The Biggest Opportunity In Mobile Payments Isn't The Mobile Wallet

Advertisement

Smartphone Payments In Store

BII

Advertisement

The mobile in-store payments space is already crowded with a lot of different companies trying to get people to pay for goods in person via mobile.

But most consumers still aren't biting.

Complimentary Tech Event
Transform talent with learning that works
Capability development is critical for businesses who want to push the envelope of innovation.Discover how business leaders are strategizing around building talent capabilities and empowering employee transformation.Know More

People just don't seem to see a compelling reason to use their mobile phone to make a payment over using a credit or debit card.

But at BI Intelligence, we think that mobile peer-to-peer (P2P) payments could act as a Trojan horse and finally get consumers to replace their wallet with their smartphone.

Advertisement

That's because mobile P2P payment apps like Venmo and Square Cash offer consumers a compelling reason to use them. In particular, they provide a way for people to pay each other instantly, even if they don't have cash or a check on them. That removes the need to go to an ATM or take a trip to the bank to deposit a check.

BI Intelligence believes that once people adopt the behavior of paying their friends and family with their smartphone, the barrier to in-store mobile payments will be a lot less significant.

In a new report, we look at examples of where mobile P2P payments have already enjoyed enormous success, and which of the handful of P2P apps have the potential to catch on with consumers. We also look at why the limited revenue available to P2P apps is another good reason these companies may eventually offer mobile in-store payments.

To access the full report and all our coverage of the payments industry, sign up.

Here are some of the report's key findings:

Advertisement

In full, the report:

BI Intelligence is a subscription research service from Business Insider. We cover the payments, mobile, digital media, and e-commerce industries. For full access to all our charts and analysis, sign up.