More than half of consumers (55%) in the Asia Pacific region would make contactless tap-to-phone NFC payments directly to a merchant’s mobile phone at the checkout “despite solutions not yet being widely available in the region”, according to research released by Visa.
Consumer interest in the new payment method is shown to be strongest in Malaysia (64%), followed by Taiwan (62%), Hong Kong (62%) and India (55%).
Of all those surveyed, just over half (52%) said that ease of use would encourage them to try tap-to-phone payments, 51% said saving time, 50% said the elimination of the need to carry cash and 43% said security.
When asked where they would be most likely to make tap-to-phone payments, 69% of survey participants said convenience stores, 56% said restaurants and 52% said food courts, street stalls and kiosks.
“Asia Pacific has led the world in adopting contactless payments, which now account for around 44% of face-to-face Visa transactions in the region, climbing to over 70% in a number of key markets,” says Chris Clark, regional president for Asia Pacific at Visa. “The consumer experience with tap-to-phone payments is very similar, including the security features.
“Instead of tapping your card, phone or smart device on a point-of-sale terminal, you tap on the seller’s smartphone to pay. For the seller, this means they can accept digital payments without having to get a separate terminal.”
“Customers at convenience stores, restaurants and quick-service outlets like food courts don’t want to be slowed down by a cumbersome payment transaction,” Clark adds. “And for these businesses, speed and convenience in serving their customers is a priority.
“Tap-to-phone is a new option for these businesses to consider, especially if they’re not yet accepting digital payments. In light of the consumer demand and opportunity for businesses, Visa is collaborating with our partners to bring more tap-to-phone solutions to Asia Pacific.”
Visa announced its Tap to Phone program, a software-only solution that enables merchants to accept contactless payments on Android NFC mobile phones without the need for any additional hardware, in January 2020.