Brazil is reshaping the global use of digital wallets, with consumers relying on them for bill payments and identity verification, unlike other countries, where they are mainly used for eCommerce.
A PYMNTS Intelligence Report, “Digital Wallets Beyond Financial Transactions: Brazil Edition,” in collaboration with Google Wallet, explores the country’s unique digital wallet trends, highlighting usage patterns, generational differences, and challenges faced by users.
Brazilian consumers primarily use digital wallets to pay bills. According to the report, 47% of Brazilian consumers used digital wallets for bill payments in the past year — much higher than the 27% who used them for online purchases. This trend sets Brazil apart from other markets, such as the U.S. and U.K., where eCommerce is the dominant use case for digital wallets.
Older Brazilians, particularly baby boomers and seniors, are adopting digital wallets at higher rates than younger generations. Over half (51%) of baby boomers and seniors use them for bill payments, compared to 36% of Gen Z.
Additionally, 31% of older consumers shop online with digital wallets, while only 20% of Gen Z does. While younger generations focus more on online shopping, older Brazilians are using digital wallets for a broader array of financial activities.
Brazilians are also using digital wallets for nontransactional purposes, such as storing personal documents and verifying their identities. The report shows 30% of Brazilian consumers have stored important documents in their digital wallets, including IDs, event tickets and hotel room keys. This trend is more pronounced in Brazil compared to other countries.
Consider 34% of Brazilian consumers say they are likely to use digital wallets for identity verification in the next three years, a much higher proportion than in France, Germany, the U.K., or the U.S. Millennials are particularly keen on using digital wallets in this way, with 18% of them using the platform to manage personal identification.
Despite challenges with internet connectivity, which 29% of Brazilian consumers report experiencing when trying to access stored information, satisfaction levels remain high. More than three-quarters (77%) of users who employed their digital wallets for services such as event access or ID verification were highly satisfied with the experience.
Brazil is embracing digital wallets, using them for a broader range of activities than many other countries. While digital wallets are commonly associated with eCommerce in other markets, Brazilians use them for banking transactions, bill payments, and everyday tasks like receiving deliveries.
This positions Brazil as a global leader in digital wallet adoption. Consumers in Brazil are ahead of their peers in integrating these tools into their lives, not just for financial needs but also for daily uses. As the trend continues to grow, digital wallets could play a larger role in shaping how Brazilians manage both personal and financial activities.
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