
Talk to one of our specialists to get started.
