Security misconceptions prevent US consumers from switching to mobile contactless payments

New Ideas in MarketingEssential news for marketers, summarised by YouGov
August 09, 2019, 3:33 AM UTC

Only one in four consumers believe that transactions through digital wallets are very secure.

This piece states that despite mobile contactless payment options being available in the US for a decade now, usage results are underwhelming. According to 451 Research’s Global Unified Commerce Forecast, payment methods like Apple Pay and Google Pay are projected to account for just 1.6% ($78.6 billion) of US offline retail sales in 2019.

The author contends that contactless mobile payment options do not provide many additional benefits over physical cards. However, security concerns are seen as main reasons for slow adoption.

A little more than one in three US consumers believe that digital wallets are more secure than traditional credit cards. The study revealed that being able to “receive discounted offers on products/services” can nudge one in three non-digital wallet users to adopt.

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