Phoenix Marketing International Payments Research Shows Barriers Exist to Consumer Use of Mobile Phones for Transactions
Debit Cards’ Popularity Grows, but 45% of Supermarket Transactions Still by Cash or Check
Salisbury, MD – June 20, 2007 – Phoenix Payments, a Phoenix Marketing International practice, today announced the results of its tenth annual Consumer Payments Preferences and Usage Study, which examines preferences and usage of payment methods at point-of-sale and for recurring bills. This year’s study delves more deeply than those of prior years into the shift to debit card usage and consumers’ attitudes toward both PIN and signature debit payments.
“Debit card usage is growing, and consumers clearly prefer PIN to signature debit,” stated Ken Kerr, Vice President of Phoenix Payments. “Our analysis shows clients the reasons. We also break down changes in payment behavior by customer segments.”
The Phoenix study evaluates preferences and usage patterns for many payment types including contactless cards, cell phones, and new check processing methods, as well as the two types of debit payments. Phoenix assesses the implications of its findings on banks, processors, and vendors. The study also tracks 30 categories of billers, from mortgages to daycare providers to telecom providers, and 21 categories of merchants from gas stations to hotels. Sample findings can be viewed at http://www.phoenixmi.com/financial/esp/.
“Everyone has a cell phone, but the phone as a payments channel is being over-hyped,” continued Kerr, “Consumers have serious security concerns, and few see a compelling reason to switch from cards to phones for payments. The analysis reveals consumers’ appetite for phone and other payment methods, and it identifies barriers to cell phone adoption that must be addressed.”
About Phoenix Payments Practice
Phoenix Payments Practice is a member of the Phoenix Marketing International family of research companies and is one of the most comprehensive financial consulting and research firms in the United States. Phoenix has the only integrated payments program that tracks the entire 200 billion plus financial transaction market through large-scale quantitative research, specializing in topics and issues that are of strategic importance to retail and corporate financial services and vendors of technology to those services.
About Phoenix Marketing International
Founded in 1999, Phoenix Marketing International is one of the fastest growing marketing services firms in the United States and partner to many of the largest companies in the financial services, consumer package goods, automotive, healthcare, and travel and leisure industries worldwide. Phoenix also offers advanced advertising and brand measurement along with direct marketing expertise. Phoenix has offices in Rhinebeck (NY), Somerset (NJ), Detroit, Boston, Salisbury (MD), Chicago, Los Angeles, Tampa and Miami. On January 12th Phoenix acquired a major interest in JZM, a full service healthcare market research company, to serve as the foundation of its new healthcare practice.
Phoenix Marketing Contact:
Ken Kerr
Vice President, Retail Payment Strategies
Phoenix Payments Practice
919-787-1157
Press Contact:
Ray Graber, Graber Associates LLC
781-221-0018