A report released by Deloitte predicts that 2015 will be the ‘tipping point’ for mobile payments. The report estimated that, this year, five per cent of the world’s 600 million equipped smartphones will be used to make an in-store purchase at least once a month, a 1,000 per cent increase on 2014. By the end of the year, Deloitte predicts one in 20 smartphone owners will have made a mobile payment with their phone.
numero believe that the key selling point of mobile payments to consumers is that it will streamline the checkout process making their experience easier. Simplicity should be at the forefront for retailers when considering their processes.
“British consumers are eager to have a quick, convenient and secure shopping experience – at the click of a button, in-store or on-the-move,” said Nick Stacey, director of business and market operations at The Logic Group.
The Logic Group’s Christmas Shopper Survey 2014 found that 74 per cent of British shoppers would “prefer to use contactless card payments” in 2015, while 54 per cent would be happy to pay for their 2015 Christmas shopping using mobile payments in-store. The study also found that one in five consumers showed interest in paying for goods through wearable technology such as Apple Watch or Google Glass or a social media account.
Mobile payments holds a lot of promise for both the consumer experience and merchant. As the trend accelerates numero believe it’s important for brands to not look at mobile payments as just an exchange or purchase but to consider payments as part of the overall customer journey and experience. Easier payment solutions will also benefit retailers as consumers will be willing to share their personal data in exchange for a simpler and better service.
The New York Times reported that in the first couple of weeks following the launch of Apple Pay, one of its retailers Whole Foods processed more than 15,000 Apple Pay transactions. The following month, public availability of Apple Pay and Google Wallet transactions was up 50 per cent and users had doubled.
Nick Stacey stated, “Retailers who have rolled-out omnichannel customer interactions in 2014 are coming out ahead of the rest. 2015 will be a crucial year for retailers to truly utilise multiple shopping channels.”
Will 2015 be the year when we stop using wallets? Maybe not.
With security issues still remaining over customer privacy and the value it can bring to retailers, numero predict that mobile payments will only take off once it becomes consumer habit — when people reach for their phones instead of their wallets to pay. Although, considering Apple’s influence and record to date, Apple Pay could finally be the tipping point in introducing mobile payments as the norm.