The number of mobile commerce transactions are set for a near threefold increase over the next five years, thanks to the contribution of Apple Pay and the take-up of Host Card Emulation (HCE) technology. But the area will get the heftiest push from the sale of digital goods, said research firm Juniper.
The study found that mobile phone and tablet users will make 195 billion mobile commerce transactions annually by 2019, a near threefold increase from 72 billion this year.
The drivers will include Apple’s recently launched NFC-based payment service, which works both for virtual and proximity transactions. And anticipated deployments by banks of HCE technology will help too.
However, the highest net increase in transaction volumes will occur in digital goods because of a surge in micropayments for in-app purchases, for instance in social gaming.
The study highlighted how revenue for digital content can also come from direct carrier billing, particularly within underbanked regions and populations.
Finally, the study pointed out how many mobile ticketing deployments have grown rapidly immediately after launch. The conclusion is that such services are meeting an untapped demand.
A well-publicised mobile ticket launch by the MBTA (Massachusetts Bay Transportation Authority) accounted for 15 per cent of its ticket sales within nine months of launch.