Household bills go mobile – allpay
Bill payments specialist reveals 88 per cent rise in value collected through mobile
Bill payment specialist allpay has echoed the findings of The Future Trends in UK Banking report from the Centre for Economics and Business Research (Cebr) and Fiserv which showed that the growth in mobile banking will continue to rise for the foreseeable future – with the total value of transactions being moved through mobile banking apps expected to double by 2020 to £3.4 billion a week.
allpay, which provides online and mobile payment channels for household bill payments, says the growth is also being felt from households who are increasingly turning to their mobile phones to pay bills, such as rent, council tax, utility payments or school meals.
Ross Macmillan, Market Intelligence Consultant at allpay, said: “allpay’s internal data shows an annual rise of 88 per cent in the amount collected via its mobile Payment App – which processes payments on behalf of housing associations, local authorities, utility companies and schools – with the average payment value standing at £140.”
Macmillan continued: “These figures are yet another sign that digital payments are truly maturing towards the global mass adoption stage. The emergence of streamlined payment platforms, such as Paym, Pingit and Zapp, in addition to mobile wallets from the likes of PayPal, Apple and Google will accelerate the growth of ‘m-payments’ over the coming years and this will filter to all elements of banking, including household payments.
“While mobile wallets utilise the existing payment infrastructure e.g. a bank transfer, payment via credit/debit card or from a virtual account that’s been topped up, these new platforms will accelerate the rate of mobile transactions because the speed and convenience is built into the interface.
“In sectors that have a high proportion of bill payers who prefer to budget and manage their bills in cash, or who may not have regular access to the internet, mobile – with its convenience and accessibility – has actually helped them pay a bill electronically for the first time. It is also being used by the masses to pay off arrears or to supplement existing direct debits,” he said.
According to Macmillan, the meteoric rise of digital payments will be rapidly accelerated by the growing adoption of NFC-enabled smartphones and the wider mass adoption of contactless technology.
“Bill payers now have much more choice regarding payment methods, which is, in turn, helping bill issuers to collect more income and spend less time chasing debt. The key is choice and offering solutions to suit every need,” Macmillan concluded.
This was posted in Bdaily's Members' News section by Ross MacMillan .
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