Verifone (NYSE:PAY), today announced the findings of its UK consumer
study that shows how British shoppers are taking to new technologies
enthusiastically as they browse and pay for goods and services. Yet with
these advances and choices comes a need for retailers to offer
promotions and incentives consistently across all channels to maintain
brand loyalty and provide positive experiences to their customers,
according to the study.
FAMILIARITY WITH NEW PAYMENT METHODS ON THE RISE
Overall, it found that familiarity with new payment methods is rising;
38 percent of respondents in London were either very or somewhat
familiar with contactless payments, and 21 percent were very or somewhat
familiar with mobile wallets. Yet cash remains the primary choice of
payment in the UK for 65 percent of the respondents, followed by chip
and PIN transactions and online payment methods.
Conducted among 1,085 UK adults last month by Censuswide, the survey
gives a view of consumer attitudes toward in-store and online shopping
experiences, and how they want to be treated by retailers. It also
examined the extent to which the application of new technology in retail
environments has shifted expectations and customer satisfaction.
The effect of the rising prominence of technology in retail experiences
is clear, with 56 percent of respondents saying the breadth of new ways
to pay in-store is important to them. Three out of 10 supported
improvements made in the range of payment methods at the point of sale,
while 32 percent saw mobile applications that stored card details as
important or very important.
The results also show that e-commerce continues to evolve and bring new
opportunities to retailers, with in-store (75 percent) and online (72
percent) shopping now practically equal in popularity. However, only 10
percent of respondents had shopped by mobile phone. And, the same number
said they now expect less human interaction because of new technology,
showing that the personal touch remains crucial to the retail experience.
NEW TECHNOLOGIES, NEW EXPECTATIONS
The introduction of more technology has also shifted expectations, with
consumers wanting retailers to use it to enhance their marketing and the
way discounts are offered. Better sales promotions or discounts are now
expected by 35 percent of respondents in exchange for their loyalty
through a more connected approach to commerce, and 32 percent expect to
be treated consistently across all payment methods, marketing channels
and whether shopping in-store or online.
“We are seeing UK consumers begin to take to new technologies with
enthusiasm, indicating that mass adoption won’t be far away,” said June
Felix, President of Europe for Verifone. “However, shoppers also want to
feel that retailers value and understand them more because of these
technologies. Therefore, it’s imperative for these new technologies to
provide a connected commerce experience that is clear and relevant to
the consumer. Otherwise, retailers risk frustrating and even eroding
trust with their customers.”
IMPROVE THE EXPERIENCE WITHOUT COMPROMISING SECURITY
“Security has become a primary and integral part of that experience both
for e-commerce and in-store, with retailers expected to assure the same
level of protection wherever or however people shop. The age of the
customer is also a consideration. We found that the older a person is,
the more worried they are that their shopping will lead to a personal
data breach or fraud. Retailers need to find ways to continue to improve
the retail experience and in particular reduce wait times—without
compromising security in any way,” she said.
Other key survey data include:
-
Online shopping has become ingrained in daily life, with 81 percent of
respondents inputting card details online regularly or fairly regularly
-
Loyalty card schemes have a huge impact on meeting consumer needs,
with 78 percent rating them as important in improving the way they
shop. Point of sale technologies and processes will need to become
more integrated with marketing and promotional benefits in order to
sustain customer loyalty between purchases
-
When asked about what factors most contributed to a negative shopping
experience, 73 percent cited having to queue to pay, while 75 percent
indicated price as the biggest factor in a happy shopping experience
-
Although 49 percent believed speed of purchase was more important than
security in-store, security of online transactions was seen as more
important, for 35 percent, than speed of purchase
-
Simplicity with assured security is important, as 23 percent said
payment devices being easy to use was their primary concern
LEARN MORE AT RBTE 2015
To learn more about these findings, visit Verifone (Stand 450) at RBTE
2015 (Retail Business Technology Expo).
Safe Harbor Statement under the Private Securities Litigation Reform
Act of 1995 for VeriFone Systems, Inc.
This press release includes certain forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of 1995.
These statements are based on management's current expectations or
beliefs and on currently available competitive, financial and economic
data and are subject to uncertainty and changes in circumstances. Actual
results may vary materially from those expressed or implied by the
forward-looking statements herein due to changes in economic, business,
competitive, technological and/or regulatory factors, and other risks
and uncertainties affecting the operation of the business of VeriFone
Systems, Inc., including many factors beyond our control. These risks
and uncertainties include, but are not limited to, those associated
with: market acceptance of our product and services offerings, execution
of our strategic plan and business initiatives and whether the expected
benefits of our plan and initiatives are achieved, short product cycles
and rapidly changing technologies, our ability to maintain competitive
leadership position with respect to our payment solution offerings, our
assumptions, judgments and estimates regarding the impact on our
business of the continued uncertainty in the global economic environment
and financial markets, our ability to successfully integrate acquired
businesses into our business and operations, our ability to protect
against fraud, the status of our relationship with and condition of
third parties such as our contract manufacturers, distributors and key
suppliers upon whom we rely in the conduct of our business, our
dependence on a limited number of customers, the conduct of our business
and operations internationally, our ability to effectively hedge our
exposure to foreign currency exchange rate fluctuations, and our
dependence on a limited number of key employees. For a further list and
description of the risks and uncertainties affecting the operations of
our business, see our filings with the Securities and Exchange
Commission, including our annual report on Form 10-K and our quarterly
reports on Form 10-Q. The forward-looking statements speak only as of
the date such statements are made. Verifone is under no obligation to,
and expressly disclaims any obligation to, update or alter its
forward-looking statements, whether as a result of new information,
future events, changes in assumptions or otherwise.
About Verifone (www.verifone.com)
Verifone is transforming everyday transactions into opportunities for
connected commerce. We’re connecting more than 27 million payment
devices to the cloud—merging the online and in-store shopping experience
and creating the next generation of digital engagement between merchants
and consumers. We are built on a 30-year history of uncompromised
security. Our people are known as trusted experts that work with our
clients and partners, helping to solve their most complex payments
challenges. We have clients and partners in more than 150 countries,
including the world’s best-known retail brands, financial institutions
and payment providers.
Verifone.com | (NYSE:PAY) | @verifone
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