NEW YORK—Another report indicates that while there is growing interest in mobile payments, usage of digital wallets continues to lag behind expectations.
“Nearly half of U.S. consumers, 48%, are interested in mobile payments like Apple Pay or Android Pay, according to a study from NTT DATA. But there still seems to be hesitation among customers yet to adopt the tool,” reported Forbes.
The reported stated that what's holding back consumer acceptance of mobile payments is coupon/rewards motivation, as well as security concerns, an issue on which CUToday.info has reported.
“Some comment that the time spent on transactions due to chip and PIN authentication will force consumers to switch, others think a winning customer experience will be the turning point in driving users to mobile wallets,” stated Forbes.
But a key reason for consumers’ hesitation to use digital wallets, experts have stated, is that tapping the phone is not much more convenient than swiping plastic. As card analysts have noted, it will take more geo-location-based offers and store discounts for using a digital wallet to really sway consumers to mobile payments.