New Study Indicates Promising Future for IoT Payment Technology

Get a glimpse at the future of IoT and payments at ETA’s TRANSACT Tech Atlanta on June 20

Nearly 80 percent of Americans are strongly interested in shopping via “connected devices,” a new survey released today by Visa and PYMNTS.com found. Eighty-three percent of consumers said that using devices like smartphones, tablets, wearables, computers and smart appliances to pay will save time and/or reduce their frustration in making a payment.

“The category of payment-enabled devices is still in its very early days, yet this research shows just how much consumer interest and understanding is starting to build for what these experiences can offer,” Jim McCarthy, executive vice president, innovation and strategic partnerships at Visa Inc., said.

A majority of Americans also believe that online payment via connected devices will save money, improve quality of life and increase safety or security according to the study.

Data privacy and security from theft, at 76 percent and 71 percent respectively, are the top two factors that could deter consumers from adopting connected device payment technology. However, only 36 percent of American consumers listed difficulty in learning to use new technology as a deterrent from use, a promising sign for the fast-paced and innovative technology sectors.

Trust in the financial sector to deliver IoT payment solutions is high as well, though trust in major technology companies like Apple, Google and Microsoft is relatively low. “77 percent of respondents view their financial institution/bankcard network as the most trusted enabler of a connected device payment solution,” the survey report said, “fewer than 30 percent of connected consumers trust the large technology enables to provide such a solution.”

The study surveyed a random sample of 2,584 American shoppers who owned at least a smartphone.