According to the latest procurement market intelligence report from Technavio, the global mobile wallet services market is expected to grow at a compound annual growth rate (CAGR) of 42% over the next five years due to the multiple functionalities they can offer buyers as well as suppliers.
The research report titled, “Global Mobile Wallet Services: Procurement Intelligence Report 2017 – 2021” provides an in-depth analysis of category spend, best procurement practices and cost saving opportunities, aimed at helping organizations achieve superior business performance. The report also provides insights on pricing, supplier positioning and top companies, enabling sourcing professionals to improve their competitive advantage through procurement excellence.
“For buyers, it provides the unique advantage of storing money in secure and reliable digital accounts to make fast and smooth transactions across merchants and retailers in multiple industries,” said lead Technavio procurement expert Angad Singh. “For suppliers, it represents an opportunity to invest in a new channel for processing transactions and additional marketing, to target customers in real time with localized offers and discounts,” added Angad.
Request a sample report here: www.technavio.com/request-a-sample?report=54660.
Technavio sample reports are free of charge and contain multiple sections of the report, including the market size and forecast, drivers, challenges, trends and more.
Cost-Saving Opportunities in the Mobile Wallet Services Market
Cost-saving opportunities can be leveraged if buyers have many transactions and would be interested in associating with suppliers for long contract terms.
Technavio procurement experts have segmented the cost saving opportunities in the mobile wallet services market into the following value-enhancement opportunities:
- Adoption of technology
- Supplier competition
- Adoption of negotiation strategies
- Optimization of procurement practices
- Bundling of services
Adoption of Technology Saving Aspects
Mobile payment technologies such as NFC, HCE, BLE and QR codes are penetrating the market with technology leaders such as Apple, Google and Samsung spearheading development.
Consumers need to perceive mobile payments as an easy and convenient mode of payment via the integration of the mobile banking and payment experiences. Consumers are comfortable making financial transactions using mobile channels developed by trusted financial institutions such as banks. Converging these two into one seamless experience is crucial to bridge the gap and push consumers into making mobile payments online or at point of sale (POS).
Optimization of Procurement Practices Saving Aspects
A fast, simple and seamless mobile payment process can enhance brand reputation and differentiation in the market. Customers consider personalized user experiences on payment interfaces, fast and efficient checkouts and multiple payment options (debit/credit cards, internet banking) as important features in mobile wallets. According to a 2016 market study on mobile commerce, approximately two billion mobile phone/tablet users are expected to make mobile commerce transactions globally by 2017.
Bundling of Services Saving Aspects
With the aim of developing mobile wallets for purposes beyond payments, suppliers are expanding their mobile money portfolios from basic peer-to-peer (P2P) money transfers and bill payments to services. They are strategically partnering with network operators and banks to provide localized and real-time offerings such as loyalty points, discounts and ratings and reviews across popular retail, entertainment and hospitality businesses.
