Only 51% of US consumers are aware of digital wallet providers other than PayPal, even as electronic payment providers, mobile phone carriers, banks, and retailers themselves line up for a piece of the emerging digital wallet market, according to new data from comScore.
Moreover, only 12% of consumers surveyed say they've used a digital wallet service other than PayPal.
Digital wallets store a virtual copy of the contents of a consumer's physical wallet to facilitate online or offline retail transactions. By automatically entering an enrolled customer's credit card number and billing/shipping addresses, digital wallets tend to simply the online shopping experience and decrease shopping cart abandonment.
When consumers use a digital wallet via mobile device, the transaction can be as simple as holding up a smartphone to a digital reader at a merchant's cash register.
Below, additional findings from comScore's new report titled "Digital Wallet Road Map 2013," which offers data, insights, and strategies for overcoming barriers on awareness, understanding of benefits, availability, and security concerns.
Among digital wallet services, PayPal boasts the highest awareness and adoption among US consumers: 72% say they're aware of the service, and 48% have used PayPal.
Even so, the digital wallet market opportunity could eventually reach one out of two consumers as audiences become more aware of the offerings and educated on their benefits, the study found.