The U.S. market for mobile payments made at the retailer point of sale will increase to $23 billion in 2016, up 54% from 2015, according to market research publisher Packaged Facts in the brand-new report Mobile Payments in the U.S., 5th Edition.
“Robust” growth is projected through 2019 based on the almost certain continued movement toward smartphone usage saturation and an increase over time in the percentage of smartphone users making mobile payments at the point of sale, according to MarketResearch, which published the report.
Presently the market is benefitting from activity involving a quartet of major industry players: Apple Pay, PayPal, Android Pay, and Starbucks. “Significant” payment usage via the Starbucks private label mobile app and the PayPal general-use digital wallet, in addition to growing usage traction for Apple Pay and Android Pay, are at the center of this thriving industry, notes the research group.
The report says that, in its own right, Apple Pay has helped reinvigorate mobile NFC payments, and within another three years MarketResearch envisions it bringing mobile payments into the mainstream, on the backs of 70 million potential U.S. Apple Pay users.
For now, globally, Apple has surpassed one billion active devices. By Packaged Facts estimates, almost 30% of U.S. adults have an iPhone, giving Apple Pay significant device-based reach. Apple Pay also blends mobile payments with features and benefits beyond payments.