To quantify the growing weight of m-Commerce and the methods of payment via smartphone, one piece of information is enough: according to a study by the United Nations Conference on Trade and Development, in 2019 mobile payment will exceed the use of credit cards. credit, becoming also the majority method of payment of purchases, with 51% of intended use compared to 46% that is estimated to the cards.
Although these data are limited only to developed countries, the United Nations report highlights the rapid implementation of payment apps in emerging markets and especially large economies such as China and India. In these countries, precisely, there is a higher rate of growth and implementation of mobile payment methods.
Attraction and convenience
The world is experiencing growth in the use of mobile payment up to 83% of its public, exceeding the European average which is set at 68%, according to Visa data. The credit card company justifies this rebound due to the greater perception of security by users when making purchases and transfers through their smartphone.
In addition, the convenience factor is also weighing on users, given that advances in design and user experience are facilitating the incorporation of new audiences to mobile payment. In addition, these improvements in the operation facilitate the purchase process, allowing the comparison of products and reducing the abandonment of carts, by the positive influence on the buyer to offer a greater number of payment options.
Milenials and future consolidation
Another factor that helps to understand the rise of paid apps is their penetration among younger users. Thus, the report ‘The future of the acceptance of payments’ of Universal Pay shows that 86% of Spaniards with ages between 18 and 34 years, the segment known as millennials, use their smartphone to carry out purchases and payments digital or queries in fintech applications.
This study helps to understand what type of users are the ones who use mobile payment the most and what trends predict both clients and digital businesses in the short term. Predictably, the youngest are, as digital natives, the most integrated in mobile payment methods, although the impression that this modality will be the most used in the short term is intergenerational.
Thus, 93% of respondents, aged between 18 and 65, believe that in less than two years they will make digital payments through their smartphone or other mobile devices. On the corporate side, 45% estimate that by 2020 payment app will be the most used method, while 67% believe that in five years mobile payment will be hegemonic.