Consumer Expectations About Mobile Payments at Odds with Industry Perception

by Joseph Walent 0

The disconnect existing between technology users and providers has typically been a chasm that becomes traversable with ongoing iterations and increased education. As technology becomes more usable and consumers understand how it is used, the gap is bridged. In the case of mobile device based payment schemes it appears we remain at an early stage of differing expectations.

Almost 60% of industry experts believe that one day traditional wallets will be replaced by mobile wallets, however, when asked how they will pay in 10 years’ time, just 6% of consumers believed their main payment method would be using a mobile.

While the technology is indeed becoming more accessible in is in the hands of more consumers, the actual use rate remains somewhat anemic. In the absence of a wide-spread marketing push to incent those in possession of NFC-payment enable devices to use them at the POS, folks will continue to follow behaviors that have proven effective.

Engaging with retailers to have “NFC-only” express checkout lanes may prove to be one effective ways to encouraging consumers to set-up and adopt NFC based mobile payments to pass through the check process more efficiently. However, in the absence of demonstrating any real benefit to the consumer, mobile payment providers will need to be content with a gradual transition as forecast in this article.

Overview by Joseph Walent, Senior Analyst, Emerging Technologies Advisory Service at Mercator Advisory Group

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