Mobile technology is changing the way people pay for things, but only 1 in 5 people have adopted this new way to pay, according to recent statistics. What’s standing in their way? And what is the industry doing to address user concerns?
Mobile payments are becoming more sophisticated as supporting technology evolves, but these roadblocks are standing in the way of consumer mobile payment adoption:
Security concerns. Consumers are concerned about data security with host card emulation or HCE payments – when an NFC-enabled smart phone acts like a card for a payment transaction – and other types of mobile payments. Users worry that their personal information could get into the wrong hands or that using mobile payment technology could result in additional spam or junk mail. PCI encryption, tokenization and other security measures address this, but consumers may not understand these aspects of going mobile.
Consumer preferences. Many people find swiping or inserting a card easy enough. They aren’t bothered by entering a PIN, so they see no reason to change how they pay. In fact, tapping a smart phone app may take longer than using a card for many users. Merchants can increase adoption of mobile payment technology by tying in-store coupons and loyalty programs to paying with a mobile app.
Lack of a global standard. Mobile payments are not always internationally compatible. As a global standard evolves, consumers are increasingly likely to warm to mobile payment adoption, according to researchers. It will also help when one app allows paying almost anywhere.
The UniPay gateway is built in the mobile era with mobile payments in mind and can help you meet consumers where they are with mobile payments that allow peer-to-peer payments, replace plastic cards for some users, help centralize reward points and more.
Businesses have no choice but to become involved in mobile payments, and you can be a leader in your part of the marketplace. The UniPay gateway can help. Contact us now to learn more about how you and UniPay can make a great team.