The number of active mobile wallet users will rise from 409m in 2015 to 1,722m in 2023, research from Frost & Sullivan predicts, while mobile payment transaction values will increase from €289.02bn (US$315.39bn) in 2014 to €1,516.70bn (US$1615.1bn) in 2020, representing a compound annual growth rate (CAGR) of 31.8%.
In 2020, Asia Pacific will account for the highest proportion of mobile payment transactions by value (29.2%), followed by Europe (23.1%), the ‘Mobile Wallets — Amazon, Apple and Google Seek the Winning Strategy’ report forecasts.
“The mobile wallet active user count is expected to surge in 2017 and 2018 due to the availability of mobile payment and mobile wallet-enabled smartphones,” says Frost & Sullivan’s Jean-Noël Georges. “Due to security concerns, some customers will opt for cloud-based solutions with the support of tokenization.
“Furthermore, the rise of wearable technology for payment purposes will have a part to play in the development of innovative and disruptive mobile payment solutions. For now, most of the players in the payment value chain are just trying to be present in the mobile payment ecosystem as well.”