Brits ready to switch banks to access mobile payments - Zapp
19 December 2014 | 15513 views | 10
British consumers are increasingly prepared to switch banks to access mobile payments, as anticipation for new ways to pay builds, according to new research from mobile payments company Zapp.
Forty four percent of 2000+ consumers polled by Zapp said they would be prepared to switch accounts if their current bank was unable to offer mobile payments and had no plans to do so. Of these, a third (33%) say they would do so within a year.
The research found that enthusiasm for mobile payments has skyrocketed over the last 15 months. Twenty eight percent of consumers have already used their phone to make a payment (up 64% from September 2013) and 59% say they would use their phones to pay if a simple system existed that didn’t require extra set up.
Consumers say their mobile will become their preferred method of payment before the end of the decade for all kinds of purchases, including: sandwiches (51%); car fuel (52%); and travel tickets (57%). Almost half plan to use their mobile to pay for electronic products and one in five (20%) even say they would buy a house using a mobile payment.
Within just five years, 47% of consumers say they will actively choose to shop online or in-store with a retailer because it accepts mobile payments, with almost a quarter (24%) of these saying they would do so within a year.
Commenting on the research findings, Peter Keenan, CEO of Zapp says: “The success of early forms of mobile payment and the buzz around forthcoming launches of mass market initiatives has clearly whetted consumers’ appetites. This research...suggests banks and retailers stand to gain significant competitive advantage from offering and accepting mobile payments early."
VocaLink-backed Zapp enables real-time payments on people’s mobile phones through their existing mobile banking application. Banks that have already announced their support for Zapp ahead of its 2015 launch include HSBC, first direct, Nationwide, Santander and Metro Bank. Sainsbury’s, Asda, House of Fraser, Thomas Cook and Shop Direct are among the major British retail brands that have committed to the service.
Says Keenan: "I’m confident 2015 will prove a tipping point, as simple, secure mobile payments like Zapp become a reality for millions of British consumers.”