How are consumers responding to mobile platforms?

Category: Payment Processing Technologies

There is progress but adoption still has a way to go

While there has been some evidence of an uptick in use for mobile payment platforms over the past year or more, adoption still isn't as widespread as some in the industry might like. With this in mind, it might be vital for companies to evaluate which types of apps are catching on, which aren't and why. Armed with this information, it might be easier to figure out how to boost use of mobile payment apps in the near future.

While nine popular online banking apps were considered to be of a high quality in a recent survey of thousands of consumer reviews, this was only true of seven mobile payment options, according to a recent poll from Applause. What's interesting, though, is that this comes as consumers quickly determine which of these options they prefer to use, and generally speaking, it seems that well-regarded mobile payment apps are seen as being of a higher quality than well-reviewed mobile banking options.

Mobile payments are becoming increasingly popular as companies fine-tune offerings.Mobile payments are becoming increasingly popular as companies fine-tune offerings.

What makes the most-used apps great?
Further, it's worth noting that the same kinds of features are seen time and again across different popular apps, the report said. Single sign-in options, the ability to review and search transaction history, rewards alerts, and so on all show up in the most-used and best-liked apps, indicating that these are the kinds of things consumers prefer almost universally. The reverse is also true, as unpopular apps tend to lack these features, and are generally plagued with common problems including freezing, recurrent error messages, problems logging in, and an overall lack of certain functionalities.

In addition, it's worth noting that the expectations of high-level performance are only getting higher themselves, the report said. That is to say that as time goes on, consumers expect their mobile payment and banking apps to do more well, and for the things they already do well to also do better.

What else is catching on?
Meanwhile, as companies try to improve the impetus for people to adopt mobile payments use, many are now turning to including rewards programs to further encourage adoption, according to Forbes. These typically work in much the same way as traditional grocery store or pharmacy rewards programs people have long used to lock in everyday savings; discounts can be applied at the point of purchase just by using a mobile payment app, and rewards can also build up over time in some cases.

Often, this is simply seen as a way to get people through the door, so to speak, because once they start using mobile payment apps, they tend to find them more convenient than previous relied-upon payment methods, the report said. What they may not know is that these platforms are also more secure than traditional credit card use as well.

Because of these positive changes for mobile payment apps, retailers need to keep in mind that widespread adoption is coming sooner than later. For that reason, it may be vital for them to make sure they have the right point-of-sale devices to handle these transactions, or they may lose business to more forward-thinking competitors.