Google to oust PayPal as mobile payment leader
NAPLES, Fla. — Though PayPal remains a popular online payment solution, Google's mobile wallet service is poised to take over the top spot.
More than half (52%) of attendees at the National Retail Federation's 2013 convention said they believe Google would come out on top when it comes to mobile payment systems, according to a survey conducted by ACI Worldwide, a leading international provider of payment systems. An additional 25% believe PayPal will come out on top, while nearly one in five respondents (19%) believes a new market entrant could gain traction in this emerging segment.
When asked what will most impact retailers in the next 12-18 months, nearly a third of respondents (32%) cited the entrance of new mobile wallet providers, while there was a fairly even split that the United States’ EMV migration (28%) and PCI data security standards (23%) would be the market development that would most impact retailers.
Additional highlights from the survey, include:
The biggest barrier to entry for retailers seeking to launch a mobile strategy is the lack of common standards for payments (44%).
Fifty-six percent of respondents say retailers are “unprepared” or “very unprepared” to meet 2013 and 2014 US EMV migration deadlines; only 2% of respondents think retailers are “very prepared.”
The majority of respondents feel that the retail industry is only somewhat, or not at all, compliant with PCI Data Security Standards (63%).
Nearly all respondents (83%) believe the rate of implementation of contactless POS will increase or significantly increase as compared to 2012.
The biggest risk to retailers implementing a mobile payments strategy is increased instances of fraud and customer privacy protection (a combined 68%).
"The data we collected shows a variety of issues facing the retail industry,” said Jeff Hale, senior VP, retail payments, ACI Worldwide. “ Simply stated, we are at an inflection point as retailers face pressure to implement mobile payment strategies, meet EMV migration deadlines and comply with PCI data security standards. ACI, and other solution providers, must be prepared to work with our retail partners to help guide them as they navigate a unique, and exciting, time for our industry.”