eMarketer: U.S. proximity payment transaction volume will exceed $300 billion in 2020

199IT original compilation

Using mobile phones to make proximity payments is not common in the United States, but as more people upgrade to smartphones with built-in mobile wallets and more merchants accept mobile payment technology, eMarketer predicts that proximity payment transactions will exceed $300 billion by 2020.

eMarketer predicts that the transaction volume of near-field mobile payments in the United States will be around US$27.67 billion in 2016, an annual increase of 183.3%; it is expected to reach US$62.49 billion next year. The near-field payment transaction volume in the United States will maintain a double-digit growth rate until 2020, when the near-field payment transaction volume will reach US$314 billion.

Despite rapid growth, in 2016 U.S. proximity payments lagged behind other mobile metrics in both number of users and transaction value, such as retail mobile commerce sales, mobile travel sales, and the number of mobile shoppers and mobile travel subscribers.

However, mobile payments will account for a larger share of mobile commerce by 2020. eMarketer expects proximity payment transactions to exceed retail mobile commerce sales by 2020.

Although mobile e-commerce in the US retail industry will maintain double-digit growth in the next few years, nearly 90% of US retail sales will still be realized in physical stores by 2020. Traditional physical retail stores are the main places for near-field payment.

In the future, more retail stores will accept mobile payments, which will attract more consumers to pay with their phones. eMarketer predicts that in 2016, orders between $20 and $100 will account for more than 50% of the U.S. near-field payment share (52.2%) for the first time, and by 2020, the share will exceed two-thirds.

In 2016, the average user spent $721 through proximity payment. This figure will increase to $1,230.94 in 2017 and exceed $4,133 by 2020.

199IT.com Originally compiled from: eMarketer. Please do not reprint without authorization