U.K. Study: Confirmation Codes, PINs Enhance Consumers’ Trust in M-Payments (March 19, 2013)
March 19, 2013
The key to widespread adoption of mobile payments will be the degree to which consumers trust the process of using smartphones or other mobile devices to pay, according to new survey data from Auriemma Consulting Group (ACG). In a Web survey conducted in December 2012 of 1,000 consumers in the U.K., where thousands of merchant locations are equipped with NFC, consumers using a mobile payment process to pay for the first time said they feel more secure when asked to provide an authorization code in addition to a user name and password. Consumers rated their confidence in the transaction at 5.6 out of 10 when they received a verification code by email to confirm the payment, versus those who rated their confidence at 4.7 out of 10 when they were only required to enter a user name and password with no additional confirmation code, according to ACG.
Consumers similarly feel more secure when asked to use a PIN along with a user name and password for mobile payments. Respondents rated their confidence in the transaction’s security at 5.2 out of 10 when asked to provide a PIN versus 4.6 out of 10 when they were only required to enter a user name and password, ACG said. “This research highlights that the barrier to mobile payments adoption is not necessarily technology or user experience, it’s about creating the right marketing messages to reassure consumers that this is a safe transaction channel,” said Matt Simester, managing director of ACG.
