Brazil's recently launched instant payment system PIX is surpassing alternative payment options such as debit cards and is currently more popular among wealthier male consumers, according to new research.
PIX was introduced by the Brazilian Central Bank to allow round-the-clock payments, seven days a week. Fully launched in November 2020, [1]the system is plugged into the platforms of 735 financial services institutions in Brazil, from major banks to fintechs and credit unions.
A study carried out by BS2 Bank with 2.010 account holders across Brazil suggests that 73% of the consumers polled intend to use PIX as a payment method. However, the study also noted uptake is greater among wealthier consumers.
The Brazilian socioeconomic class system is divided between Class A, which can be thought of as upper class, while Class B refers to the upper middle class, Class C encompasses the lower middle class, and D and E refer to the poor and those living in poverty.
Adoption of the instant payments system is higher among the classes A and B, according to the research: 80% of respondents within that profile said they will "definitely" use PIX, or will "probably" use the platform to make instant payments.
In general terms, the new platform is seen as the best payment option by 24% of those polled, followed by credit card (25%) and debit card (22%). Other options such as interbank electronic funds transfers instruments available in Brazil TED and DOC appear were cited by 10% and 3% of the consumers polled, respectively. Transfers made through the TED and DOC systems incur a fee, while PIX is free for individuals.
In terms of advantages, 58% of the survey participants cited the agility in making payments as the main advantage of PIX, while 57% cited