The trick to driving mobile wallet adoption may rest in coupons, discounts and loyalty rewards, according to new data from Javelin Strategy & Research.
The San Francisco, Calif.-based research and advisory firm released a report this week finding that although adoption rates have somewhat plateaued overall for mobile wallets, merchant wallets are the most widely adopted among consumers for payment at the point of sale.
Javelin Strategy & Research said the research calls into question the wallet as a payment method, but it also found that some features do make mobile wallets more attractive to consumers.
“In the rush to market, the main wallet value proposition, paying at the POS, wasn’t particularly compelling. In reality, loyalty and rewards will drive adoption, something merchants are doing particularly well,” Javelin Strategy & Research Director of Payments Krista Tedder said. “Nevertheless, third-party wallets can and should compete. A large group of consumers are primed to make the jump to in-store payments, and a feature-rich mobile wallet stands to gain a larger share of their spend.”
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