New research from mobile wallet solution provider Alcatel-Lucent has found that young consumers in ten countries around the world are willing to pay for the convenience of using their phone to check their balance, pay for public transport and buy electronic tickets.
A study conducted by mobile wallet solution provider Alcatel-Lucent with members of its Youth Lab, a group of teenagers and young adults from ten countries around the world, has found that 89% of the participants would be willing to pay a monthly fee to get a mobile wallet service.
226 members of the Youth Lab from Spain, Brazil, France, the US, the UK, China, Mexico, Germany, Italy and Japan took part in the study, which also found that:
- The option to ‘Buy a movie ticket without needing to wait in line’ was the most appealing to respondents.
- 75% of respondents were interested in ‘location based coupons’ and ‘profile based coupons’.
- More than 85% of participants were interested in checking their wallet balance and transaction history in real time, paying for public transport with their mobile phone and receiving electronic tickets.
While the amount the young consumers were willing to pay for a mobile wallet service varied by region, the study found that the acceptable median monthly fee was US$7.77 per month, with convenience being the main driving force behind the willingness to pay for the service. Comments made by the participants included:
- “It means less things to carry and keep track of. I really think I would like the convenience of it all.”
- “You would no longer need to carry around ten thousand cards.”
- “Cuts down on the amount of physical things that you could possibly lose, just keeps everything in one place and helps you stay organised.”
For the research, Alcatel-Lucent — which offers a mobile wallet service that incorporates the company’s Touchatag mobile contactless sticker technology — defined a mobile wallet as follows:
“No longer having to carry all of the cards you currently carry in your wallet for the services are provided via your mobile phone. You can securely pay your bills or make purchases at participating retail outlets using your mobile phone. Your mobile phone can be linked to your credit cards, bank accounts and/or your mobile phone bill. Loyalty cards, coupons, retail gift cards, all can be stored in your mobile phone. The mobile phone can even replace a key pass and membership card. You can also view your bank statements, checks or credit card slips, loyalty points, balance on gift cards, all on your mobile phone.