Contactless Payment Remains Unpopular due to Security Fears
Consumers are discouraged from using contactless payment technology due to a lack of information and fear of theft, figures suggest. The research by payment solutions provider Ingenico indicated that whilst many would currently consider using contactless debit and credit cards, their share of the market is currently very low.
Only 13% of customers have ever owned a contactless card, whilst even less have ever actually made a payment in this way. Despite this lack of success so far with contactless credit cards, 46% said they would consider using contactless mobile phone technology to make payments.
A number of reasons were given by consumers for not taking up use of the technology. Many said they were put off by the potential security problems of using contactless technology. Around 61% said they needed more reassurance that contactless technology was safe, whilst around half of respondents expressed worries about fraud and identity theft. On the other hand some respondents had practical problems with using the technology, with 43% not knowing where to use a contactless card, and 35% lacking knowledge of what a contactless payment terminal looks like.
The managing director for Ingenico in the UK and Northern Europe, Craig Doyle commented: “Consumers have long demanded improved convenience and speed during their shopping experience. But this research reveals that they are still not sufficiently confident in using contactless technology to make the switch from traditional cash and cards.
He remained upbeat however, suggesting that “There can be no doubt that we remain on the cusp of a major payment revolution. However, providing shoppers with clearer information about contactless technology will be critical to improving their knowledge and ultimately increasing consumer adoption.”
Most popular searches: credit card