How To Get Competitive Advantage With a Mobile Wallet Strategy

The business-consumer relationship is quickly becoming digital in every single interaction, including payments. New payment forms are emerging and one of the most growing methods of payments is occurring through the regular use of mobile wallet apps. Offering the ability to transact a payment using the phone is becoming a mainstream reality as the use of a mobile wallet app is the most convenient way for a user to make in-store payments. If you aren’t accepting payments via mobile wallet, you must consider that adhering to it means you will be meeting the ever-changing needs of your clients.

Think about all those credit cards, gift cards, and rewards cards you need to carry in your wallet everyday. Almost every valuable card stored in a physical wallet can also be stored in the mobile wallet app. Isn’t great? Here’s a significant opportunity to make your customers’ lives easier and get a competitive advantage over who is ignoring this change.

The Increase of Mobile App Usage in Canada

A study conducted by EMarketer shows that time spent with mobile among internet users now account for almost 3 hours daily in Canada. The research also states that 85% of online mobile time is spent on apps vs. the mobile web, a rate similar to the US (88%). That’s a lot of time spent by a large number of users. We know you want a piece of that. Moreover, Statista recently found that Canada had 33.05 M internet users in January 2018, of which 25.56 M were mobile internet users. By 2020, according to their stats, we will have 30.9 M mobile users. 

This growth means also the increase of usage of mobile devices to process payments. Consumers in Canada are using their smartphone and tablet instead of a physical plastic card to make purchases. According to Nielsen, when looking specifically at smartphone users in Canada in 2017, 29% were already actively using their smartphone as a mobile payment system. In addition, three-quarters of mobile payers stated they would be motivated to make the switch to a mobile wallet if the reward program they are currently enrolled in would honour mobile transactions and would be integrated to ensure they can redeem rewards points immediately.

Mobile Wallet Apps Are Safe

If you believe security can be a concern, we are here to let you know that transactions made using today’s mobile wallet apps are actually more secure than those made by physically swiping a debit or credit card as the apps use encryption and tokenization technology to mask payment card account numbers when you enter them and when you pay, similar to that used by chip cards. Furthermore, mobile pay transactions are usually completed much more quickly than chip card transactions.

Take Your Business to the Next Level

In conclusion, here’s a huge opportunity to stay ahead of the game as mobile transactions will give you the next level of competition for perfection. Get a competitive advantage by giving Canadians a reason to use their mobile wallet app as a convenient way to pay for your products and service and, on top of that, let them take advantage of your rewards/loyalty program through their mobile devices. It will not only make their lives easier, but also give you access to extremely rich data that will help you to understand your customers better, build more focused strategies, give them a reason to come back to collect their rewards and, keep the valuable relationship you are building with them.

Mobile payments have been a hot topic on our blog. We have compiled more information about the next trends mobile payments will take. When looking for Mobile Development Calgary, don’t forget to reach out to us.

Sources:

• https://www.emarketer.com/content/in-two-years-users-in-canada-will-spend-more-time-with-mobile-than-tv
• https://www.statista.com/statistics/183841/mobile-revenue-north-america/
• https://www.nielsen.com/ca/en/insights/news/2017/canadian-mobile-wallet-users-set-mobile-payment-trends.html