Study reveals lingering concerns over NFC card paymentsData Insights 10 December 2013
A new report has suggested that a lack of awareness and trust in near field communication (NFC) payment technology is delaying its widespread adoption.
The study, conducted by YouGov, found that only 35 per cent of adults in the UK are even aware of NFC-enabled devices, which goes to underline the extent of the problem.
What’s more, the report found that nine per cent of mobile and smartphone owners know that their device is NFC-enabled, while 22 per cent have ever used it to make a payment.
The figures serve to emphasise the point that since September 2012, there has been negligible difference in terms of awareness and adoption.
And until this barrier is overcome, it will be tough to install the technology throughout the country.
Indeed, as many as four in ten of those questioned for the survey said that they do not see a need for the technology.
“Despite the advances in NFC mobile technology, the industry has yet to increase the awareness nor put forth a compelling value proposition to the consumer to adopt NFC payments. In addition, retail adoption is rather limited curbing the consumers’ desire to transition,” John Gilbert, consulting director for YouGov technology and telecoms, commented.
The study also looked at the issue of contactless payments, finding that just 40 per cent of owners ever use their contactless card.
This comes against the backdrop of the fact that 62 per cent of people would like to see retailers accept more contactless payment transactions.
Earlier this year, a report from Visa Europe confirmed that consumers in the UK were responsible for more than eight million contactless purchases in August alone.
The number of contactless cards has risen by an impressive 23 per cent year-on-year, while the number of contactless terminals soared 135 per cent.