The two-pronged future of cashless payment is undergoing differing fortunes, as it was revealed in a survey by Retail Week that while contactless card payments continue to rise in the UK, the use of smartphones to purchase items on the high street is struggling to gain traction.
Since the launch of the two main forms of mobile phone payment, Apple Pay and Android Pay in the first half of 2016, only 17 percent of UK shoppers say they have ever used either service. And only two percent of customers make pay this way for the majority of their purchases.
Meanwhile, 10 percent of shoppers say that the use of contactless cards is very important to them, while 20 percent list it as ‘quite important’. There is, however, a strong age divide, with on 28 percent of 35-54 year olds listing contacless as a priority, compared with 46 percent of 18-34 year olds.
On smartphone payment, men (5 percent) are more likely to use this technology, while only 14 percent of 35-54 year olds have ever even made a single physical purchase using their phone.
Regionally, those in the South East have been quickest on the contactless uptake, with 37 percent in the region citing contactless as important, compared with 29 percent in the Midlands and 27 percent it the North.