More Security Will Accelerate mPayment Adoption: Study

Mobile payment adoption could be accelerated if businesses were willing to guarantee against mPayment fraud, according to a new study. Conducted by Oxford Economics and Charney Research on behalf of Ingenico ePayments and NTT DATA, the study will lead to a full report scheduled for publication in January, but for now NTT DATA has issued some preliminary findings.More Security Will Accelerate mPayment Adoption: Study

The study surveyed 2,000 consumers and 300 companies around the world this past August. It found that while 60 percent of the consumer respondents agreed that mobile money would enhance their shopping experience, only a quarter consider digital payments to be the safest kinds of transactions, and over half said that mobile wallets aren’t as secure as cash. Seventy-five percent said that “guarantees against monetary fraud would encourage them to use mobile payments,” NTT DATA said.

The company also suggested that biometric security options could help things along, asserting that “[c]onsumer appetite for sophisticated biometric features like facial and iris recognition is strong,” yet less than a third of the companies surveyed use biometrics. That tracks with a recent finding from a Mastercard survey also suggesting that consumers prefer biometric security to PIN codes for mPayments.

These preliminary conclusions could spur businesses to start taking steps to reassure customers as they seek to support new mPayment options, with consumers apparently ready to start paying with their phones, so long as proper security measures are in place.