Mobile money

June 17, 2011, 12:00 AM GMT+0

Almost a quarter of people are interested in using their mobile phone instead of cash to pay for purchases, our latest research shows. Based on the findings that one in ten people are likely to use the service in the future, YouGov analysts predict rapid take up of the so-called ‘wave and pay’ technology, despite concerns among some of the public that the initial technology may have some issues which will need to ‘be ironed out’.

  • 23% of British people are interested in using their mobile phone instead of cash to pay for purchases
  • And 10% say they are likely to use the service in the future
  • While 5% agree that they will get the technology as soon as it's available, almost half (48%) won't be in a hurry to use the mobile service
  • More than a third (36%) of respondents admitted they didn't know if their existing phone was enabled to make cashless payments with a technology known as Near Field Communications (NFC)
  • The top perceived benefits for those planning to use NFC in the future are: convenience to pay (87%), the speed of paying (67%) and the feeling that it would be easier than carrying cash and cards (67%)
  • 29% said that paying in this way would make it easier for them to keep track of their spending
  • The main reason for respondents not planning to use mobile payment in the future is that they are happy with the way they pay now (67%), while concerns about security and fraud (56%) were also a factor

YouGov Technology and Telecoms Consultant, Russell Feldman, who led the research, explained, ‘Many consumers are attracted by the idea of paying for items via their mobile phone. Retailers, mobile operators and handset manufacturers have a real opportunity to educate consumers about the advantages of paying – particularly for smaller items – in this way. We believe once people have seen it in practice they will be quick to adopt it.’

‘There will always be consumer concerns about adopting any new technology, from data security to theft, changing mobile providers to correcting mistaken payments. Consumers need to see that these genuine worries have been addressed before they wholeheartedly embrace mobile payments. Our research suggests that consumers see using NFC technology as inevitable, and they are expecting supermarkets, mobile phone and consumer electronics retailers to be the first retailers to offer contactless payments.’