The research, carried out by Accord on behalf of Vocalink, includes analysis across 5,000 consumers, merchants and businesses in the UK. Initial findings on UK consumer smartphone and tablet payment habits show that 33% of smartphone owners have used them to purchase items online and 42% have used them for online banking. A third (33%) of tablet owners have used them for online banking, and 43% have used it to shop online.
Security remains the priority for consumers when using alternative payment methods. This is closely followed by convenience and ease of use as further important factors.
“These figures demonstrate the opportunity to revolutionise the UK payments industry using portable devices to support the growing population of people who already transact digitally”. He continues, “For those interested in new payment services, 81% indicated they would be more likely to use them if they were provided by their bank – and of those, around half indicated they would be encouraged to transact more using their mobile device. Traditional institutions have a key role to play and should be at the forefront of payments innovation by delivering services based on consumer demand”.
Continually following the latest payment research and industry developments, a spokesperson from SmartDebit commented, “With increasing smartphone and tablet penetration, mobile payments are set to become the next revolutionary method in the payments industry. Smartphones have been around for quite some time now with various organisations entering the market with innovative services, yet not one product or method has emerged with widespread adoption.”
“Last year, the majority of smartphone manufacturers included a near field communication (NFC) chip in their devices to enable users to pay for goods and services, leading research to predict that global NFC mobile payment transactions will be almost USD50bn worldwide by 2014. However, this figure will rely on easing consumer’s fears over the security of this payment method and raising awareness.”
Whitepapers
Related reading
Central banks best suited to issue digital currencies
By Aaran Fronda A recent report by the Official Monetary and Financial Institutions Forum (OMFIF) said that central banks rather than private ... read more
Instant payments: innovations inbound for corporates
In 2020, instant payments look set to continue their current trajectory to become the biggest trend in payments. While these schemes already offer numerous benefits to corporates, leveraging innovations such as APIs and request to pay will go some way to unlocking their full potential, argues Michael Knetsch
Obstacles exist for banks to meet ECB’s instant payments goal
The cost of joining instant payment platforms will be one of many hurdles banks and payment services providers must overcome to meet ... read more
Banks must be aware of “biases” in data used to train ML models
Financial institutions need to be conscious of biases in the historical data that is being used to train machine learning (ML) models, ... read more