Skip to main content

Digital Wallet Spending Surges in Europe and America

The advantage of a digital wallet is that -- for both online and offline transactions -- it affords the user an opportunity to make secure, quick payments, obviating the need for a physical card or to enter bank details for every purchase.

For the unbanked, it goes further, providing a means of economic inclusion, both as an alternative to cash payments and as a way of accessing financial services such as loans and savings accounts.

For the wallet provider, service evolution from the early days of online payments and person-to-person remittance has enabled several fintech vendors to achieve a strong presence across the payments and retail ecosystems.

This now extends both to offering offline and online goods payments on their own and third-party storefronts, together with loyalty programs, bill payments and digital banking services.

Digital Wallet Market Development

Spending via digital wallets across Europe and North America will increase by 40 percent this year to nearly $790 billion, according to the latest worldwide market study by Juniper Research. The largest growth in 2019 will come from in-store payments, with mobile contactless payments more than doubling across these regions.

The study found that while eRetail through wallets would remain the largest contributor to consumer spending, continued migration from cash would see a surge in wallet use at the point-of-sale (POS). This was the case amongst younger digital wallet users and in the U.S. market, where a third of Apple iPhones are now used for contactless payments.


The study findings highlighted the importance of digital wallet providers establishing partnerships with leading banks to maximize reach amongst wallet users. Juniper Research’s analysis found that Apple far outstripped its rivals -- achieving the largest addressable share of banking consumers in 7 of the 10 national markets assessed.

In the online space, the study found that wallets -- including Apple Pay, Amazon Pay and Visa Checkout -- had also significantly expanded their availability at merchant sites, although all lagged well behind PayPal in this regard.

Meanwhile, social payments through wallets will grow strongly both this year and beyond. It's a trend expected to be accelerated in 2020 by the emergence of Facebook’s Calibra wallet and its attendant Libra cryptocurrency.

Outlook for Digital Wallet Applications Growth

However, the study results were less optimistic about prospects for Wearable-Pay wallets -- indicating that their limited addressable bases and functional constraints meant they would struggle against converged wallets, providing an extensive portfolio of online and offline payment offerings.

"Wearable-Pay solutions are still completely dependent on the smartphone and are ultimately limited to a single use case. They are thus likely to remain, at best, a niche offering," said Nick Maynard, lead analyst at Juniper Research.

Popular posts from this blog

Industrial and Manufacturing Technology Growth

In an evolving era of rapid advancement, market demand for innovative technology in the industrial and manufacturing sectors is skyrocketing. Leaders are recognizing the immense potential of digital transformation and are driving initiatives to integrate technologies into their business operations.  These initiatives aim to enhance efficiency, reduce costs, and ultimately drive growth and competitiveness in an increasingly digital business upward trajectory. The industrial and manufacturing sectors have been the backbone of the Global Networked Economy, contributing $16 trillion in value in 2021. Industrial and Manufacturing Tech Market Development   This growth represents a 20 percent increase from 2020, highlighting the resilience and adaptability of these sectors in the face of unprecedented challenges, according to the latest worldwide market study by ABI Research . The five largest manufacturing verticals -- automotive, computer and electronic, primary metal, food, and machinery -

Rise of AI-Enabled Smart Traffic Management

The demand for smart traffic management systems has grown due to rising urban populations and increasing vehicle ownership. With more people and cars concentrated in cities, problems like traffic congestion, air pollution, and greenhouse gas emissions are pressing issues. Since the early 2000s, government leaders have been exploring ways to leverage advances in IoT connectivity, sensors, artificial intelligence (AI), and data analytics to address these transportation challenges. The concept of a Smart City emerged in the 2010s, with smart mobility and intelligent traffic management as key components.  Smart Traffic Management Market Development Concerns about continued climate change, as well as cost savings from improved traffic flow, have further motivated local government investment in these advanced systems. According to the latest worldwide market study by Juniper Research, they found that by 2028, smart traffic management investment will be up by 75 percent from a 2023 figure of

GenAI Revolution: The Future of B2B Sales Apps

When B2B buyers consider a purchase they spend just 17 percent of that time meeting with vendors. When they are comparing multiple suppliers‚ time spent with any one salesperson is 5 or 6 percent. Self-directed B2B buyer online research has already changed procurement. IT vendors are less likely to be involved in solution assessment. Now, more disruptive changes are on the horizon. By 2028, 60 percent of B2B seller work will be executed through conversational user interfaces via Generative Artificial Intelligence sales technologies -- that's up from less than 5 percent in 2023, according to Gartner. Generative AI Market Development "Sales operations leaders and their technology teams must prepare for the convergence of new forms of artificial intelligence, dynamic process automation, and reinvented deal-planning activities that will transform the sales function," said Adnan Zijadic, director analyst at Gartner . According to the Gartner assessment, Generative AI (GenAI) s