Mobile payments not catching on with consumers
Some businesses have implemented the technology necessary for mobile payments, but it may not be necessary for more companies to jump on the bandwagon. This wavering trend isn't catching on with customers as initially expected, which means businesses will still need to rely heavily on currency, check and coin counting machines to manage transactions and cash room processes.
Many businesses across the nation have invested in mobile payment solutions, capabilities that allow consumers to pay via a retailer's smart device or tap their phone and pay with their own gadget. However, this trend isn't catching on like business owners once thought it would. A new survey from Accenture revealed that although some customers do use this technology to make purchases, others prefer more traditional forms of payment.
Customers have issues with the idea of mobile payments
The study showed security concerns are the most prevalent concern among consumers when it comes to mobile payments. They were a barrier for 60 percent of respondents, who claimed they were worried about the transfer of sensitive personal and financial data via mobile purchases. Thirty-seven percent of consumers had concerns about privacy that kept them from making these payments.
Convenience is also a factor that keeps shoppers from employing their mobile devices to make purchases. Thirty-seven percent of those polled said the convenience of having cash and checks was easier than paying with a smartphone.
Other consumers may be eager to keep track of their purchases and monthly spending, which they may find easier to do with more traditional payment forms. Many respondents were left unimpressed by the fact that they were not able to track receipts from purchases made with a smartphone.
"While the industry is preoccupied with the technology rollout for mobile payments, we found that consumers are still very concerned about security and privacy issues," said Matthew Friend, managing director for Accenture Payment Services. "In addition, a significant number still don't see the convenience and value of using their phones to make payments."
Concerns could lead some to continue using cash
Because of the substantial concerns many shoppers have about mobile payments, they may continue to rely on cash and checks while making purchases. This not only alleviates their security concerns, but also eases their privacy worries and is a more convenient and easy way for them to track their spending habits. As a result, business owners should ensure they have a check and money scanner that will expedite transaction processing.