Digital wallets have a long way to go in building consumer awareness
TweetFollow Us on Twitter

Digital wallets have a long way to go in building consumer awareness

ComScore (www.comscore.com), a company that "measures the digital world," has released the "Digital Wallet Road Map 2013," a study that measures consumer awareness, perceptions and intent to use current digital wallet offerings.

The study found that digital wallets, which store a virtual copy of the contents of a consumer’s physical wallet to facilitate online or offline retail transactions, only had awareness among 51% of U.S. consumers for wallets other than PayPal.

"Digital wallets represent an innovative technology that has not yet reached critical mass among consumers due to a variety of factors, including low awareness and a muddied understanding of their benefits," says Andrea Jacobs, comScore Payments Practice leader. "This study delves deeply into the mindset of consumers with respect to their potential use of digital wallets, in addition to helping size the market opportunity. The study also provides guidance on how digital wallet providers, marketers, developers and retailers can contribute to growing adoption of this technology."

The study is based on a unique research design combining comScore’s opt-in panel of one million U.S. consumers and two separate surveys of more than 2,000 U.S. Internet users conducted in November 2012. To better account for the intent of consumers to use digital wallets, the study first removed the awareness gap that existed between users and prospects by introducing respondents to various digital wallet offerings first-hand.

Consumers are receptive to digital wallets, but require more education of the benefits

The current digital wallet landscape remains fragmented among providers because of low consumer adoption outside of PayPal, with only 12 percent of consumers claiming to have used a digital wallet other than PayPal. However, study results indicated that the digital wallet market opportunity could eventually reach one in two consumers.

One clear barrier to use of digital wallets is that the concept is often difficult to convey and prone to misinterpretation. Even after being asked to review the websites of particular digital wallets, respondents across all wallet brands still scored an average of just 45% in terms of demonstrated level of understanding.

Security remains a top concern that can be addressed more clearly by wallet marketers

The study revealed that security remains a top consumer concern, but that a significant portion of consumers are not aware of security features inherent in digital wallet usage. While 93% of consumers would prefer to use a digital wallet that has to be unlocked before use, an average of just 57% of respondents across the brands studied realized -- after having reviewed the digital wallet website -- that this locking feature was available.

Some digital wallet providers were more successful than others in communicating the availability of this feature, with 71% awareness among Lemon website visitors versus 42% among LevelUp website visitors. The ability to improve communications of features addressing consumer concerns, such as security, could remove an important hurdle to adoption.

"Low awareness, understanding of benefits and availability among retailers are among the key barriers to adoption of digital wallets. While these impediments may seem like a steep hill to climb, we have seen this story play out before in the financial services industry. There was a time when consumers were reluctant to use ATMs for similar reasons, and, today, look at how far we’ve come since the 1970s and 1980s," adds Jacobs. "It would seem that the future is bright for digital wallets, but it will require deliberate execution of strategies such as sound marketing for this technology to realize its full potential. In order to win over consumers, wallet marketers, providers, developers and retailers must work together to address each of the aforementioned barriers."

The Digital Wallet Road Map 2013 is a report based on comScore’s research panel of one million U.S. consumers and attitudinal insights gained from two comScore surveys of over 2,000 U.S. online consumers, each conducted in November 2012. For more info go to http://www.comscore.com/digitalwallet2013 .

 
AAPL
$524.94
Apple Inc.
+5.93
GOOG
$536.10
Google Inc.
-20.44
MSFT
$40.01
Microsoft Corpora
-0.39
MacNews Search:
Community Search:

Latest Forum Discussions

See All
view counter

view counter
view counter
view counter
view counter
view counter
view counter

Have a Special Dead Trigger 2 Easter Bas...
Have a Special Dead Trigger 2 Easter Basket Full of Goodies, Courtesy of Madfinger Games Posted by Rob Rich on April 18th, 2014 [ permalink ] Dead Trigger 2 | Read more »
Almost All of Playdek’s Library is on Sa...
Almost All of Playdek’s Library is on Sale Right Now, and You Should Check it Out Posted by Rob Rich on April 18th, 2014 [ permalink ] Playdek has released quite a few great iOS ports of board and card games over the years, and now most of them are on sale. | Read more »
Zynga Launches Brand New Farmville Exper...
Zynga Launches Brand New Farmville Experience with Farmville 2: Country Escape Posted by Tre Lawrence on April 18th, 2014 [ permalink ] | Read more »
David. Review
David. Review By Cata Modorcea on April 18th, 2014 Our Rating: :: MINIMALISTIC IN A DIFFERENT WAYUniversal App - Designed for iPhone and iPad David is a minimalistic game wrapped inside of a soothing atmosphere in which the hero must defeat a number of evil creatures representing different struggles and aspects of life.   | Read more »
Eyefi Unveils New Eyefi Cloud Service Th...
Eyefi Unveils New Eyefi Cloud Service That Allows Users to Share Media Across Personal Devices Posted by Tre Lawrence on April 18th, 2014 [ permalink ] | Read more »
Tales from the Dragon Mountain: The Lair...
Tales from the Dragon Mountain: The Lair Review By Jennifer Allen on April 18th, 2014 Our Rating: :: STEADY ADVENTURINGiPad Only App - Designed for the iPad Treading a safe path, Tales from the Dragon Mountain: The Lair is a dependable casual adventure game.   | Read more »
Yahoo Updates Flickr App with Advanced E...
Yahoo Updates Flickr App with Advanced Editing Features and More Posted by Tre Lawrence on April 18th, 2014 [ permalink ] | Read more »
My Incredible Body - A Kid's App to...
My Incredible Body - A Kid's App to Learn about the Human Body 1.1.00 Device: iOS Universal Category: Education Price: $2.99, Version: 1.1.00 (iTunes) Description: Wouldn’t it be cool to look inside yourself and see what was going on in there? With My Incredible Body, you can! | Read more »
Trials Frontier Review
Trials Frontier Review By Carter Dotson on April 18th, 2014 Our Rating: :: A ROUGH LANDINGUniversal App - Designed for iPhone and iPad Trials Frontier finally brings the famed stunt racing franchise to mobile, but how much does its free-to-play nature affect the game?   | Read more »
Evernote Business Notebook by Moleskin I...
Evernote Business Notebook by Moleskin Introduced – Support Available in Evernote for iOS Posted by Tre Lawrence on April 18th, 2014 [ permalink ] | Read more »
All contents are Copyright 1984-2010 by Xplain Corporation. All rights reserved. Theme designed by Icreon.