helene götberg | RÅD och rön | 10 April 2015
PA mobile expert, Martin Exner, is quoted in the magazine Råd och Rön, discussing the reasons why mobile payments have not yet taken off.
The article outlines how, despite the technology being in place, few Swedes choose to pay with their mobile and that they are still sticking to card or cash payments. It suggests one explanation might be that the use of card payments is seen as secure, simple and efficient and so there is little incentive to switch to mobile payments. In contrast, in countries where the card payment system is less developed, mobile options have become more popular. However, the article suggests that mobile payment solutions are emerging in Sweden such as those provided by the company WyWallet which has seen an increase of 500,000 customers over the past year.
Martin explains that another reason for the slow take up of mobile solutions is that there are too many providers competing to deliver the best solution and that this makes it difficult to establish a standard. He sets out how telephone operators support WyWallet, but the banks promote the Swish money transfer option, and that Apple and Google have their own solutions, Apple Pay and Google Wallet.
He goes on to explain: “For several years, ‘pundits’ claimed that within 18-24 months mobile payments would become the payment of choice. That has not happened. The players are now starting to realize that it will take more time and that they must begin to collaborate on a dominant technology and a solution that has the potential to become a standard.”
The article concludes with Martin’s saying that “mobile payments will eventually become a part of our payment system but only when the cell phone replaces the wallet and offers something extra.”