Mobile payments are about to catch fire in the Australian market, according to a new report from Frost & Sullivan.
Entitled “Fintech in Australia – Trends, Forecasts and Analysis 2015 – 2020”, the report asserts that the overall digital payments market will reach a value of AUD 1.897 billion (roughly $1.42 USD) by the year 2020, with mobile payments playing an important role in this growth. Commenting in a statement announcing the findings, Frost & Sullivan analyst Saranga Sudarshan asserts that mPayments “are expected to take off in 12-18 months,” adding that major platforms like Apple Pay will revolutionize the market.
That will likely come as welcome soothsaying to the major mPayment companies, given the resistance that Australia’s major banks have displayed toward Apple Pay. But with multiple major banks now warming up to Android Pay, and ANZ even officially announcing Apple Pay support, Frost & Sullivan’s forecasting appears to be cogent.
Meanwhile, cyrptocurrencies like Bitcoin remain too volatile for Frost & Sullivan to predict solid growth, but big data analytics in FinTech and algorithm-based banking (‘algo-banking’) are expected to emerge during the forecast period. Those latter technologies could tie in to mobile banking and payments in ways that aren’t yet clear; in any case, mPayments will be a major part of the Australian financial services landscape into which they arrive.