February 23, 2017A wide-ranging survey measuring global consumer attitudes toward fraud and security found that while only 43 percent of shoppers trust merchants to protect personal data, 80 percent think information in their mobile wallet is secure. Moreover, consumers also want to leverage their mobile devices to protect themselves from fraud: 75 percent of consumers reported they are “very interested” in receiving a call or text to their mobile phone to help mitigate fraud. The biennial survey, commissioned by payments processor ACI Worldwide and performed by Boston-based consultancy Aite Group, confirmed that mobile wallet adoption is much more likely in markets without well-established card payment infrastructure, but even in those more mature payment markets, use of mobile wallets is considerably higher than it was two years ago. In the U.S., for instance, mobile wallet adoption increased from 6 percent to 17 percent (compared to Mexico, where adoption increased from 20 percent to 38 percent and a country like India where it was high two years ago at 47 percent and is even higher now at 56 percent). The report said the increase in North America probably stems from more POS terminals accepting contactless mobile payments and that mobile wallets are coming preloaded on many new mobile devices. The report details what kinds of fraud concerns consumers the most, what countries are the best at educating their consumers about fraud and how they would like to be alerted. “Our research shows that consumers want to proactively manage fraud, particularly by leveraging mobile technology—whether it’s text or talk,” said Shirley Inscoe, senior analyst at Aite Group. “This willingness opens opportunities for [businesses] to optimize the ways in which they reach out and communicate with consumers, ultimately improving the customer experience while reducing operational costs and fraud losses.”
Learn more about this topic at these panel sessions during the CNP Expo in Orlando, FL from May 22-25, 2017.
Fraud on the Move: Protecting Your Mobile Revenue from Fraud
Challenges Implementing Mobile Payments