New study highlights the growth of digital payments throughout the world
Mobile spending is growing at an alarming rate and may soon replace spending from desktops and laptops, according to a new study from Juniper Research. The study highlights the growing prominence of mobile commerce and the role that smartphones and tablets are playing in the field of mobile transactions. While consumers can shop online using their desktops and laptops, mobile devices allow them to shop online from anywhere in the world at any given time.
Global digital payments expected to hit $4.7 trillion by 2019
The study predicts that global digital payments will reach $4.7 trillion by 2019, up from the estimated $2.5 trillion digital payments that will be made this year. Much of this growth is being attributed to mobile shopping. Consumers favor shopping from mobile devices because it provides them with a more convenient option when compared to traditional shopping. Notably, tablets are showing more mobile commerce activity than smartphones.
China will continue to be a prominent mobile commerce market
According to the study, China is likely to play a major role in the continued growth of mobile payments. The country’s largest e-commerce organization, Alibaba, accounted for 20% of all global business-to-consumer and consumer-to-consumer sales in 2013. The company has been playing a more dominating role in the mobile space. Alibaba has established a powerful position in the mobile commerce sector with its Alipay application.
Market continues to become saturated with mobile platforms from many companies
Other markets are expected to play prominent roles in the growth of mobile commerce as well. Banks, retailers, and telecommunications companies in Australia, Poland, and the United Kingdom have all shown strong interest in engaging mobile consumers. These organizations are responsible for supporting the growing mobile commerce infrastructure, providing consumers with the platforms they need to conduct mobile payments. The mobile market is currently heavily saturated with a wide variety of mobile commerce platforms, some of which are less appealing to consumers that others. Security is currently one of the greatest challenges facing the growth of mobile commerce throughout the world.