Samsung Pay keeps pushing incentives

19.04.2016 08:00

BI Intelligence

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Samsung Pay recently launched another promotion for new Samsung Pay users, according to Android Police.

In an attempt to target unengaged but likely users, the new offer is aimed at those who have installed and registered for Samsung Pay, but haven’t yet made a purchase.

For those who make three purchases using the wallet between April 15 and May 10, Samsung will offer users a $30 gift card to Best Buy, eBay, Game Stop, or Regal.

This is one of a series in Samsung Pay promotions — previously, the service had offered promotions to Galaxy S7 users as well as discount bundles during the holiday season. And it could draw in customers, because users want mobile wallet incentives; a CMB survey found that 44% of likely mobile wallet adopters could be persuaded to test a service because of wallet-specific rewards offerings.

Mobile wallets are growing in popularity, and more players are entering the space as they compete to be the go-to choice for the everyday consumer.

John Heggestuen, managing research analyst for BI Intelligence, Business Insider's premium research service, has compiled a detailed report on mobile payments that analyzes how this landscape will transform in the next few years.

BI Intelligence

Here are some of the key takeaways from the report:

In our latest US in-store mobile payments forecast, we find that mobile payment volume will reach $37 billion this year. This is about half our previous estimate for 2015. The downward revision is primarily the result of later-than-expected launches of major mobile wallets from big tech players.
But by the end of the forecast period in 2019, we expect volume to reach $808 billion, or about 99% of the old estimate. Our forecast is still one of the largest in the industry, and we think mobile payments will catch on faster than other research firms suggest: Mobile payment capability is either already offered or about to be implemented at merchants accounting for a huge chunk of US payment volume.
The number of people who make a mobile payment at least once a year will grow from nearly 8% of the US consumer population in 2014 to 65% by 2019. The growth in mobile payment users will largely be driven by mobile wallet initiatives from Apple, Samsung, and Google. When these are in place, 90% of the forthcoming smartphones in the US will come with mobile wallets preinstalled.
Samsung Pay will be a huge driver of mobile payment volume. Unlike Apple Pay, Samsung Pay is compatible at virtually every payment terminal in the US, thanks to the company's acquisition of LoopPay. This will make it easier for early adopters to make a habit of paying with their phone.
The sheer number of mobile wallets available or in the works from Apple Pay, Samsung Pay, CurrentC, Google Wallet, and others will drive mobile payment adoption as well. This will largely be the result of competitive pressure building between the companies and the bandwagon effect. Adoption will be self-reinforcing — the more consumers and retailers that use or offer mobile in-store payments, the more the behavior will catch on among others.

In full, the report:

Forecasts US mobile payment volume and user base from 2014-2019.
Provides an in-depth explanation of the assumptions and data behind the forecast.
Analyses the asymmetric objectives of the key players in the mobile wallet space.
Provides an update on the mobile payments industry including analysis of Samsung Pay, Google Wallet, and PayPal.

To get your copy of this invaluable guide, choose one of these options:

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The choice is yours. But however you decide to acquire this report, you’ve given yourself a powerful advantage in your understanding of how mobile payments are rapidly evolving.