A SURVEY into consumer perceptions around mobile payment has revealed that three-quarters of consumers are reluctant to use mobile as a digital payment platform due to security concerns.
The survey, which was conducted by global industry grouping MEF (Mobile Ecosystem Forum) and sponsored by mobile anti-fraud specialist Evina, covered 10 countries and engaged 650 respondents in each country.
Evina chief executive David Lotfi said: “Mobile fraud is omnipresent. While some users have already encountered it, others are reluctant to use mobile payments simply because of this risk. Fraud generates fear and a negative image for the companies that are involuntarily associated with mobile fraud. This is exactly why the fight against fraud shouldn’t be taken lightly, even if we can’t always see the direct consequences.”
“The increase of mobile fraud awareness is a chance for the mobile industry to uptick mobile payment usage going forward, once trust is restored,” Lotfi added.
According to the report, the main reason for mobile payments are convenience and speed, with 39% of users citing convenience as a major factor for mobile payments.
When comparing Android to iOS, 39% of Android consumers preferred to make mobile payments because it is faster but 42% of iOS consumers made mobile payments because it is convenient.
In terms of security, the UK has the highest score for their perception of good payment security. The UK scored 6.7 out of 10, compared to the global average of 6.1.
Globally, 30% of mobile users are concerned about payment details being stolen, with 28% fearing that future payments will be authorised without approval, while 27% fear subscribing to something without knowing.
“The consumer concerns revealed by the MEF survey need to be addressed first and foremost, by not accepting mobile fraud as the normality. Because it doesn’t only increase the cost of handling fraud complaints, but creates an unhealthy environment – where the loss of user trust undermines the entire mobile payments market,” Lotfi concluded.
IOL TECH