Transaction method will not take off for at least five years, says analyst.
Network IT Week, 16 May 2001
Mobile payments will not take off in the next five years because consumers don't want it, providers can't offer it and technology can't support it, according to a report from Forrester Research.
While retailers believe that mobile payments will account for 10 per cent of their transaction value in three years, Forrester believes this is actually at least a decade away.
Forrester analyst Michelle de Lussanet identified three key obstacles. "Consumers aren't ready to change their payment behaviour, providers will continue to resist collaborating on full-featured services, and easy-to-use, cheap, secure and standardised technology will take years to roll out," she said.
The analysts predicted that mobile payments will amount to only £16bn, or 0.5 per cent of consumer spending, by 2005.
The UK is expected to lag behind Germany and Scandinavia in taking up mobile payments with an average spend of £4 per person per month, according to Forrester.
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