Despite high levels of support from retailers, only 14% of online US consumers currently use OEM-Pay (payment services provided by smartphone vendors) for in-store purchases, according to a Juniper Research survey of 1,000 people.
And it gets worse for Apple Pay, Google Pay et al. Future growth is likely to be threatened by increasing deployments of contactless cards in the US, with Chase becoming the latest major bank to announce a roll-out.
“Time is running out for OEM-Pay providers to establish a dominant position in the US,” remarks Juniper Research James Moar. “Many of mobile payment’s benefits, like increased transaction speed, are not exclusive to smartphones, and our survey shows that the majority of users who have not adopted OEM-Pay are more interested in services like contactless cards than mobile-based payments.”