Most consumers these days are fairly comfortable shopping online, and storing their credit or debit card information for online payments.

However, these same consumers have not yet become comfortable with storing their card data in mobile apps. Concern about security of the apps has greatly limited their uptake.

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A recent survey by Skrill found that concerns about security is one of the biggest obstacles for consumers.

The survey contacted 2,000 adults in the UK, and found that only 14% of them are making mobile purchases using card data stored in their phone.

Almost one third of the respondents who don’t use apps to purchase stated that they are worried about the possibility that their personal details might be stolen.

Mobile and tablet based transactions are expected to exceed 70 billion this year. Consumers cite convenience and speed as major factors for using mobile. As concerns about security diminish, the industry is expecting mobile transactions to grow rapidly, with projections of almost 200 billion by 2019.

Spiros Theodossiou, VP product management at Skrill said, “Over time, consumers have become comfortable paying for goods online… However, they are still on a journey to accepting in-app purchasing as a regular channel for buying goods and services.”

“With significant developments including major wearable technology announcements, public transport going contactless and some major players coming into mobile payments, the way we pay is changing. For this to occur, businesses will need to demonstrate the ease of use these apps offer in order to reassure users that they offer a safe way to pay and guide them along this new payment trend as it grows in popularity.”

28.04.2015    Tags: mobile-payments, mobile-shopping, security