TechNavio, a London-based global research firm, is out with a new report on the Global Mobile Wallet Market.
The report indicates that even though NFC mobile wallet technology is relatively new, consumer confidence is providing a backbone for market growth for the next 48 months.
The key vendors expected to drive growth during this period are Visa Inc., MasterCard, American Express Inc., PayPal Inc., Google, ISIS, and Square Inc.
“These vendors have pushed to improve security mechanisms for mobile wallets in response to security threats and privacy concerns that have inhibited widespread adoption of mobile wallets,” a report summary reads. “Some security measures that have been adopted are validation through personal documents such as driver’s licenses, passports and social security numbers. Mobile wallet facilities can also be integrated with authentication programs to enhance security and increase users’ confidence in the model.”
Consumer demand for convenient, easy modes of payment, which don’t require the intervention of traditional banking channels is also driving the market.
Additionally, increased penetration of smartphones and demand for high-end mobile devices, especially in the APAC region, as well as growing acceptance of NFC technology among both consumers and businesses is also driving the market.