The use of mobile wallets will double by 2020 and in the next five years will establish itself as a new mixed marketing channel. However, marketers in Europe have been challenged to mimic the success of mobile wallet solutions in China and Asia Pacific, due to the fragmented payment landscape in Europe.
So says research from Forrester, which predicts that marketers will embrace mobile wallets when they realise the potential of the platform. Forrester says the low adoption of mobile wallet marketing does not reflect consumers’ desire for improved shopping experiences. In order to provide a better experience for consumers, loyalty reward programmes need to be revamped.
In fact it was found that up to 43% of consumers in the UK and US forget to use their loyalty card, and only 14% of European consumers access loyalty solutions on their smartphones.
The report also uncovers that few European consumers use mobile features while shopping in-store. In fact, 23% of European online adults would more regularly use coupons if they could be stored on their phones.
In fact, 48% of European consumers who use mobile wallets are interested in trying additional features, such as keeping digital concert, film or travel tickets in their mobile wallets.
Mobile wallets enable retailers to connect with shoppers to influence purchases. John Lewis’ app encourages consumers to add their loyalty card to their mobile wallet. When shopping in-store, consumers then receive reminders to use their loyalty cards when they are near a John Lewis or are using in-store Wi-Fi.
However,only 15% of European and US marketers use third-party platforms like Facebook Messenger or WhatsApp. Mobile wallets provide an opportunity for marketers to reach interested and engaged consumers on mobile devices.