- An overview of -

mobilepayments
mobile wallets
A snapshot of the where the mobile wallet is in terms of money,
consumer perception and predictions for the future
For more information on these issues, please visit our event website
www.mformobile.com/mobile-wallet-summit

- mobile wallet -
Worldwide Statistics

m o bile paym ent in

T he to account for dus
O 15 t ed as tr
MU y
2 as
BY ec
r
1 T r i l l ion CH is
AS
fo

54% 57%

1 Smartphone penetration 2
in the EU5 (UK, France, Germany, Spain, Italy)
is higher than the respective penetration rate
of the United States

64%

3 6.7 trillion
was channelled through
credit card networks of mobile media
users worldwide
such as Visa, MasterCard, currently utilize
and American Express their devices to
(15 trillion when including conduct
debit cards/pre-paid cards)
mobile
banking
up from

4 At the end of 2O12,

2O1O 2O11 there were
5.4 6 6.8
billion
mobile
subscriptions
billion
mobile
subscriptions
billion
mobile
subscriptions
57%
in 2o11

That is equivalent to
96% percent of the
world population

- the mobile wallet -

in europe
5 in-store mobile wallet payments
in EU27+2 is forecasted to grow from
less than €o.1 billion in 2o12
at a compound
annual growth
rate of
275%

to reach
€45 billion
in 2o17

This will correspond to 1.6 percent of the credit card and debit card payments
at the end of the forecast period

1 by the end of 2o13 there will be mobile wallet services

commercially live in nearly half of the EU27+2 countries

- And will it be -
nfc...?

IN 2O18 This is
expected to
6 around rise to WHEN

42% 49%
38%
of mobile payments
in Europe in 2O15
will be NFC or
contactless of mobile phones shipped
payments will feature
NFC

5
global sales of Global shipments of
handsets featuring NFC NFC-ready POS terminals
grew 3OO% DOUBLED
in 2O12 to reach in 2O12 to an estimated
14O million 3.9 million
units units
annual shipments are NFC-ready POS terminals are
forecasted to reach predicted to reach
1 billion units 44.6 million units
by 2O17 by 2O17

- what THE -
CONSUMERS ARE SAYING
7 This figure
rises when
asked just to especially
smartphone 18-24 year
34% owners olds at

of consumers would 46% 55%

definitely or probably
use their The figure
mobile as increases
a wallet and
25-34 year
again when an
incentive is
to make payments,
collect vouchers, to use olds at offered
as event tickets and on
public transport

49% 51%

48% 51% 44%

of survey respondents of the responding of smartphone owners
said that they have consumers have ever in the US say they are
used PayPal heard of a digital interested in making
payment service in-person
other than payments
PayPal with their devices

- Addressing the -
Question of security
8
Factors that would
encourage
consumer confidence
in mobile wallets

51% 48% 43%

a bank/mobile entering a PIN on
provider every transaction
guaranteeing any
financial losses
4O%
being able to shut
37% the mobile down
after a number of remotely
of consumers would use transactions
a mobile wallet if their
34%
worries about security
were addressed
33% setting a daily cap
facial recognition on spending

24%
VOICE RECOGNITION

- the -
retail sector
Based on supplier estimates
the retail sector has the
biggest potential for growth
in mobile payments over the next 2 years

9
spending
on mobile
payments
by vertical

retail
food and transportation
beverage 22%
bill tech
pay
other
entertainment
17% 2o%
14%
11%
6% 9%

71% 1 54% 61%

of smartphone owners of marketers in of US consumers
shop using their mobile Velti’s 2o13 survey believe that
device. However, mobile think that mobile smartphone payments
shopping experiences fail payments will be a will eventually
to produce consumer
satisfaction, as
significant replace
trend credit card
1o 88% over the next payments
of those who shop 12 months for most purchases
on their smartphone in store
reported
experiencing
negative
issues

SOURCES
1 Velti Mobile Whitebook 2013, Data, Trends and Best Practice 2 Carlisle and Gallagher Consulting
Group, Mobile Wallet Reality Check: How will you stay top of wallet? 3 The Nilson report 4 ICT
Facts and Figures, The World in 2013 5 Berg Insight Research 2o13 6 Frost and Sullivan Report 2o13
7 comScore The Digital Wallet Road Map 2o13 8 ICM Research 9 Heavy Reading Mobile Networks
Insider 1o The Skava Consumer Mobile Shopping Survey

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www.mformobile.com/mobile-wallet-summit
Infographic design by www.chriscollicott.co.uk