By Puja Sharma

deep dive’ is our bi-weekly exploration of a relevant topic, hot trend or new product. Only for Prime members.

How does it work?

Swedes are embracing a sea change in the way they manage their finances, with Pay by Bank fast becoming the go-to method for everyday payments. According to the Sweden Pays 2024 survey, conducted by Insight Intelligence in collaboration with Trustly, Adyen, Swedbank and PostNord Strålfors, more than 98% of Swedes now use direct payment solutions from leading brands, signaling a clear shift away from traditional payment methods.

The survey shows that almost 40% of Swedes now use Pay by Bank for essential expenses such as rent and bills. This growing preference for bank-linked payments is a testament to the country’s growing demand for simpler and more efficient ways to manage financial transactions. With the convenience of paying directly from a bank account, consumers opt for this seamless method in complex and time-consuming online payment processes.

Who is under the radar?

The shift away from traditional online payment systems is driven by frustration with the excessive steps involved. One in four respondents (25%) pointed out that navigating multiple steps to complete an online transaction is one of the most frustrating aspects of the process. Similarly, 23% cited the need to manually enter card or contact information as a tedious and time-consuming task.

The survey results also reveal the key features that Swedes prioritize when choosing a payment solution. Almost half of respondents (48%) consider ease of use to be the most important factor, followed by speed, which is essential for 20% of those surveyed. This focus on simplicity and efficiency aligns perfectly with the attributes of Pay by Bank services, which provide a simplified and hassle-free transaction experience.

Johan Tjärnberg, CEO of Trustly Group, noted the increasing awareness of the Pay by Bank method in Sweden, adding: “The shortcomings of traditional online payment systems and the features that people prioritize suggest that there is a lot of room for growth for Pay by Bank solutions. The growing recognition of Trustly is encouraging as we aim to strengthen our presence in our home market.”

Why does it matter now?

Trustly has seen a notable increase in brand awareness among Swedes. From 2019 to 2024, nearly 45% of Swedes became familiar with or actively used Trustly products, underscoring the growing acceptance of direct payment solutions in the country.

The Sweden Pays 2024 survey follows the evolution of Swedes’ payment behaviors and highlights their changing preferences towards more direct and efficient financial solutions. This year’s findings reflect a continued trend towards digital payment methods that offer simplicity and efficiency, with Pay by Bank solutions emerging as a leader in this space.

In conclusion, the survey results point to a future where Pay by Bank is central to the Swedish payments landscape. As consumers demand faster, easier and more secure ways to manage their finances, Pay by Bank is positioned to lead the charge. With increased brand awareness and increased adoption, the trend towards direct payment solutions will continue to reshape the way Swedes manage their money in the years to come.