Consumers are rapidly moving into a mobile-first mode. It’s not just mobile-first that is growing; the number of mobile-only users is growing significantly. While more and more consumers are using mobile devices to do things were once only desktop functions, point of sale payment remains mainly a physical task. New research is showing that conditions are ripe for mobile to become the preferred way consumers pay for things.
● 50% of consumers carry less that $20 cash on them at any time, less than a third have $30 or more on them
● 32% of consumers have used a digital wallet but nearly 80% are aware of mobile wallet functions
● Over 40% of adults 18-29 have used a mobile wallet, only 18% of adults over 44 have made a mobile point of sale payment
● Mobil wallet use is currently very infrequent. Among those who are mobile wallet users, less than 7% are using them on a daily basis and 33% use it weekly
What This Means To You
2 factors that could move consumers into paying mobile-ly; shoppers are not carrying cash like they used to and a recent study showed that one of consumers biggest pet peeves is waiting in line.
One of the biggest hurdles to mobile payment acceptance will be the lack of a singular app or vendor. Currently, 80% of mobile payments are made through PayPal and 40% are made through Google Wallet. A recent survey showed there were more than 10 other services that consumers are using to make mobile payments. For mobile POS to fully take old, an easy scan-and-go or secure near field communication function must be used. Customers will not want the hassle of emailing a payment while standing at a register (or worse, waiting behind someone who is emailing a payment). One thing you can do take advantage of market conditions is investigate is advance mobile payment.
Early adopters to this tactic are movie theatres and other ticketed event businesses.
It could also work well when consumers are buying set items, when the price is determined before the sale is made and they are not looking to buy other things. It might work great for buying TV, but not so well for say, groceries.
One of the benefits of mobile payments is customer data. Savvy businesses will be able to integrate contact information from the mobile device, to the items that were purchased and merge them into a CRM function. This will allow your business to better target specific items to specific customers and move your messaging from being a pure advertisement to a value to the consumer. For more information on how to create more engagement with customers, please
Sources: mCommerceDaily; Thrive Analytics