One thing all customers have in common is the need to shop in a safe environment with a secure payment method. Mobile wallets are able to provide what your customers want instantly!
No one wants to experience the worry of possibly having their information stolen while enjoying a bit of online shopping. Thanks to the rise of digital wallets which don’t store vital credit card or banking information, peace of mind is at hand.
What is a mobile wallet and how does it work?
A mobile wallet is simply a digital wallet that lives on your device or within an online shopping or loyalty app and makes online shopping so much easier.
Placing speedy transactions that are 100% secure in the palm of your hand, a mobile wallet is topped up with funds and often connected to shopping or rewards apps.
Use your credit card or bank details to add funds to your digital wallet and use the app to pay for your online shopping purchases. It’s simple, safe, and rewarding all at the same time!
Rewards come into play when a mobile wallet is attached to a loyalty program that offers promotions, cashback, bonuses, and more with purchases.
Do mobile wallets build customer loyalty?
All businesses want to know the key to building customer loyalty and engagement. It goes without saying that these are vital points for ensuring a thriving community of consumers.
While more and more people are turning to mobile solutions for their everyday payment needs, many still need a push to do so on a regular basis.
In the State of Mobile Wallet Loyalty and Engagement survey by Points, it was found that as many as 94% of users would be more likely to take the plunge and use a mobile wallet if rewards were part of the deal.
The survey offers insights into how consumers view mobile wallets, loyalty programs, and what users want from the experience.
Consumers and their mobile devices
A whopping 3 in 5 consumers use their mobile devices to make use of apps such as loyalty programs. Other ways in which users make the most of their mobile experience includes:
- 71% use their mobile to redeem vouchers
- 58% access loyalty cards and apps for rewards
- 45% book hotels via their mobile
- 34% use their device to book flights
- 25% book rental car services on the go
With so many potential customers using their phones to access every area of online shopping and transactions, it’s no surprise that digital wallets are on the rise!
Mobile wallets are becoming a normal way of conducting business and moving funds. It was found that 63.8% of smartphone users had paid for a service or product using a digital wallet in the year the survey was conducted.
A large number of these users, 92% in fact, also belonged to as many as 20 loyalty programs at one time! If businesses can tap into what users want from both their mobile wallet as well as a loyalty program, there’s no denying that engagement and customer retention will skyrocket.
How users want to be rewarded when using a mobile wallet
In the survey, mobile wallet users were asked what they’d like to see and how they’d like to be rewarded when using their favourite app. The number one request by 86% of users was the ability to access loyalty programs via their mobile.
Here are some other interesting points that were shared:
- 94% want the ability to exchange points between different programs
- 60% of users want to access all active loyalty programs in one app
- 57% want to track their points or miles balance
- 53% want to earn points or rewards with every mobile payment
- 53% want to be notified when they have enough points to redeem for rewards
Combining the ability to be rewarded via a loyalty app when using a mobile wallet is the ultimate way to draw customers and ensure they remain with your brand. Read more about what UBU can do for your business when you take advantage of our white label mobile payment, customer loyalty and rewards platform suitable for both large distribution networks and brick & mortar businesses of all sizes.