Mobile payments are here to stay, and it’s up to you to decide if you want to use the platform.
But, in order to keep up with the pace of change, there are some key things you should know about the emerging technology.
Read moreMobile payments are an increasingly popular and widespread form of payment in Australia, but there’s more to consider than just the price and availability.
Readers in the industry have noticed a significant shift in mobile payments since the introduction of the iPhone.
In 2017, a whopping 3.3 billion payments were made via mobile payments, an increase of 12 per cent on the year before, according to research from industry consultancy IDC.
A significant percentage of payments in Australia have been made using mobile payments.
For example, a quarter of all mobile payment transactions were made using a mobile phone, according a 2017 report from consultancy Mintel.
According to IDC, mobile payments were the third-most-popular payment method in Australia in 2019, behind only cash and cashless.
However, the number of payments made through mobile payments continues to grow year on year.
As part of its 2017 research, Mintel estimated that by 2026, the proportion of payments using mobile payment would increase from 4 per cent to 15 per cent, which equates to a growth rate of nearly 6 per cent.
Mobile payments can be both convenient and hassle-free.
For one, mobile payment companies can provide a secure experience.
A user can pay using a credit or debit card on their mobile device, rather than having to open a bank account.
For example, if the card is lost or stolen, a customer can pay by scanning a QR code on the card.
This process can take up to three minutes, which is a savings of up to 50 per cent over traditional payments.
A third reason why mobile payments are becoming more prevalent is due to their potential impact on Australia’s financial system.
In fact, there’s evidence that mobile payments can actually affect our overall economic health.
For one, the cost of a mobile payment is often lower than that of a traditional transaction.
A 2017 report by consultancy KPMG estimated that, as of 2018, payments made via a mobile device are estimated to be about $7.8 billion, compared to $20.7 billion for cash and $20 billion for debit cards.
This makes it difficult for Australians to avoid paying a tax bill.
According to the Government, the average consumer spends $1,000 per year on phone bills, compared with $846 per year for cash.
In 2018, the Government proposed to introduce an online tax credit system that would be similar to mobile payments through a ‘fiscal adjustment tax credit’.
This would help consumers lower their mobile bill, and will likely come into effect in 2021.
However, the plan has not yet been approved by Parliament, and is currently being held up in the lower house of parliament.
A decision on whether or not to approve the online tax credits system is expected in 2018, but experts suggest that this is unlikely to be a factor in the Government’s decision.
As well as a lower cost of payments, there is a lower burden on consumers when it comes to tax.
The average Australian’s tax burden is around $7,500 per year, according the Tax Office.
This means that a mobile-based payment can save the average household about $1 a day on their taxes.
In 2018, a study from the Australian Council of Social Service found that an average Australian household spent an average of $5.50 per day on tax, compared of $1.50 on food, gas, transport and accommodation.
If you’re considering using a payments service, there can be benefits to the business as well.
For instance, mobile businesses can take advantage of their users’ more mobile lifestyle and save money.
“Mobile payments have a number of advantages over traditional cash and debit cards in Australia.
They are much easier to use and offer much more flexibility than cash or debit cards, allowing you to spend your mobile payments at the push of a button, and they can be used anywhere, at any time,” says Alex Ross, senior vice president at ecommerce marketplace Apples Payments.
Apples Payments offers a range of mobile payment services including Pay, Paypal, Paywave and PaySafe.
The mobile payment industry has grown in popularity since the iPhone was launched in 2010, with the majority of mobile payments being made via the Apple Pay mobile payment system.
While most mobile payments use Apple Pay, it’s not just the payment service that’s seeing a significant growth in popularity.
Apple Pay has also become a popular way for users to make purchases via a range on other mobile payment apps.
Applications such as Pay, PayPal, PayWave and Paysafe are the most popular mobile payment platforms in Australia for consumers and businesses alike.
Apply Payments provides mobile payment solutions for businesses and consumers.
We have a comprehensive range of payment solutions that can be tailored to your business needs.
ApplusPay is one of the leading mobile payment providers