SUNNYVALE, Calif.—The number of mobile contactless payments made by consumers will exceed 760 million in 2020, up from 440 million in 2018, according to a new report.
The forecast comes at the same time another report has indicated the use case for mobile wallets continues to lag, as CUToday.info reported here.
A study from Juniper Research indicates that OEM Pay services such as Google Pay, Apple Pay and Samsung Pay, will reach 450 million payments by 2020, with Apple accounting for half of all OEM payments globally.
The combined market share of Apple, Samsung and Google will reach 60% of global mobile contactless users by 2023, up from an estimated 50% in 2018, reported IBS Intelligence in its analysis.
Other OEM Pay users, including the likes of Huawei Pay, Xiaomi Pay, Fitbit Pay and Garmin Pay, will exceed 20 million by 2020. Meanwhile, well over 200 banks had deployed HCE-wallet services in 2017, IBS Intelligence said.
“While contactless payments use has risen rapidly, Juniper argues that this does not mean higher growth for mobile contactless payments,” IBS Intelligence said.
In many established markets, contactless cards remain the most likely to have increased current and future usage by consumers, and OEM Pay options may struggle to gain traction amongst existing users in such markets, the report shows.
“Data from LoupVentures indicated that Apple Pay adoption is experiencing a sharp rise in the U.S. The total number of these retailers supporting Apple Pay online now ranges between 14% and 24%,” IBS Intelligence said.
Globally, the number of banks supporting the Cupertino payment platform has increased by 41% over the past year—2,707 banks are now compatible with it, the news source noted.