Emerging Payments: Consumer Payment Preferences
First Data sponsored the 2008 Study of Consumer Payment Preferences conducted by Hitachi Consulting and administered by the Harris Poll Online. The survey collected information on the current payments environment and future outlook. Key findings included: contactless payments most common in gas stations and grocery stores, decoupled debit not compelling to consumers, younger consumers most interested in contactless payments and more.
First Data was one of the sponsors for the 2008 Study of Consumer Payment Preferences conducted by Hitachi Consulting. An online survey was completed by 3,308 U.S. consumers in June 2008, administered by the Harris Poll Online. The survey was designed to collect primary consumer data profiling the current payments environment and future outlook. The survey instrument included five parts: 1) In-Store Payment Preferences; 2) Internet Payment Preferences; 3) Bill Payment Preferences; 4) Cards (including credit, debit and prepaid); and 5) Emerging Payments. This Market Brief provides key findings for Emerging Payments Preferences.
1. Consumers Express Moderate Interest in Contactless Payments
Of those consumers who do not have a contactless device, 20 percent say they would use one if it were given to them.
2. Gas Stations and Grocery Stores Most Common Places to Use Contactless Payments
Gas stations/convenience stores and grocery stores are the top two places current and potential users of contactless payments would use that form of payment.
3. Decoupled Debit Does Not Offer Compelling Value Proposition for Consumers
Most consumers’ interest levels were lukewarm, with only 8 percent being “extremely” or “very” interested in decoupled debit.
4. Younger Consumers Most Interested in Contactless Mobile Payments
Forty-five percent of consumers under age 35 expressed some level of interest in using their mobile phones as a contactless payment device.