Why Germans are increasingly paying with their smartphones – eCommerce Magazin

The main reason for the mobile payment method is for German consumers the convenience. The smart device is usually with you when you go shopping and quickly picked up to pay, so the second most important reason for using it is obvious: the time saving. Another result of the G Data survey: the larger the household, the more often mobile payment is used. For the representative online survey, OmniQuest interviewed 1,000 internet users in Germany aged 18 and over on behalf of G Data in July 2020.

Comprehensive protection of your smartphone

“Mobile payment is spreading more and more in retail and is becoming more popular as a result. For consumers, mobile payment is easy and convenient. To keep it safe, the smartphone should be comprehensively secured. This includes the Installation of a security solution and all updates provided for the apps and the operating system. Then nothing stands in the way of unadulterated shopping fun, ”explains Tim Berghoff, Security Evangelist G Data CyberDefense.

G DATA Tim Berghoff
Tim Berghoff is a Security Evangelist at G Data CyberDefense AG.

The younger the users are, the more popular mobile payment is

48 percent, than almost half of Germans, use mobile payment via smartphone or wearable. In the age group of respondents between 30 and 39 years, most users, 72 percent, rely on the mobile device at the checkout. The lowest share of users is recorded among those over 60, at 27 percent.

It is interesting to take a look at household size: the more people live under one roof, the more likely they are to pay for their purchases using their smartphones. In a four-person household, the proportion is highest at 68 percent. Since purchases for a family of four or a shared apartment are often very large, the payment process should be quick and easy.

Mobile payment
71.5 percent of 30 to 39 year olds use smartphones to pay. (Graphic: G Data)

Mobile payment is convenient and saves time

For Germans, the main reason for using smartphones to pay is convenience with a share of a third (33 percent), the second most important reason for those surveyed is the time factor: Instead of looking for the right coins and bills from their wallets, all they need is a handle in the pocket to activate the mobile payment app and the purchase is paid for. Consumers are spared having to sort change in as well as having to pick up the right credit or giro card.

For Germans who refuse to use mobile payment, the main reason is that they generally do not want to pay for purchases with their smartphones. 40 percent of the rejecters take this view. 16 percent doubt the security of the payment system, and for almost 15 percent of those who reject them, concerns about data protection with mobile payments are the main reason for continuing to rely on cash or a payment card.

mobile payment
The most important reasons for and against the use of mobile payment. (Graphic: G Data)

PayPal is the most popular mobile payment application

Almost 88 percent of Germans use PayPal for mobile payment for goods, making it the most popular mobile payment application among Germans. The payment service provider is well-known and established in online trading, many users already have an account and are now using it for mobile payments. The highest proportion of PayPal users can be found in the group of people over 60. The second most popular type of use of mobile payment is the use of the NFC chip in mobile devices or wearables, with a share of less than a quarter (23 percent).

Contactless payment is becoming the standard

A representative survey by the digital association Bitkom, for which 1,003 people in Germany were interviewed, comes to a similar result. Accordingly, German consumers are increasingly involved in the corona pandemic I like digital payments found. 54 percent of those surveyed made at least one contactless payment with a giro or credit card when shopping on site and held the card in front of the reader. In this way, 26 percent regularly pay several times a week.

Also the contactless payment with the smartphonee or the smartwatch, as they enable services such as Apple Pay or Google Pay, are popular. According to the Bitkom survey, every third person has paid at least once in this way during the same period, and 16 percent use smartphones or smartwatches several times a week to pay.

Of the Bitkom digital association advocates comprehensive freedom of choice when paying by offering at least one digital payment option that can be used throughout Europe at every checkout and with every payment process. In the report that has just been published, the EU Commission also advocates “Retail Payments Strategy“For the promotion of cashless payments and wants to examine the need for regulatory steps. (sg)

Also read: The corona pandemic is changing our payment behavior