BTN News: In a rapidly evolving digital landscape, the Dominican Republic is witnessing a notable shift in consumer payment behaviors, as revealed in a recent study conducted by Mastercard. The findings indicate a growing comfort among Dominicans with digital payment methods, reflecting the country’s increasing embrace of technology in financial transactions. With a staggering 99% of surveyed individuals expressing ease with new technologies and 80% showing a willingness to explore innovative payment options, the Dominican Republic is poised to become a leader in the digital payment space within the region.
Credit and debit cards are at the forefront of this transformation, with 63% of respondents favoring these methods for online purchases and 56% preferring them for in-store transactions. This trend highlights the increasing reliance on digital tools for both convenience and security in everyday commerce. Notably, the study positions the Dominican Republic as the third-highest user of debit cards in the region, with 46% of respondents using them for daily purchases, underscoring the country’s growing dependence on digital payment solutions.
Security remains a paramount concern for Dominican consumers, with 94% of participants prioritizing it when selecting payment methods. A significant 55% of respondents consistently choose the most secure option for online shopping, demonstrating a strong awareness of digital safety. However, convenience is not far behind, as 44% of those surveyed opt for debit cards due to their ease of use, highlighting the balance between security and user-friendliness in payment decisions.
Tomás Alonso, the Country Manager for Mastercard in the Dominican Republic and Haiti, emphasized the company’s commitment to enhancing cybersecurity through data analysis and artificial intelligence. This approach aims to protect consumers while fostering confidence in digital payment methods. Alonso’s remarks were made during a press conference, where he also discussed Mastercard’s ongoing efforts to collaborate with various stakeholders in the payment ecosystem to develop innovative solutions that improve the digital payment experience in the country.
In a strategic move to support this digital shift, Mastercard integrated its cards with Google Pay in the Dominican Republic in 2023 and expanded this integration to Apple Pay in 2024. These platforms offer fast, secure, and convenient contactless payment experiences, enhancing consumer choice and reducing reliance on cash transactions. Alonso highlighted the security benefits of these digital wallets, noting that they provide an additional layer of protection by not displaying the card number, making them a safer alternative to physical cards.
Despite these advancements, cash transactions still dominate the Dominican economy, with an estimated 85% of household transactions conducted in cash. Alonso pointed out the significant opportunities for further digitalization, stressing the importance of continued collaboration to increase the adoption of digital payments across the country.
In addition to focusing on consumer behavior, the study also sheds light on the role of small and medium-sized enterprises (SMEs) in the region’s economic landscape. SMEs make up 99% of all active businesses in Latin America and the Caribbean, contributing 70% of all jobs and more than 30% of the region’s GDP. In the Dominican Republic alone, there are approximately 1.5 million SMEs, generating nearly two million jobs.
Alonso emphasized that digitalization is key to the growth and sustainability of these businesses. By adopting digital payment methods, SMEs can reduce the risk of lost sales due to a lack of cash and build a transaction history that facilitates access to financing. Moreover, embracing digital tools enables these enterprises to expand their reach by selling online, opening up new revenue streams and opportunities for growth.
Mastercard’s commitment to empowering SMEs through technology is evident in their ongoing efforts to promote financial inclusion and digital innovation. By equipping businesses with the tools they need to thrive in a digital economy, Mastercard is helping to drive economic development and improve the overall quality of life in the Dominican Republic.
As the country continues to embrace digital payments, the potential for economic growth and increased financial inclusion becomes more apparent. With the right support and infrastructure, the Dominican Republic could become a model for digital transformation in the Caribbean and Latin America, setting the stage for a more secure, convenient, and prosperous future.
