BASINGSTOKE, England–(BUSINESS WIRE)–The window of opportunity in the US for mobile payment providers like
Apple Pay and Google Pay is closing fast. Despite high levels of support
from retailers, only 14% of US respondents currently use OEM-Pay
(payment services provided by smartphone vendors) for instore purchases,
according to a new survey fromJuniper
Research. The survey covered over 1,000 smartphone users across
the US and the UK.
For more insights, download infographics from theConsumer
Attitudes to Mobile Banking, Contactless Payments & mCommerce Survey
2018 US & UK.
Future growth is likely to be threatened by increasing deployments of
contactless cards in the US, with Chase becoming the latest major bank
to announce contactless Visa rollouts.
“Time is running out for OEM-Pay providers to establish a dominant
position in the US,”remarked research author James Moar.“Many
of mobile payment’s benefits, like increased transaction speed, are not
exclusive to smartphones, and our survey shows that the majority of
users who have not adopted OEM-Pay are more interested in services like
contactless cards than mobile-based payments.”
High Street Fears Confirmed: 40% of Consumers Shop Less InStore due
Juniper’s survey also confirms that online shopping is having a
detrimental effect on physical retailers; 40% of survey respondents in
both the US and the UK report that they shop less in stores due to using
online and mobile commerce. In addition, the trend of ‘showrooming’,
looking at physical goods in stores and then checking prices online was
reported by 24% of UK respondents and 13% of US respondents.
However, while mCommerce is a zero-sum game in the UK, with few users
increasing overall retail spending, it may open up new retail
opportunities in the US. 30% of respondents report shopping more overall
due to their use of mCommerce, not merely shopping more online.
Additionally, the survey shows that continued reliance on browser-based
online purchasing is perpetuating non-biometric authentication methods,
like passwords or PINs, presenting an ongoing security problem.