Half of US consumers are unfamiliar with m-payments – report

Wednesday 14 January 2015 14:18 CET | News

As the infrastructure for widespread use of in-store mobile payment locks into place across the US, the industries involved can accelerate adoption by better educating consumers on the performance and use of mobile pay services, a recent survey reveals.

According to a recent research by Verifone of US consumer attitudes, more than half of respondents (53%) said it was important for more stores to install devices that enable consumers to pay with their smartphones, indicating wide receptivity to mobile pay options once they’re provided. The response was significantly higher among younger consumers, as 64% of respondents aged 40 and below agreed that more stores should install devices that allow customers to use smartphones to pay. Additionally, 84% of respondents said they would use their smartphones to pay for small and medium purchases, such as a cup of coffee or pair of jeans.

At the same time, the survey showed that half of consumers polled were unfamiliar with mobile technologies such as near field communication (NFC) and mobile wallets. Similarly, half of respondents said they were unlikely to shop in a store because it used in-store tracking technology to provide offers on mobile devices.

Other key survey data include the fact that credit/debit cards remain the primary method of payment for 63% of all survey respondents, with 6% favoring alternative payment options such as PayPal, and 4% preferring mobile wallet services. A total of 54% of survey respondents are familiar with EMV technology. Of this group, 39% use credit or debit cards that have EMV chips as their primary or secondary payment method; among respondents under 40 years of age, 49% use credit or debit cards that have EMV chips as their primary or secondary payment method.

Furthermore, more than half of respondents (56%) are willing to continue shopping at a store whose credit card information was stolen; the number of consumers who are less likely to continue shopping at such a store was 44%.

Among the advantages cited to using smartphones instead of traditional payment methods, speed of use ranked first (34%), followed by freedom from carrying a wallet (29%), access to mobile deals (24%), ease in tracking spending (23%) and safety of personal data (18%).

Conducted online by Wakefield Research among 1,000 adults over 18, the survey took place during the busy holiday shopping season, between December 16 and December 23, 2014, timed to coincide with maximum consumer interest in retail payment options.

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Keywords: VeriFone, m-payments, mobile payment, mobile, payment, in-store, Mobile Pay, smartphones, NFC, mobile wallets, EMV, Wakefield Research
Categories: Payments & Commerce
Countries: World
This article is part of category

Payments & Commerce