Do online purchases or in-person purchases typically generate more interchange revenue?

Interchange fees are applied to all transactions, both online and in person. Generally, online card purchases generate higher interchange fees compared to in-person transactions. This difference in fees is primarily due to the lower risk of fraud associated with in-person purchases. In-person transactions are often completed using EMV chip dips or contactless taps, both of which are among the most secure methods for processing card payments. To account for the increased risk of fraud in online transactions, card networks impose higher charges on merchants for these purchases.