Consumers are in a hurry. They want every transaction to be fast and seamless. Who wants to count cash or remember to key in a pin? It’s so easy to wave a card near the payment terminal to complete the transaction with tap and pay.
Fast payments are on the increase
Payment technologies are evolving to meet the basic human need to speed up everyday activities –we’re in a hurry, don’t keep us waiting please. Millennials in the 25-34 age group are leading the transformation as they use the tap and pay technology twice as often as the average user.
Reduce the friction of the transaction
Technology that makes the payment process quicker and reduces the friction of the transaction is embraced by consumers. From tap and pay card functionality to mobile devices and online purchasing – digital technologies are tipped to grow exponentially in 2019.
As consumers experience the speed of digital they want more and look for ways to speed up the mundane necessities of life to make time for whatever they enjoy.
World leaders in contactless payments
Contactless convenience is one of the growth areas in the payment world. It makes the purchase process fast and easy, so customers can be through the checkout faster and back to doing something more interesting.
Research from Westpac and statistics from Visa show Australia leads the world in contactless payments.
Consumer expectations drive technology
Tap and pay is designed to put consumer needs and expectations at the forefront of the customer experience.
New research on digital payments by independent research company Roy Morgan in 2017 reveals the increasing uptake of digital payment solutions:^
- Increasing use of digital payments. More than 14.5 million Australians aged over 14 use digital payment solutions.
- The age of technology. Australians in the 25-34 age group use the technology almost twice as much as the average user (21.6% vs 12%).
- Gender differences. Men are more likely to use a contactless/cardless mobile payment.
- Transformation to contactless payments. Tap and pay with bank cards – either credit or prepaid cards – are most used (7.3%), ahead of Apple Pay, Android (now Google) Pay, Google Wallet and Samsung Pay (6.1%).
- Increasing consumer acceptance. Predictions that the increasing popularity of contactless payments will continue as payment innovation drives consumer acceptance.
RBA predicts increasing uptake in digital payments
The Reserve Bank’s 2016 Consumer Payments Survey showed that contactless cards are becoming increasingly popular as a way of making online and in-person payments.^^ People are paying in cash less often, preferring to use their debit and credit cards or mobile phones, including for low-value payments.
In the 2016 RBA survey, gift and prepaid cards were separately identified for the first time and these cards accounted for around 2% of consumer payments in 2016. The RBA predicts an increasing shift towards electronic payments as consumers adopt new ways of paying due to digital transformation.
Prepaid cards feature tap and pay
Corporate Prepaid Cards are specialists in prepaid cards and can design a gift card program for your company that will meet the expectations of your customers. Prepaid cards by global brands Visa and Mastercard feature the innovative tap and pay functionality that is increasingly popular.
Card designs and custom branding
Visit our website at corporateprepaidgiftcards.com.au to view the extensive range of card designs. You can request a quote for custom branding using your logo and colour themes to remind your customers of your brand every time they use the card.
Whether you are planning a customer loyalty program featuring cashback or rewards, or a staff recognition program, Corporate Prepaid Cards can design a campaign to suit your budget and marketing plan.
Phone 1300 181 032 to discuss your ideas with Corporate Prepaid Cards or email for more information to: [email protected].
References:
^The Way Australians Pay is Changing. 2017 study by Roy Morgan, the largest independent Australian research company. More details: http://www.roymorgan.com/findings/7587-the-way-australians-pay-is-changing-201806080637
^^The Reserve Bank’s 2016 Consumer Payments Survey. More details: https://www.rba.gov.au/publications/rdp/2017/pdf/rdp2017-04.pdf
