In November 2012 ICM Research conducted both a mystery visit to UK retailers and a nationally representative survey to find out about the nation’s readiness for contactless payments.
Contactless payments have existed in the UK for ten years, yet not many consumers are taking advantage of the technology. The survey found out that 80% of the population is aware of contactless payments but the majority does not carry them out.
The study found three main reasons behind the slow adoption of contactless payments in the country: awareness, security concerns, retail barrier. There are many still not that they are carrying contactless cards in their wallet and those aware question how secure the cards are.
However, the main reason behind the lack of adoption, the study has found, is a retail barrier. The survey uncovered that the UK population finds there are not enough opportunities to make contactless payments. Moreover, retailers do not actively promote contactless payments and many shopkeepers are ill-informed about the payment method.
“Retailer investment in contactless payment is essential to drive take up because consumer awareness and appetite already exist. Of the eleven stores we visited with contactless payment technology, only three were actively promoting it, and only two – Marks & Spencer and EAT – had signage at checkouts.”, said Richard Moller, researcher at ICM, speaking to Marketing Week.
Gemalto’s recent blogger challenge in London saw similar results, with the two bloggers struggling to find retailers taking contactless payments, and finding clueless and unhelpful shopkeepers who do not seem to be interested in promoting this technology.
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