New Visa Research Shows Australians Are Open To IoT-based Payments

Global credit card company Visa has found in a recent survey that over 50 percent of Australians are open to using new features like fingerprints, retina scans or voice activation as replacement to PINs in making payments.

The preference was attributed by 45 percent to the increased security offered by the new formats, while another 40 percent said the convenience of not having to remember a PIN or password was the appeal.

A quarter of those surveyed were ready to accept use of artificial intelligence in retail transactions.

The survey was conducted by YouGov and was carried out between 16 to 19 May, 2017. The survey took the feedback from 500 people in Australia and showed that close to 29 percent of Australians were willing to use an internet-connected device, like a home assistant or a connected fridge to carryout payments .This percentage has moved up significantly from 2016 when it was just 12 percent.

IBM Watson Internet of Things

The spike in interest comes even as the OAIC – Office of the Australian Information Commissioner pointed out that 71 percent of IoT devices and services being currently used in Australia, fail to explain sufficiently how personal information was being collected, utilized and disclosed.

Stephen Karpin, Group Country Manager for Visa in Australia, New Zealand & South Pacific said that the research indicated that Australia was ready for new and innovative technology-based experiences.

In a statement Karpin said

Over the past few years, we've seen developments that have significantly changed our payment experiences – from Visa payWave to wearables, such as smartwatches and even rings. As the Internet of Things and biometric capabilities become integrated into our everyday experiences, we'll experience a significant shift in how payments are made. In our lifetime, we will see infinitely more choice in how Australians pay, from watches, fridges and mobile phones, to eyes and fingers

Around 39 percent of respondents indicated their hesitation in sharing personal information in order to gain convenience. Karpin said that the concern regarding overall security was an important factor that the survey revealed. Visa believed in responsible innovation where security was inbuilt and there was no scope for comprising the robust system.

Based on current Visa data, there over three billion Visa cards active worldwide that are accepted at 44 million merchant locations. Visa expects that with introduction of connected devices and the growth of the digital economy, payment formats will balloon to over 30 billion while the number of places accepting payments both physically and digitally will surpass 400 million.

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