A 247% increase in the number of mobile transactions of all in-store purchases has been reported in a research conducted by Worldpay in the United Kingdom. Analysis of transaction data and a consumer survey that took place in Britain showed that over the last year users almost tripled their mobile payments.
The survey showed clearly that the British are trusting more and more this new modern way of payment. Data indicates that almost half of the mobile tap and pay transactions occurred in supermarkets, grocery stores and lunchtime hotspots. One out of five (20%) mobile transactions were done in pubs, bars and restaurants where the British enjoy their pints of beer after a difficult day at work. 9% of those transactions were done inside a beauty store or a pharmacy.
Londoners seem to like to pick up their smartphone, pay and listen to the sound of successful transaction. 32% of mobile payments happened in London which puts the capital in the first place of embracing technology in this sector. Londoners are also the biggest reason why South East England is the champion of using a smartphone for paying, with 14% of total mobile transactions, while areas like the East and the North West are having a hard time catching up, scoring a small 8% each.
Last December was a crucial month for this kind of payments. Christmas and New Year shopping were the main reason why contactless paying with an NFC (Near Field Communication) enabled phone, topped 51 million pounds. Another main reason for this extremely good result was the introduction of Android Pay. Google’s contactless smartphone payment system was introduced in the UK in September 2016 enabling most Android users to connect their credit cards with the application and shop without using cash. Android Pay will be facing the famous Apple Pay which is a similar system just for Apple devices.
Statistics show that 28% of all non-cash payments in the UK are done contactless, amounting to almost 10 billion pounds in 2016. Analysts think that contactless cards issued by banks have paved the way for this rapid adoption. Surveys show that half of British shoppers would be happy to use their smartphone for any form of payment instead of traditional cash.
In another announcement made today by Paypal, 30% of payments processed by the company are from mobile phones. 50 million people have enabled One touch in their Paypal account to help them with payments via smartphone. Almost 31 billion dollars in mobile payments have been processed by Paypal for the last quarter of 2016, which signals a 53% increase from the same period in 2015.