Cashless Economy by 2030?! and Apple Pay’s Growing Ubiquity

"By 2020, consumers will be conducting the majority of their payments and banking using a mobile device.” AdrianLovney, CuscalGeneral Manager

The most important factor to look into when developing a product or service is to study and understand the target audience. Hence, in terms of mobile app development, businesses must really be sure of what their consumers want out of the application. The app has to be useful for the product users and not just another version of static information.

Technology is reshaping today's economy, with the increasing use of mobile payment options such as Apple Pay, Paylah, Paynow and many others. Spanning from crypto-currencies to instant online payments, these innovative solutions are breaking boundaries and pushing the basic payment infrastructure of our economy to greater heights. Now, the mobile devices we carry in our pockets are becoming more than just mere means of communication and sources of information but also becoming a new mode of payment. Who needs a wallet these days??

Below is a timeline breakdown of how mobile payments have evolved over the years and what it potentially will become:

(Rampton, 2018)

Based on statistics taken from Credit Cards.com, consumers worldwide are becoming increasingly receptive new mobile features and advancements, especially when it comes to using their mobile devices to make purchases online. As we can see from the statistics shown below, it proves that in today's society, there has been a steady increase in the acceptance and usage of mobile front features and payments as they now find it both convenient and safe.

(Gonzalez-Garcia, 2018)

So, why are digital payments more secure than the physical card itself? And why should online businesses enable Apple Pay as an option for modes of payment?

Since the invention of credit cards, the biggest issue has been the constant fear of credit card security, especially when stolen or misplaced. Jennifer Pollock, Content Marketing Editorial Lead,states in a report that “Payments like Apple Pay are the the most secure payment method out there. Apple Pay contains multiple layers of dynamic encryption and is also protected by TouchID, Apple’s fingerprint technology". This additional guaranteed benefit gives mobile users yet another reason and assurance to turn cashless in their mode of payments, rather then sticking to their old fashion ways.

Furthermore, on the other end of the supply chain, Apple Pay has proven to be a great way of establishing and increasing credibility for online start- up businesses. Hence, this adds to the customer value in terms of security as well as to the business by ensuring a certain level of credibility.

Spearmint Love, an online children's clothing store sees mobile offers spike as Apple Pay makes the checkout process seamless and increases conversion for mobile users.

"Our traffic is now over 80% mobile. Any technology that improves the user experience for mobile users is something we consider testing." Following this, they were also asked if they would recommend Apple Pay and they agreed to it as it can generate more mobile traffic to their website.

With growing testimonials from companies benefiting mobile payments, companies will take interest in setting up online payments for their products or services. According to GSMA Intelligence, there is a broad reach of over five billion mobile users. Hence, the global market for mobile payments is expected to grow in popularity amongst users by 2030.

Now, let me end of this post by asking you a question, "IF you were an online business, what are some modes of payment you'd consider adding to your website and why?"

Feel free to respond to this post in the comments below, I'd love to hear what you guys' opinions and perspectives are!

Till I write again, see you in my next blog post!!

- Megan Ng