New research from Juniper Research, the FinTech and e-commerce analyzing agency, reveals that consumers may be swapping cash for digital payments more often in the future.
In the company’s new Digital Wallets: Service Provider Analysis, Market Opporunities & Forecasts 2019-2024 paper, the researchers concluded digital consumer spending could jump by 40 per cent to nearly $790bn in the US and in Europe.
Juniper Research also argued that digital wallet providers better establish partnerships with banks to ensure they have maximum consumer reach. In that regard, Apple already has a huge advantage. It had more access to more bank consumers than its rivals, having acquired seven out of ten consumers.
Although, the study did issue a warning about wearable pay wallets. “Wearable-Pay solutions are still completely dependent on the smartphone and are ultimately limited to a single use case. They are thus likely to remain, at best, a niche offering, said,” Nick Maynard, analyst at Juniper Research.
However, this isn’t the only hint that the world is moving towards liberating itself from physical money. For instance, India has witnessed a 40 per cent boom in digital transactions in Q2 compared to Q1 2019, according to research from Razorpay, the converged payment solution company. The enterprise’s The Era of Rising Fintech report also predicted that 40 per cent of digital payments transaction will be driven by Tier 2 businesses and consumers by 2020. Additionally, it argued that the country had entered a new phase thanks to unified payment interfaces.
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