Survey Says 56% Want to Use Mobile Pay When Shopping This Holiday Season

Nov 25, 2014

Retale, a location-based mobile platform connecting shoppers with local retailers, announced the results of a commissioned study examining consumer interest and adoption of in-store mobile payment in advance of the holiday shopping season. The study focused on several key areas, including the benefits, challenges, and preferred usage of mobile payment. More than 1,000 adult men and women in the U.S. were polled between November 3-10, 2014.

The survey found that 36% of respondents have previously used a mobile device - either a smartphone or tablet - to pay for something in a brick-and-mortar retail store, while the rest have not. However, mobile pay use in 2012 was just 15%, meaning that the rate of mobile payment has more than doubled over a two-year period.

When asked if they would be interested in using a mobile device to pay for a gift or other item in a retail store this holiday season, 56% said they would, and 57% said that retailers should offer some kind of mobile payment option in-store. Among those who have used some form of mobile pay in-store, 91% said they would do so again during the holidays. 

Convenience was cited as the primary benefit of in-store mobile payments by 58% of respondents. However, 24% called in-store mobile payments inconvenient, indicating the need for convenience parity relative to cash, credit, and debit cards. The top three factors of greatest concern to respondents about mobile pay in-store were: "data breaches and privacy" (28%); "possible theft or loss of my mobile device" (17%); and "difficulty keeping track of spending" (10%). 46% of all respondents said that all of these factors currently concern them.

When asked to identify the mobile payment service they would most likely use in-store, just over half (51%) mentioned PayPal. "Your bank's mobile payment app" was the runner-up, with 21%, followed by Apple Pay, at 10%. Google Wallet and "a retailer's app" were tied with 8%, while CurrentC - a mobile pay service developed by a consortium of top retailers - was named by only 2%.

Among survey respondents, millennials were - by far - the most receptive to mobile pay--53% have used mobile pay in-store , 17% higher than average. In addition, 73% are interested in using mobile pay for holiday shopping.