02 Aug 2022
Mobile wallets, often known as digital wallets, are becoming increasingly popular today. They are typically found on mobile devices, making online shopping and payment easier and faster. Mobile eWallet users have increased from 900 million to 1.48 billion merely during the pandemic.
The number of mobile wallet users further increased to over 2.8 billion in 2020. Such an immense rise in users anticipates a modernised shopping experience. These wallets are expected to entirely replace cash and credit cards with cellphones using near-field communication (NFC).
These payments are handy due to using technological features. Clients will no longer be obliged to use traditional methods such as credit cards. Individuals already governed by a busy schedule can provide a particularly convenient edge for a global money transfer.
Mobile wallets are handy and user-friendly, attracting more and more people toward digital payments. You can find the top five reasons why these wallets have been increasing worldwide for international transactions. Let’s first look at interesting facts about digital mobile wallets.
With the universal availability of mobile devices, it's no surprise that mobile payment solutions are becoming more popular worldwide.
By 2020, over 2.8 billion mobile wallets were in use. This figure is expected to rise nearly 74% by 2025. It indicates reaching 4.8 billion mobile wallets in service – almost 60% of the world's population.
Southeast Asia, Latin America, Africa, and the Middle East are the fastest developing markets in this regard. Mobile wallets are displacing cash and cards, favouring more convenient digital payments in these regions.
Southeast Asia is the world's fastest-growing region for mobile wallets. It has a CAGR of 25.5 % and overall growth of 311% expected over the next five years.
Latin America, Africa, and the Middle East are the second and third fastest increasing regions. They have expansion rates of 166% and 147%, respectively, projected by 2025. Between 2020 and 2025, the number of mobile wallets transacting more than USD 1 billion per year will increase by 27%.
Many people use mobile wallets to store credit cards, debit cards, and even loyalty card information on their smartphones. A mobile wallet is one of the best ways to send money abroad. It enables users to quickly make in-store and online purchases, withdraw cash from ATMs, and send money peer to peer. It gives them greater payment flexibility and convenience.
The use of mobile wallets is steadily increasing. In-store mobile payments are expected to exceed $500 billion by 2020. This section will look at why digital wallets are becoming more popular.
Global Mobile Payment Market presented a report indicating a massive rise in mobile wallets. The wallet usage is expected to grow at a 33% annual rate from 2019 to 2026, reaching $457.4 billion in 2026.
Banks, financial institutions, cellular companies, and e-commerce companies can no longer ignore the mobile financial services revolution. Following are a few essential factors that make mobile wallets stand out in the industry.
A mobile wallet allows you to transfer money to any bank account. It includes your own account in the same bank or another person's account in different banks. Owners of mobile wallets have various options for sending and receiving personal or business money with just a few clicks.
Instant payment refers to money transfers between the payer and payee wallets in seconds rather than hours or business days. Gone were the days when remitters had to wait longer to let their funds reach the recipients. Advanced technology has made it possible to transfer funds cross-borders swiftly. This feature offers numerous advantages, including:
Instant payments are more than a convenience in this cashless society; they are becoming inevitable. Through such features, you can help your family and friends in times of need and emergencies.
It is one of the essential mobile wallet features considering consumers' preferences. People nowadays prefer to pay all of their bills online, including utilities, mortgages, loans, rent, and tuition, to name a few.
Mobile wallets are becoming an essential part of daily life with digital cash. They provide easy solutions for prepaid or postpaid payment needs. You can manage every financial need with a few clicks on your mobile phone.
Coupons and rewards ensure better customer retention and winning new users simultaneously. Mobile wallets are ideal for offering these benefits to bargain-hunting consumers in a relevant context.
Therefore, coupons, discounts, tickets, loyalty points, and other similar items are essential for a digital wallet solution. ACE Money Transfer is one of the leading service providers that bring exciting rewards and promotions to its customers.
Since data stored in mobile wallets are encrypted, your actual card account numbers are not transmitted when making payments. Mobile wallets use random payment codes that cannot be reused. They frequently rely on security features such as biometrics to authorise a payment.
Furthermore, your complete card account number is not displayed anywhere in a mobile wallet. Thus, it prevents snooping eyes from capturing your card number for future use. Similarly, your transactions are protected by the same security and privacy as your physical cards.
Mobile wallets can store your debit and credit card information for later use. They are a convenient way to pay for purchases with a tap of your phone. This mobile payment option is becoming increasingly popular due to its convenience, speed, and security. So, for the cheapest way to transfer money internationally, go with a reliable and trusted Mobile eWallet service provider.
Customers can manage their accounts using mobile wallets from anywhere, at any time. Such financial convenience is the foundation upon which the mobile payments industry was built. It will impact how mobile payment processing evolves in the coming years.
The number of mobile users who manage their money on mobile devices is increasing. Still, most of that activity is limited to essential functions such as checking account balances.
However, there is no doubt that the future is digital. Mobile payment technology continues to improve in terms of security, usability, and value. It makes international money transfers more accessible and quicker than ever. ACE Money Transfer, a widespread money transfer service, plays a pivotal role in modernising how people manage their monetary needs.
