Will the UK’s Society Soon Be Cash-Free?
Even though planning a cash-free society was a too brave idea at that time, payments solutions are changing rapidly and towards the cashless environment. Contactless payments and mobile payments have increased considerably in the UK for the past few years. Today, there is a rumor that Apple Pay will be launched soon in the UK, and in other countries in Europe. This will be a new big step in the evolution of the payment solutions and for the POS systems.
New Contactless Payment Record
Contactless credit or debit card payments are increasing insanely fast. During the past 6 months, these kinds of transactions have risen by 50% in the UK and mainly take place in the supermarkets.
Further than credit or debit card contactless solutions, we can now see the mobile payment solution increasing in the UK. It allows customers to pay in store through applications on their phones or by simply unlocking their phones. Payment details, loyalty points and offers will be taken under consideration. Due to security concerns, the contactless terminal will not receive the credit or debit card details, but a virtual account number representing the account information.
UK citizens have been really enthusiastic about this new technology, especially for the past 15 months. 44% of the UK citizens are even ready to change their bank account if their current one doesn’t offer mobile payment. One in four Europeans expects to use mobile payment on a daily basis by 2020, growing from one in ten using it on a daily basis today. Also, 60% predict using mobile payment at least once a week by 2020. Today, many applications can be used, but Apple Pay is still available only in the US. However, it could be soon released in the UK as it has been revealed that Apple Pay has settled down a team there.
The graph clearly shows the evolution of mobile NFC transactions and the growth expected for 2016. Western Europe is the area where mobile payment is mostly used in the world.
The Future of Mobile Payment
New mobile payment services have already been considered and tested. Hands free solutions and wearable technology are on their way to hit the market. Paying with your phone, without even having to take it out of your pocket, could soon be possible as well as paying with a connected watch or bracelet.
Sources: nfcworld.com, statista.com