Before we know it there will be no need to carry that big clunky wallet around. No more cash, debit or credit cards. Companies are making it easier and easier to make a purchase using your mobile device which is very appealing to today’s consumer.
Marketers have predicted the mobile payment revolution should have already come this year. But people across each generational cohort are still walking around with their credit cards in hand. However, companies are streamlining their mobile payment processes to make it easier and more appealing to customers. That being said, we should expect to see a major shift in consumer behavior very soon. At this point, we are at a place where people love the idea of mobile payments but aren’t ready to make the jump just yet.
There’s one thing we know for sure… using Smartphones as a form of payment has certainly been on the rise in recent years. Industry experts are predicting that we will spend around $60 billion in mobile payment spend in 2016 which is a huge increase from previous years. The chart below outlines this growth pattern.
Aside from the more generic Apple Pay and Google Wallet options, other retailers have been making mobile payments more appealing through providing discounts, freebies and special offers to customers who pay through their mobile app. One company who has emerged as a leader in the mobile payment space is Starbucks. Through offering a rewards program to customers through their mobile app program, more and more customers are beginning to utilize their Smartphones to pay for their favorite handcrafted coffee drinks. Customers no longer have to fumble around in their purses and wallets for loyalty punch cards or gift cards to redeem their discounts and free drinks. This convenience factor coupled with a simple way to earn free treats make this one of the most successful mobile payment apps on the market today.