Payments by mobile to double


Analyst Juniper Research has forecast that the rise in smartphones will fuel an increase in mobile payment transactions that will see their value more than double to $200 billion by 2012.

Juniper Research said the availability of secure, easy-to-use payment applications and the growing realisation of users that they can make e-commerce purchases by mobile will drive the value of payments for physical and digital goods from under $100 million this year to $200 million in two years.

Other findings from the Mobile Payments for Digital & Physical Goods: Players, Markets & Opportunities, 2010-2014 report indicate that the frequency of physical goods purchased will be higher than average in developed regions such as North America and Western Europe; and brands, retailers and merchants have an opportunity to increase their revenues through targeted marketing campaigns, using apps and mobile web payments as a convenience play for users.

Report author Howard Wilcox said: “Our research showed that the purchase experience has been enhanced by improved mobile commerce transaction processes due to faster mobile networks, more powerful devices and much more user-friendly smartphone apps.

“Amazon Payments for example has recently introduced payment processing tools for mobile devices, enabling smartphone users to buy with one click.”