The rise of mobile payments has not only helped consumers and merchants, but developers as well. Studies show that when using biometric payments and other micropayment options, consumers are willing to make larger payments or make smaller purchases more regularly from their mobile devices, increasing merchants’ profits.
What does this mean to ISVs?
Integrated software vendors who are applying the latest digital payment options to their software solutions are in the position to create new (and more profitable) relationships with merchants. This is why ISVs must keep trends in consumers’ digital payment preferences in mind when designing new solutions.
According to the Worldpay 2015 Future of Digital Payments report, developers should take these three trends into consideration:
- Location: Rising economies, such as India and China, are more likely to purchase social content than established economies like the U.S. For example, 28 percent of respondents in India have invested in paid social media services, while only 12 percent of U.S. respondents have.
- Payment method: Overall, credit/debit cards are the most popular payment methods used for buying tech and software content. Online wallets are a close second, followed by mobile payments.
- Billing model: More than one-third of consumers prefer one-off payment billing for digital technology goods and services because it helps them stay in control of their finances. According to the study, this billing method is expected to become the most popular choice for consumers in the near future.
