Transaction Trends

According to a new study by Juniper Research, a combination of in-app purchases and website retail payments is projected to drive annual spend via Apple Pay and Android Pay to $8 billion in 2018, up from $540 million this year.

The new study, Mobile & Online Remote Payments for Digital & Physical Goods: Opportunities & Forecasts 2016-2021 found that the integration of OS-Pay into apps will prove to be a ‘no brainer’ for developers looking to reduce buyer friction, where password entry on smartphones remains cumbersome. Staples, for example, has already reported that over 30% of its iOS app users make in-app purchases through Apple Pay. Meanwhile, despite the continued contraction of the consumer tablet market, more than 85% of remote goods payments are forecast to be made using mobile devices in 2021.

“It is clear that even in markets where PCs and laptops have a high installed base that the smartphone is playing an increasingly important role where remote goods purchases are concerned.” noted research author Steffen Sorrell. “For merchants, this means that the buyer experience must be made as frictionless as possible – from product search and discovery to purchase.”

The whitepaper, OS-Pay to Shake Up Remote Retail, is available to download from the Juniper website together with further details of the full research.

Juniper Research provides research and analytical services to the global hi-tech communications sector, providing consultancy, analyst reports and industry commentary.