Dr. Glenn Gearhart CEO of World Market Vendor Services, Inc. provides News and Commentary

Walmart Finds The Need For Online Cash Payments

Walmart and other retailers have found the strong desire of customers to pay online with cash

Wal-Mart

Walmart, ranked No. 6 in the Internet Retailer Top 500 Guide, reports the move to offer US customers a means to pay for online purchases with cash. Walmart states the offer is a response to consumer demand for a cash or cash-equivalent payment option. The retailer performed a recent survey of its shoppers and found that more than 67% of those who identified as "underbanked" were likely to use cash as a form of online payment if the option were available.

I find the results of this survey mirror how consumers pay in Walmart’s physical stores in the US, where Walmart reports many shoppers pay in cash and only about 15% of purchases are made using a credit card. Walmart did not address cash paying patterns in their stores in Canada, Mexico, or other countries, but indications are that the cash pay patterns are similar.

Quoting the Federal Deposit Insurance Company (FDIC), Walmart reiterates that one in four U.S. household’s fall into the categories of “unbanked” and “underbanked.” That classification is based upon the fact that these individuals do not have bank accounts or credit cards, or have limited banking options, and they often pay with cash. However, the survey found that 81 percent of the unbanked and 63 percent of the underbanked have Internet access.

I believe any online retailer who is ignoring or dismissing these cash pay facts, and this large untapped market, is highly delinquent in pursuing growth opportunities and will soon find competitors passing by them with larger sales and higher revenues.

There is a simple and low costs means for your business to enter and grab a foothold in this lucrative new market. Whether you are a one man store or a large multinational, whether your business operates out of the US, or any other developed country, or from one of the many developing countries, World Market is the leader in online CASH payment technology and offers the only “Pay-Online-With-Cash”™ eCommerce service with worldwide coverage.