What digital wallets need to spark more consumer use
For all the talk about digital wallets like Apple Pay, Google Pay and Amazon Pay, less than four in 10 consumers say they’ve used a digital wallet to make a purchase in a physical store in the past 90 days, according to J.D. Power research. What’s holding digital wallets back from more widespread adoption?
The digital wallet is a leading tool for payments in many ways, yet still lags at the point of sale.
How quickly digital wallets make the shift to the mainstream will depend partly on how well marketing efforts can extol their advantages to nonusers and light users. Another factor will be whether nascent payment options — including instant payments and pay by bank — become available through digital wallets.
A J.D. Power study on consumer payment preferences shows that fewer than two in five consumers have used a digital wallet to make a purchase at the point of sale in the past 90 days.
When asked about payment methods, 78% of consumers said they’ve used debit cards for at least one purchase, followed by cash, at 74%, and credit cards, at 66%. Far behind all those options are digital wallets, at 36%.
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