Over two-thirds of New Zealanders have admitted they do not carry cash as digital payment methods increase in popularity, according to new research from Mastercard.
Half of 1000 New Zealanders surveyed by the payments company don’t think we will be using cash in ten years’ time – which is consistent with the survey’s 2016 findings – and Mastercard expects cash transactions to continue to decrease, with 41 per cent of consumers saying they could live without cash and only use emerging payment technologies in just a few years’ time.
The survey also found 44 per cent of Kiwis believe New Zealand is on track to handle an exclusively card and digital wallet economy, but 38 per cent of people say retailers need to do more to embrace new payment innovations.
“Acceptance of card payments, and increasingly contactless payments, means New Zealanders are less reliant on cash for everyday transactions,” said Peter Chisnall, country manager for New Zealand and the Pacific Islands.
“New Zealanders expect to see more emerging payment methods like mobile payments and biometrics in the near future – but there is more to do before they become mainstream.
“Terminal upgrades and contactless enablement are helping consumers and retailers alike take advantage of new payment technology and consumer demand is only increasing.”
When shopping online, security remains the biggest concern (35 per cent top concern), and 63 per cent of people are looking for a safer online shopping experience. Security concerns are significantly down from 60 per cent in 2016 (top concern), as people become more comfortable shopping online in their day-to-day lives. Two thirds of respondents said they shop online at least once a month.
One in 10 respondents used a digital or cloud-based wallet when shopping online.
When asked about which mode of payment technology will next take-off, 59 per cent of those surveyed think mobile payments, followed by wearable technology like smartwatches (47 per cent) and biometrics such as facial recognition and fingerprints (42 per cent).
