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Consumers see contactless as a stepping stone to mobile payments

Consumers see contactless as a stepping stone to mobile payments
Friday December 30 2011

2012 set to be the tipping point for mainstream contactless adoption

Visa's  Contactless Barometer study reveals that contactless owners value the convenience and ease of contactless payments, but suggests that the current relatively low acceptance levels in some markets is still preventing usage from becoming an every day habit.

Seventy seven per cent of contactless owners across all three markets agreed or strongly agreed that contactless technology would ultimately become more commonplace than cash as a payment method (UK: 73%, Poland: 79%, Turkey: 79%). Eighty seven per cent also agreed that contactless will be instrumental in bringing mobile contactless payments to market in the near future (UK: 84%, Poland: 89%, Turkey: 89%).

Mark Austin, Head of Contactless for Visa Europe said: "People with experience of contactless cards are starting to see it as the first step to the arrival of mobile payments. The tipping point to more mainstream acceptance will be availability: the more chance consumers have to use their contactless cards, the more enthusiastic their response becomes. For us, London 2012 will be a major tipping point in the UK, with thousands of new contactless terminals installed across the Olympic venues to make payments as easy and convenient as they can possibly be."

The proportion of contactless owners who cite the availability of contactless Point of Sale (PoS) terminals as a preventative to usage has increased (34% of UK contactless users vs. 23% the previous quarter). Where acceptance has increased, usage has grown significantly. For example, as a result of McDonald’s nationwide rollout of contactless terminals in the UK, 32% of UK card owners have now used their contactless card to pay for fast food, compared to just 12% in the previous quarter.