Sentiments, expectations, concerns, and recommendations about the future of mobile money

From developed to developing countries, there is a set of realities and dynamics related to the adoption of mobile wallets specific to each region and economy. The momentum in Africa and across the world is very interesting but concerns about fraud and theft risks are inhibiting adoption of mobile wallets, while businesses underestimate the problem.

 

 According to a new global survey of consumers and executives released by NTT DATA, Inc., more than half of consumers believe mobile wallets are less secure than cash; yet nearly 60 percent of executives say mobile money will build their business because it’s safe. 

Other important findings from the study include:

Consumers around the world understand the benefits of mobile money

• 60 percent of consumers agree that mobile money enhances their purchase experience
• 50 percent say mobile money drives loyalty to their financial institution or online merchant

Security concerns are undermining mobile payments

• More than half of consumers believe mobile wallets are less secure than cash
• Nearly 75 percent of consumers say guarantees against monetary fraud would encourage them to use mobile payments, but only 44 percent of businesses currently offer or plan to offer such guarantees
• Only 25 percent of consumers say online and mobile transactions are the safest form of transaction

Companies need to step up security authentication

• Consumer appetite for sophisticated biometric features like facial and iris recognition is strong. However, most businesses continue to rely on traditional passwords and finger scans
• Fewer than a third of companies globally currently use or plan to use biometrics like face, voice and iris recognition to secure mobile devices
• Security-focused consumers prefer multi-step authentication for mobile payments (German and Scandinavian consumers, who trust passwords most, are the exceptions).