It seems more consumers are reaching for their phone at the checkout with new data from CBA showing mobile payments are up 35 per cent in the past six months.
From five million CBA app customers, 16.8 million tap and pay transactions were made via smartphones and smartwatches during the first six months of 2018.
The average number of monthly transactions per user is 13 and the average value per transaction is around $25.
Supermarkets account for one in five tap & pay transactions and one in 10 take place at fast food chains.
Major retailers and petrol stations make up one in every 20 transactions.
Visa cardholders are now able to use the CommBank app to make contactless payments through the ‘tap & pay’ functionality.
They are also able to use Samsung Pay and Google Pay.
Axel Boye-Moller, head of product for Australia, New Zealand and South Pacific at Visa said, “Mobile payments bring even more to the customer experience than just convenience. Each time a payment is made, these devices can deliver instant alerts and enable customers to manage their accounts while on the go.
“This is a great example of enhancing the customer experience by increasing both ease of use and control.”
Cards over cash
According to research commissioned by payment company Square released today, one in three Australians claim they are card-only shoppers.
More than 80 per cent of Australian consumers said paying by card is faster and convenient than paying with cash.
With these numbers come the negative feelings towards cash-only businesses with 75 per cent of Australians surveyed saying these businesses are ‘old fashioned and out of touch’.
Ben Pfisterer, country manager Australia at Square, said not accepting cards and other cashless forms of payment is negatively impacting the bottom line for cash-only businesses, who lose an average of eight million customers per year (41 per cent of the population) by simply not accepting cards.
More than half of the business owners surveyed acknowledged their businesses would likely become cashless in the future, with 35 per cent believing the transition will happen in the next five years and 10 per cent of those thinking it will happen even sooner — over the coming 12 months.