Merchants Should Prepare For Digital Wallet Use

The number of unique digital wallet users will exceed 4.4 billion globally in 2025, rising from 2.6 billion in 2020, says a study from Juniper Research. The study says that mobile wallets are leading this 70 per cent growth as mobile payments rapidly scale across geographic and vertical markets. The increasing alignment between in person and remote commerce channels is leading to greater use of mobile wallets than ever before, with online wallet use confined to high-value purchases or complex bill payments. The research recommends that merchants undertake complete reviews of their processes to ensure that they are offering a highly capable mobile app. This must be inclusive of a seamless checkout process, the correct mobile wallet integrations, and high levels of security, or they will lose out to more mobile-adept merchants. In addition, QR code payments will account for 40 per cent of all digital wallet transactions globally in 2025; a fall from 47 per cent of transactions in 2020. QR code payments are presently playing a leading role, due to their ease of use and acceptance, which makes them a critically important area for wallet use. However, over the next five years, the evolution of features such as card acceptance via NFC smartphones will begin to close the ease of acceptance gap.