How many debit cards, credit cards, and customer loyalty cards are in your wallet at present? According to a recent analysis, the average American has 17 different cards in their wallet. It’s really a big headache for me! If you are tired of all that bulk in your pocket, a digital wallet might be the perfect solution. Millions of people worldwide are making payment from these virtual wallets. In fact, transactions across the world made using today’s digital wallet apps developed by top-notch app developers are actually more secure than those made by physically swiping a debit or credit card. Thinking about what are they and how do they work? I hope that this article will give you the answers and bring you up to speed on this technology.
Understanding Digital Wallets
Digital wallets store your cash digitally and enable mobile transactions in a quicker way. You can add money to your mobile app wallets through cards, net banking, and UPI. Earlier, you could only transfer money back and forth the same wallet. Now, with UPI and RBI’s interoperability rules, you can send money directly to anyone’s wallet or bank account.
“Digital wallets are a gracefully simple alternative to cards”.
Using encryption software, a digital wallet links your bank account, credit card, and debit card information to an app i.e. fully secure. The app allows you to tap your phone or smartwatch against a checkout register to complete your transaction. Instead of having to carry hulking credit and debit cards, you can rely on the e-wallets that you keep in your pocket every day. As an added bonus, the mobile payment transactions are completed much quicker than chip card transactions. Top Android and iPhone app development companies are highly utilizing the benefits of digital wallets by offering them as a payment option in several apps.
Stats and Growth
Before moving to the amazing benefits of using digital wallets, let’s take a deep dive into its adoption rate worldwide. According to a survey, over one in ten people have a digital wallet on their phone and one in ten Millennials uses their digital wallet every time they make a purchase.
At present, India is one of the top markets globally in terms of mobile wallet adoption with 55.4% survey respondents indicating that they have a mobile wallet and use it. That’s why PayTM, a popular mobile wallet app has now 10 million downloads in the Google Play store and even it has many users in the desktop site as well.
As seen in the above graph, the adoption level in India is much higher compared to many of the developed markets such as the US and the UK, where consumers predominantly use cards.
4 Topmost Digital Wallets
PayPal: Accepted widely online, but less frequently used in physical retail stores.
Apple Pay: Authentication via fingerprint makes it a great option if you’re concerned about security.
Android Pay: Like Apple Pay, but for Android devices. One of the popular names is Google Pay.
Samsung Pay: Available on some Samsung devices.
Most of these digital wallets work with the help of a well-known technology known as Near Field Communication or NFC and have begun to incorporate with checkout in iOS and Android mobile apps and e-commerce websites.
Here are 5 reasons to begin using a digital wallet:
If you lose your old wallet, there is no chance to get it back. However, with mobile app wallet, if your phone gets lost or stolen, your money is protected by your login credentials. Information that you upload to a mobile wallet gets encrypted, making it potentially safer.
Discounts and Bonus
Consumers can profit from both credit/debit cards and digital wallets in case of discounts and amazing cash backs. In a lot of the digital wallets, you get cash backs on online purchases from e-commerce websites, the thing that is not with credit/debit cards.
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Now, no more digging in your purse or wallet for the right card you want. Moreover, as more consumers adopt this technology, checkout lines at stores could become shorter due to the speedy nature of the transactions.
I am sure you always have your phone with you, right? So you’ll also always have your money, too. Therefore, it’s clear that now no more “Oh, I left my wallet at home or in my car”. It’s always with you for performing transactions.
Using a digital wallet app provide a more expedient transaction processing method for customers, giving businesses that employ this technology a competitive edge in the market.
Now, it’s time to say goodbye to your normal wallet and utilize the benefits of mobile wallet app in your smartphone! Many of the popular iOS and Android apps available that are similar in terms of performance and the level of security they offer, so you can choose the wallet that pairs best with your Smartphone. This is how you can understand the value of mobile apps to gain a wide consumer base for your business. If you have an idea, why not invest in cross-platform app? Connect with a leading cross-platform app development company Fluper and convert your idea into a successful app and maximize your business!