By Rebeccah Elley
IBISWorld announced that Visa payWave and MasterCard PayPass tap and go payments will replace traditional physical credit and debit card payments by 2020 for transactions under $ 100.
However, the Australian research firm said the outlook for credit and debit cards is still “rosy”, thanks to an increase in the number of Aussies shopping online with their plastic. Mozo advises Australians to always search the credit card market for a user-friendly card online.
Will we soon see a cashless society? Research has shown that both check and cash payment options have declined -9.8% and -1.4%, compared to contactless credit and debit card purchases which have seen annualized growth 6.6% and 14.2% transactions respectively over the four years up to 2013-14.
IBISWorld chief executive Dan Ruthven said the way Australians pay had changed for some time. âFor Generation X and Baby Boomers, the checkbook is considered the most popular payment option. As more outlets, personal banking, and business purchases have shifted to electronic payment methods, checks have seen a certain disappearance. “
âIn the years to come, contactless payments and cell phone payment will begin to replace the standardized plastic cards that we have been using widely since the 1980s,â said Ruthven.
As contactless payments gain popularity, more providers are introducing their own version of the digital wallet – Apple’s Passbook, Amazon Digital Wallet, Commonwealth Bank Tap and Pay, Coles Mobile Wallet – perhaps the next step for purchases. less than $ 100. Read Mozo’s guide to the digital wallet here.