With attitudes to payments changing, and people’s spending behaviour pointing to a move away from cash and towards contactless payments, the Card Cutters Contactless Payments Survey will be looking into what is happening and why.
The launch of the new survey, found here https://www.surveymonkey.co.uk/r/W8LGSYL sees Card Cutters consulting the public to gain their views and understanding of the many aspects of contactless payments, in the year that the technology celebrates its 10th year of existence.
As many people as possible, across all age, social and class groups, are being encouraged to answer the series of questions, and results will be looked at and analysed in order to get a broad and detailed view as to what part contactless plays in the changing world of payments.
According to figures published by UK Finance, the group representing nearly 300 of the leading finance, banking, markets and payment-related services in or from the UK, contactless spending in the first half of 2017 was £23.23 billion. This represents a significant rise in just a year, which saw the first half of 2016 record £9.27 billion spent using the method. That within a year, the amount spent using contactless payments has risen by £13.96 billion has caused the industry to seriously consider whether claims around ‘the death of cash’ are not quite as hyperbolic as many had suggested.
The report also flagged up that the number of contactless cards in issue has also dramatically risen; up by 26 percent on the previous year to stand at 111 million, as of June 2017. Following this trend, the report predicts that contactless card usage will increase four-fold by 2026.
The latest Digital Payments study from Visa, released in September 2017, found that 66 percent of consumers in the UK have now used a contactless payment, making it the leading market in Europe for the method. The figure was even higher in the 18-35 age bracket, where 76 percent had done so. Kevin Jenkins, the Managing Director for Visa UK & Ireland, commenting at the time, described the introduction of contactless cards to the UK market as “a watershed moment for consumers”, something it seems difficult to disagree with.
Contactless card usage has been significantly encouraged by a wide adoption of the technology needed to accept it, across all types of sales location. Supermarkets, off-licenses, and food and drink retailers account for 45 percent of contactless spending and have all helped customers feel comfortable with using the method on a regular daily basis. As customers become more comfortable, they drive demand for other locations to accept the method, something which can be seen in services such as public transport facilities and car parks adopting contactless.
Small businesses and traders have also moved to take advantage of customers preference for contactless, and via cheap and affordable handsets, have been able to do so in a cost-effective and easy manner.
The results of the Card Cutters Contactless Payments Survey will be published in the near future and should give new and fresh insight into how people feel, and an indication as to how the future may look for the payments industry.