TSYS Consumer Payment Study: More Americans Embracing Cutting-Edge Payment Methods
March 27 2018 - 9:00AM
Business Wire
According to the latest TSYS U.S. Consumer Payment Study, a
range of emerging payment options are gaining widespread acceptance
with consumers across age groups – especially ages 25 to 34. The
seventh annual study, which examines attitudes and behaviors toward
payments, focused on the willingness of consumers to use artificial
intelligence-powered (A.I.) personal assistants to make purchases,
acceptance of peer-to-peer (P2P) payment options and adoption rate
of digital wallets, among other topics.
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TSYS 2017 U.S. Consumer Payment Study.
(Photo: Business Wire)
Twenty-six percent of survey respondents said they own an A.I.
device — such as an Amazon Echo or Google Home. Within this group,
60 percent said they would use it to make purchases or payments, if
available. That figure increases to 76 percent for consumers
between ages 25 and 44.
Digital wallets are also experiencing a surge in popularity.
Fifty-one percent of survey respondents are interested in using a
mobile wallet instead of a payment card when checking out at a
store, up 11 percentage points from 2016. Sixty-eight percent of
those who have loaded a debit or credit card to a mobile wallet
indicated they expect to make 50 percent or more of their in-store
purchases using a digital wallet within two years.
In addition, 29 percent of survey respondents have used a P2P
payment service such as PayPal, Venmo or Zelle. Among those ages 25
to 34, that number rises to 45 percent.
“The payments industry is changing rapidly, and TSYS continues
to be one of the leading innovators,” said Allen Pettis, Executive
Vice President and Chief Customer Officer, Issuer Solutions at
TSYS. “Our latest study confirms that consumers are ready for
change and adapting to the ever-evolving payments industry as new
solutions are introduced. Because of this, retailers and payments
providers can continue reimagining the digital purchase experience
for consumers.”
Despite the rise of new payment methods, consumers still prefer
to pay for things the traditional way with debit (44 percent),
credit (33 percent) or cash (12 percent), according to the
study.
Other findings from the survey include:
Security tops reasons for avoiding A.I. purchases
The top reason cited for not using a personal assistant for
purchases and avoiding P2P payment options is security. Older
Americans had the greatest concern with 45 percent of those 55 and
older worried about security, compared to 29 percent of 18 to 24
year olds.
Banking apps and digital wallets gain in popularity
Consumers are using banking apps more regularly; usage increased
from 46 percent in 2015 to 63 percent in 2017. Users are most
interested in being able to stop a transaction they did not
authorize (80 percent) or instantly view transactions (72
percent).
Additionally, Americans are embracing the idea of the digital
wallet. The number of consumers who have made In-store purchases
with smart phones increased from seven percent in 2015 to 12
percent in 2017.
Shoppers value credit card loyalty programs
Americans definitely value loyalty programs when choosing a
credit card. This year’s study found that 75 percent of consumers
have a credit card with a rewards program, up from 58 percent in
2015. Seventy-eight percent ranked cash rebates as their top reward
feature, followed by travel (29 percent) and gift cards (27
percent).
Full findings from the study can be accessed here:
tsys.com/2017usconsumerresearch
Survey Methodology:
The study was conducted by TSYS among 1,200 Qualtrics consumer
panel members ages 18 and up in October 2017. All respondents were
required to have at least one credit and debit card to participate
in the study.
About TSYS
TSYS® (NYSE: TSS) is a leading global payments provider,
offering seamless, secure and innovative solutions across the
payments spectrum — from issuer processing and merchant acquiring
to prepaid program management. We succeed because we put people,
and their needs, at the heart of every decision. It’s an approach
we call ‘People-Centered Payments®’.
Our headquarters are located in Columbus, Ga., U.S.A., with
approximately 12,000 team members and local offices across 13
countries. TSYS generated revenue of $4.9 billion in 2017, while
processing more than 27.8 billion transactions. We are a member of
The Civic 50 and were named one of the 2018 World's Most Ethical
Companies by Ethisphere magazine. TSYS is a member of the S&P
500 and routinely posts all important information on its website.
For more, visit tsys.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20180327005270/en/
TSYS Corporate CommunicationsEmily J. Edmonds,
404-985-5576eedmonds@tsys.comorTSYS Investor RelationsShawn
Roberts, 706-644-6081shawnroberts@tsys.com
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