LONDON—The number of people using digital wallets will increase to nearly four-billion from the current 2.3 billion by 2024– 50% of the world’s population–a new study is forecasting.
The report from Juniper Research indicates the accompanying growth will push digital wallet transaction values up by more than 80% to more than $9 trillion per annum.
According to the study, Digital Wallets: Service Provider Analysis, Market Opportunities & Forecasts 2019-2024, the strongest growth is expected to come through online payments for remote purchases. The study argued that increases here would be driven by a greater volume of transactions conducted via stored credentials, stated Which-50 in its analysis.
For example, in the U.S., annual spend per digital wallet is expected to increase from around $3,350 this year to more than $6,400 by 2024.
Other Boosters
“Furthermore, the research claimed usage would be boosted by the increased security for online payments afforded by the introduction of SRC (Secure Remote Commerce) standards from H2 2019, with transactions protected via tokens and dynamic cryptograms,” Which-50 said.
The study also highlights the challenge posed to NFC-based contactless wallets, such as Apple Pay and Samsung Pay, by the emergence of wallets based on QR codes, with growth expected to be boosted by the implementation of EMVCo standards, Which-50 said.