The use of contactless mobile payments approached in 2020, among other technology trends accelerated by the Kovid-19 epidemic. According to a recent report by analyst firm eMarketer, mobile payment usage increased by 29% in the US last year, as did the epidemic. Point-of-sale pushed consumers to swap cash and credit cards for a possibly secure mobile payment option.
Last year, 92.3 million US consumers used 14 or more proximity-based mobile payments, at least once during a 6-month period in 2020 – a figure that would have been expected to reach 101.2 million this year. is. And that usage is now on track to overtake half of all smartphone users by 2025, e -market forecasts.
Adoption last year was the largest among young consumers, including General Z and millennials. The former is expected to account for more than 4 million of the total 6.5 million new mobile wallet users per year from 2021 to 2025. Millennials, meanwhile, will account for about 4 in 10 mobile wallet users.
Several industry reports had already noted the effects of the epidemic on the mobile wallet industry in general, an estimate by finance and investment company Finaria earlier this month that the industry grew 24% from the previous year to $ 2.4 trillion in 2021 Will reach to. While Asian markets, and China in particular, have been a leader in the adoption of mobile payments, the US has previously struggled due to the slow rollout of mobile payment technologies by retail stores. But now, it has become the second largest market with mobile payment transactions worth US $ 465.1 billion, which will increase to $ 698 billion in 2023.
The epidemic had prompted retailers to finally get on board with mobile payments. A mid-year survey published in 2020 by the National Retail Federation and Forrester found that 69% of retailers had increased no-touch payments, and that 67% now accept some form of contactless payment, Which includes both mobile payment and contactless cards.
As a result of changes in the industry, eMarketer reports not only increased mobile wallet usage, the average annual spend per user is also increasing. The firm estimates the figure will increase 23.6% from ~ $ 1,973.70 in 2020 to $ 2,439.68 in 2021, and will exceed $ 3,000 by 2023.
In the US, Apple Pay remains the top mobile payment player with 43.9 million users in 2021, growing from 14.4 million between 2020 and 2025 – more than its rivals. Starbucks will remain the No. 2 player with 31.2 million users, followed by Google Pay, which will add 10.2 million users during that timeframe. Samsung Pay, meanwhile, is seeing steady growth, adding just 2 million more users between 2020 and 2025.