Three quarters of British consumers feel that they need more education on contactless technology before they start paying with debit and credit cards or mobile phones. That’s according to new research commissioned by Ingenico.

The research was carried out by Opinion Matters amongst a sample of 1,152 adults between 31 March and 4 April 2011. Although 46 per cent would consider using their mobile phone as a method of payment, it reveals that many consumers are unprepared to make the leap from traditional forms of payment. Less than one in eight (13 per cent) have ever owned a contactless enabled debit or credit card and only one in 20 (five per cent) have ever made a payment using such a card.

Two of the primary reasons why the adoption of contactless payment technology remains so slow is that consumers feel ill-informed about both using the technology and the security surrounding the technology. Sixty one per cent need more reassurance that the technology is secure before they attempt to make any such payments. Forty seven per cent say that they don’t know enough about contactless or mobile payment technology to make them want to use it. Forty two per cent still don’t know where they can use a contactless card, and 35 per cent have no idea what a contactless terminal looks like. Forty seven per cent of Brits would be put off due to the risk of fraud, and the same number would be concerned about the risk of identity theft. Mobile phone payment technology faces the same issues, with 56 per cent worried about fraud and 52 per cent concerned about identity theft.

Responsibility for helping consumers understand contactless technology rests with the payment card industry, according to three quarters of British consumers. Two thirds think that the banks should take responsibility for consumer understanding and just over half think that retailers should do more to educate shoppers. A quarter feels that the Government should take responsibility.

Craig Doyle, managing director for UK and Northern Europe, Ingenico, says: “Consumers have long demanded improved convenience and speed during their shopping experience. But this research reveals that they are still not sufficiently confident in using contactless technology to make the switch from traditional cash and cards. There can be no doubt that we remain on the cusp of a major payment revolution. However, providing shoppers with clearer information about contactless technology will be critical to improving their knowledge and ultimately increasing consumer adoption.”

“There is a huge responsibility on the shoulders of the ‘contactless industry’ to work together to ensure that demand from consumers meets supply of technology. And the best way to achieve this equilibrium is to raise levels of awareness and understanding about the benefits of this technology and continue bringing convenience to the end consumer,” he adds.

Share Story: