For last few years, ‘mobile payment’ adoption has widely been considered as the next big thing in the world of mobile technology. However, for several reasons, the mobile payment revolution has taken longer than anticipated, even in developed countries including Canada and United States.
While several subject matter experts have gone on record to say that mobile payments are set to explode worldwide, it’s nowhere close to ground reality in developing countries. While Canada has made significant advancements in this field, more needs to be done to adopt mobile payments in the way we do business, the way we interact with customers, the way we execute transaction and the way we make money.
A recent study from MasterCard suggests Canada is one of the most ‘prepared’ markets for adoption of mobile payments. We’re in elite company including the United States, Kenya (really?) and South Korea as the markets most ready to adopt mobile payments.
MasterCard says it’s analysis of 34 countries shows that most markets are at least in their early stages for mobile payments adoption of the three primary types: person to person, mobile web commerce and “contactless” payments at the point of sale. Further, the company says that age demographics play a key role in determining mobile payment penetration in any region. The MasterCard Mobile Payments Readiness Index (MPRI) found young affluent consumers between the ages of 18 and 34 years old in Australia as an ideal early adopter of mobile payments.
While the findings of the MPRI Index are heartening, there’s no denying that we’re still in the early days for mobile payments.
“Technology infrastructure, a responsive regulatory environment and a robust economy are table stakes for the advancement of mobile payments,” said Theodore Iacobuzio, vice president, Global Insights, MasterCard Worldwide. “The necessary conditions are consumer readiness and industry integration. As no one entity can develop and promote mobile payments by itself, key players in the ecosystem must work together to collectively advance the cause of mobile payments.”
As my fellow blogger Matt Klassen mentions – “In fact, while Canada is leading the charge on this side of the pond, many countries across the globe have already started to evolve into cashless societies, particularly in Europe, with countries like Sweden recently making headlines for establishing cashless buses and church offertories among others, all a sign of a future where transactions will happen with the swipe of a NFC-equipped mobile device.”
The end goal, of course, is to transform Canada into a cashless society; one where transactions are safe and secure, where our finances are less prone to thievery, and where my pockets are no longer weighed down will scads of copper pennies.
We are not there yet but we are definitely getting closer. What do you think?