At BearingPoint, we have been researching payment behavior across Europe since 2019, closely tracking the evolution of digital currencies and their impact on financial ecosystems. Our latest Digital Payments Survey provides valuable insights into how Dutch consumers perceive the digital euro and how this compares to other European markets.
In this blog, Joost Loves, Partner at BearingPoint, shares his insights on the Dutch market. We delve into the key findings and implications of our study on the Digital Euro in Europe.
Cash Usage in Decline, But Differences Remain
Across Europe, the use of cash is steadily decreasing, driven by increased digital adoption and policy shifts favoring electronic payments. However, significant differences remain between countries.
- In the Netherlands, digital transactions are dominant, with iDEAL remaining the most popular online payment method.
- In Germany, cash is still king, 69% of transactions are cash-based, reflecting a strong cultural preference for physical money.
- In contrast, Sweden has one of the lowest cash usage rates in Europe (28%), with a highly advanced digital payments ecosystem, including widespread adoption of mobile payment solutions like Swish.
Our research clearly shows that payment preferences vary significantly by country. While cash remains dominant in countries like Austria and Germany, Sweden is experiencing a strong shift towards digital payments. In the Netherlands, the digital euro is mainly seen as a supplement to existing payment methods, with trust and user-friendliness being crucial factors.
Joost Loves, Partner at BearingPoint
The Digital Euro: Growing Awareness, But Adoption Uncertain
Our research shows that awareness of the digital euro is increasing in the Netherlands. Two-thirds of Dutch consumers have heard of the digital euro, reflecting a growing familiarity with central bank digital currencies (CBDCs). Despite rising awareness, the question remains: will Dutch consumers actually use the digital euro?
How Often Would Dutch Consumers Use the Digital Euro?
While some Dutch consumers see the potential of the digital euro, the survey reveals a mixed sentiment regarding its actual use:
- 18% would use the digital euro at least 2-3 times per week
- 12% would use it less than 2-3 times every two weeks
- 20% say they would never use the digital euro
- The remaining respondents are undecided
This suggests that while the Dutch market is relatively open to digital payment innovation, the added value of the digital euro must be clearly demonstrated before widespread adoption takes place.
What Do Dutch Consumers Expect from the Digital Euro?
For the digital euro to succeed in the Netherlands, it must meet key consumer expectations:
- 45% believe the digital euro should be free of charge
- 37% expect 24/7 availability, both online and offline
- 36% indicate they have no interest in using the digital euro
In terms of use cases, Dutch consumers primarily see the digital euro as a tool for online shopping, while in countries like Finland, people believe it could play a more significant role in government transactions. These regional differences emphasize the importance of a tailored implementation strategy that considers local payment habits.
What Does This Mean for Financial Institutions and Businesses?
At BearingPoint, we support financial institutions, policymakers, and businesses in navigating the evolving digital currency landscape. As experts in the digital euro, we help organizations understand its potential impact, develop strategic adoption plans, and ensure a seamless integration into the existing financial ecosystem.
Curious about how the Netherlands compares to other European markets regarding the digital euro?
Download our infographic below for an in-depth market comparison.
We are happy to share our expertise and explore the opportunities with you. Contact us us to discuss how we can support your organisation with implementing the digital euro.
