Denmark is an almost cashless country, where some shops actually put up signs saying they prefer not to take cash if possible. Instead, the Danish population uses a combination of global and local payment methods for online and offline transactions.
I recently expanded my own business into the Danish market, so I’ve compiled my findings into this useful guide. Read on to find out which payment methods you should consider accepting to appeal to a Danish audience.
6 Top Payment Methods in Denmark
Dankort is Denmark’s national debit card. It’s also the country’s most common card, with about 4.5 million members. Most versions of the card are combined with Visa or Mastercard, allowing cardholders to pay with Dankort abroad as well.
Dankort cards are used both online and in-store. Denmark is a mostly cashless country, so most shops prefer to accept Dankort or credit cards over cash.
In 2015, contactless payments with Dankort became possible. Today, they represent 80% of transactions with this card.
MobilePay is a digital wallet used mainly in Denmark (but also in Finland) that launched in 2013. The payment app is widely accepted throughout Denmark, used by over 4 million people out of the country’s population of 5.8 million. Customers spent more than 23 billion euros through MobilePay in 2021 alone.
MobilePay is common for online payments, thanks to its security measures. Each account is attached to the user’s CPR number (national security number) so the police are able to track payments easily if someone gets scammed.
MobilePay is also used in-store. Some supermarket chains even integrate the payment method directly into their own shopping apps. It’s common to see the service used by door-to-door salespeople or charity collectors, as well as at small stalls and pop-up events.
3. Apple Pay
In 2021, 63% of mobile devices sold in Denmark were Apple products, so Apple Pay is a popular payment app in the country. Many of Denmark’s residents use Apple Pay for cashless payments in-store. In 2020, Apple Pay began supporting Dankort cards.
Only 1% of Denmark’s payments are made with cash, so contactless payments are very popular. There is no minimum spend to use Apple Pay in stores in Denmark. Customers can even use their iPhone or Apple Watch to buy a stick of gum at a corner store.
4. Google Pay
About 40% of smartphones in Denmark use the Android operating system. Many of these devices come with Google Pay preinstalled, so users can use Google Pay for contactless transactions. Apple users can also download Google Pay to their devices.
Google Pay supports cards from most banks in Denmark, but does not support Dankort cards. Android users must pay with their physical cards if they want to use Dankort in-store.
Mobile wallets are also widely accepted in online stores. Google Pay and Apple Pay are commonly offered alongside PayPal and the local option, MobilePay.
PayPal is popular in Denmark for peer-to-peer payments with people outside of the country. It’s commonly used by contractors and freelancers working internationally. However, as a payment method for online shopping, newer services like Apple Pay, Google Pay, and Mobile Pay are much more popular.
6. Immediate Credit Transfer (Straks)
Danish banks can use a transfer for domestic payments that deliver money into the recipient’s account in 1.5 seconds. This can be used for transfers under 500,000 DKK (around $70,000). Customers can make these transfers at any time of day on any day of the year.
Straks transfers are commonly used to pay contract workers like accountants or decorators who use an invoice system to receive payments.
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The Bottom Line
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