Masses to reject Mobile Payments this Christmas

Author Admin October 13 2015

From the latest Sept 2015 wave of Skopos MTrack™, we can report that a very large majority (82%) of the UK adult population (18+) are not intending to pay for their Christmas gift haul via a mobile or watch (e.g. via Apple/Samsung Pay or similar).

The key explanation is simple - No compatible smartphone/smartwatch

• For instance, 94% do not currently have an Apple or Samsung or similar smartwatch and some 40% do not have an Apple or Samsung mobile (the market leaders in smartphones)
• And there is some possible misunderstanding amongst users/customers as well, as 17% of Apple/Android phone owners say their mobile is not compatible with mobile payments (although this could also be an age/model issue)

Other barriers also exist, and for those not intending to use mobile payments this Christmas these other off-putters and explanations include…

•  No interest in a smartphone/watch (not needed/wanted/expensive) 18%
• Prefer Paying by Cards (as now) 17%
• Security/scam concerns* 10%
• Will shop online for Xmas (not in-store) 10%
• Prefer Paying by Cash (as now) 9%

*previous Skopos MTrack™ research has shown Mobile Devices to be perceived as much less “secure” than their bigger PC/laptop cousins

This could all be summed up as inertia to change, and a risk-reward trade-off. Do I really need to change? Could something go wrong if I do switch payment method?

This visual here nicely captures these concerns...

But Resistance is Futile…?

To counterbalance the above more negative view, we can also report that this current small percentage of ‘smart’ owners/users (and mobile payers) is likely to increase, especially amongst younger men, with a quarter of Males and a third of those Under 35 saying they intend to get a smartwatch (for instance) in the near future.

We also know that in total, after just a short period since introduction, that just under 1 in 5 (18%) of UK adults aged 18+ DO intend on PAYING for their Christmas presents via a smartphone or smartwatch this coming Christmas, e.g. via Apple/Samsung Pay (but Females and the Older population are less likely our survey shows). Add to this the current heavy promotions by banks for mobile payments, and the ever increasing number of outlets installing mobile payment facilities, and we can safely predict a healthier future for Mobile Payments.

The key driver for this is naturally Availability and Familiarity of the required technology (of course), supplemented with channel positives (and perceptions) such as Ease, Speed and Convenience.

Our visual here sums these positive feelings and perceptions up.



In conclusion, as we have found time and time again with our research, although critical mass will most likely be reached regardless for mobile payments, mass education and familiarisation plus clear reassurance (in communications and actions to provide “security”) are the keys for the successful introduction of new technology and channels.

Just think what time and the padlock symbol did for online transactions!

More from Skopos MTrack™ in the near future.

 All data sourced from Skopos MTrack™ Sept 2015 (n=315, UK adults 18+, nationally representative).

Skopos is a leading Market Research Consulting Firm based in London and across Europe. We provide Thoughtful, Insightful, Helpful Research for Brands that use the Digital Space.