The world of payments and mobile devices has officially converged. Mobile payments, or digital wallets as they are commonly referred, present yet another way for card issuers – typically banks – and merchants of all kinds to engage consumers in an easy, convenient and secure way when making purchases. What’s more, with nearly half of all loyalty program members in the US willing to use mobile devices to check their loyalty programs, issuers and merchants have yet another reason to encourage digital wallet acceptance and drive loyalty program usage.
Despite this, adoption of digital wallets has lagged. Even usage among those who have adopted digital wallets is less than optimal. But there are ways to turn this tide and create two distinct opportunities:
- For issuers, make the digital wallet the first-choice payment option; and
- For merchants, use the digital wallet to enhance the omnishopper relationship
Mastercard has put together a “how-to” approach based on lessons learned to help both issuers and merchants motivate their customers to sign-up and use their digital wallets.
This approach starts with education to inform consumers, as well as issuer and merchant staffs, on how digital wallets actually work. Not only does this help eliminate fears, it provides an opportunity to detail the advantages of the embedded technology in digital wallets that replaces sensitive payment data with a unique identifier that enhances account security and drives purchasing convenience (otherwise known as tokenization). This how-to approach also includes offering consumers a financial incentive, which typically entices them to join, or further benefit from, membership in a merchant’s loyalty program.
Please join Mastercard at the roundtable discussions on September 20th between 3-4 pm for a conversation on this “how-to” approach to digital wallet adoption. Relevant case studies on successful digital wallet usage and its successful integration with loyalty programming also will be presented.
Book your ticket here and get 10% off when you use code MASTER