FinancialIT: When Card is Best: Contactless Cards Will Dominate Payment Ecosystem for Next Decade
Despite a recent study suggesting over half the world’s population will use mobile wallets by 2025, payment cards are set dominate the payment industry for the next decade as consumers lack trust in digital payments. The past year has seen consumers and retailers move away from cash, but shoppers haven’t rushed to embrace mobile wallets as a replacement. According to McKinsey, more consumers reported a deteriorating perception of the security of digital payments over the past year (15%) than an improving one (11%). Similarly, while 64% of consumers say they trust banks, only 47% say the same for digital payments providers. This supports findings by PCM that payment cards will dominate the banking scene “until at least 2025”.