Where does one start to understand the mobile payment market? Lucky for me I’m in “the biz” so I figured starting with my co-workers was a good place to begin, so I sent 300+ colleagues an informal survey. The iQmetrix team's combined knowledge of POS, payments and mobile applications makes this (in my eyes) a “professional” opinion. See below for the results.
Mobile Payment Trends of iQmetrix Staff (22% response rate):
- 79% do not use any sort of mobile payment technology.
- 73% of mobile payments users are using PayPal, the most popular among our survey group.
- 60% of non-users don’t see the benefit of mobile payment technology to date.
- However, those using mobile payments reported convenience is the #1 (88%) reason they use mobile payments today.
- Of those not using mobile payments, there was a divide between responses. 35% feel as if they will never implement mobile payments, while the rest will wait until there is more support available. Citing reasons such as “I will implement mobile payments when I can guarantee it is entirely reliable and I don't need to carry my actual wallet as a back-up. Otherwise, what's the point?” and “As my personal phone upgrade permits, and the availability of the services becomes more widespread, I will implement mobile payments.”
To summarize, most expect to begin using some sort of mobile payment app this year. With some early success from recognizable brands like Starbucks, who’s currently reporting 21% of their transactions are mobile, the momentum of mobile payments is underway. As more retailers add EMV-ready hardware and commence with the EMV processing standard, “dip” transactions will increase time at checkout and consumers will look to other ways to shorten their time at the till. As mobile payment applications become convenient and more card brands are supported, I predict a wave of consumers will be jumping on the bandwagon of mobile payments sooner rather than later.