The majority of consumers (54%) plan on abandoning cash entirely by 2020, and Americans are leading the way with the adoption of mobile payments, according to recent research from Paysafe.
The report, Lost in Transaction, found many consumers are already living without cash. More than half (54%) visit an ATM only once a month, and one in seven say they “rarely” carry cash. About two-thirds of the respondents (63%) said they rely on cash less than they did a year ago.
The study, which surveyed consumers in the United States, the U.K. and Canada, also showed Americans are leading the way when it comes to adopting new payment methods. Nearly one-third (31%) are using mobile wallets such as Android Pay and Apple Pay, and 14% are using cryptocurrencies. Paysafe said this high adoption rate is due to the fact that Americans have an increased confidence (72%) in using their mobile phones for shopping.
“One in seven US consumers have already started to use cryptocurrencies and one in six have used biometric identification. This core of early technology adopters will create the momentum for our next leap forward in payments, just as they did with mobile wallet use which has become mainstream in America. As consumer acceptance of a cash-free society grows, businesses are challenged to reimagine the shopping experience to allow for behaviors and payment models unthinkable a decade ago,” said Joseph Daly, Chief Operating Officer of Paysafe Payments Processing in North America.
Despite leading the way in alternative payment technologies, many Americans are still using old fashioned payment methods. Half of Americans reported writing a check in the last month, compared to 30% of Britons and 40% of Canadians.