Visa Europe Predicts Mobile Payments Boom by 2020 (June 8, 2015)
The U.K. might not be a cashless society by 2020, but Visa Europe research predicts mobile payments will help displace cash as they gain popularity. Within five years, one in four consumers is expected to use his mobile phone to make payments on a daily basis, compared with one in 12 who do so currently. What’s more, 60 percent of U.K. consumers are expected to pay with their phones at least once a week.
What’s more, he average shopper expects to spend £27 (US$41.23) on mobile devices each week by 2020, £10 (US$15.27) more than they spend today. Nearly a quarter of respondents (24 percent) predict they’ll spend more than £50 (US$76.36) a week using their mobile devices by 2020. Music and apps are the items most frequently purchased using mobile devices today; however, Visa Europe notes a growing number of consumers already buying higher value items, including electronics (23 percent) and clothes (22 percent).
“While we’re excited to see consumers saying they expect to triple their weekly spend using mobile payments over the next five years, we at Visa think those numbers could be rather conservative,” said Jeremy Nicholds, executive director for mobile, Visa Europe. “This is particularly true when you look at the growth in contactless usage, which saw European usage grow by [double] and spend [growth triple] over the last 12 months. … The environmental conditions are already in place to meet the demands and expectations for digital payments.”
Click here for more information from Visa Europe’s research.