With Juniper Research’s heading suggestion that “40% of Apple users to spurn facial recognition,” you do have to wonder how many interview subjects truly know how facial recognition works, and whether they realise you’ll need an iPhone X to even have this feature at all.
Juniper then notes that the figure is from 40% of iPhone users in the US that “consider themselves unlikely to use facial recognition as a payment security technology”, further suggesting that “this suggests that a core use case for the iPhone X’s main security feature may struggle to gain traction amongst consumers".
Well, perhaps once iPhone X users really get to see how its Face ID system works, some of these consumers out there might ending up dloing an about face on this claim.
So, who did the survey contact and what’s the skinny on contactless growth being sluggish in mobile-first markets?
Juniper explains its survey “asked 500 US and 500 UK smartphone users about mobile banking and contactless payments".
- Overall the number of contactless payment users grew by only 2% year-on-year in the US, with most deployments coming from smartphone OEMs (original equipment manufacturers).
- Contactless user numbers in the card-first UK grew by 12%.
The survey shows that while mobile contactless payments usage will grow in both markets, existing users will fuel most of that growth:
- In the US, 73% of OEM-Pay users (Apple Pay, Samsung Pay, Android Pay etc) expect to increase their usage, but only 39% of non-users expect to start using mobile contactless payments.
- This proportion is even lower in the UK, with only 26% of non-users reporting that they will start to use these services.
Security still a big obstacle for many
We’re also told the survey found that, “while contactless payment non-users have less concerns overall, 32% have concerns about the security of the transactions, a far higher proportion than users (14%). Mobile banking has a similar pattern, with 30% of non-users concerned about the security of transactions, compared to 10% of users".
Research author James Moar said: “Transaction security is a key barrier for mobile financial services adoption. Addressing these concerns will bring many consumers to the point where they will consider using such services.”