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The survey conducted by Savvy polled 1,003 Australians on their daily payment habits. The results showed that almost half use a digital wallet, or credit cards and payment instruments stored on a smart device such as a smartphone.
- Of those that use a digital wallet almost two-thirds use it as their preferred payment method
- Only 18.1% of respondents use cash on a regular basis
- Most have had their digital wallet for at least one year
- 2% (of 1003) respondents said they started using a digital wallet since the beginning of 2020
- 3% said they started using a digital wallet within the past six months
How often do you use a digital wallet?
Of those who use a digital wallet, 43.3% said they use the wallet “most of the time” and 15.9% said they always used the wallet. 30.9% said they used their digital wallets some of the time.
Cash is coming a distant third to electronic alternatives with only 18.1% saying they used cash as their primary payment method. 35.8% used EFTPOS and 46.2% used Paywave or Tap and Go.
Digital wallets are a relatively new phenomenon in the banking marketplace. 51% have used digital wallets for at least six months and as long as two years. A quarter (25.3%) have used digital wallets for more than two years.
20.2% of 1003 respondents said they started using a digital wallet since the beginning of 2020, while 7.3% of this total began using a digital wallet within the past six months only.
Cameron Dart, CEO and Director of AustralianFinTech.com.au;
“Paying via digital wallet has become the norm. It seems like in just a matter of two years, everyone in Australia went from paying by cash to paying by card to paying via a digital or mobile wallet - the rapid change is phenomenal in just a short period. Even now I'm paying by phone pretty much 100% of the time, plus it's extremely handy when you don't want to carry a physical wallet or handbag. Or if you forget either of them, because no one seems to forget their phones."
How long have you had a digital wallet for?
An overwhelming majority (87.6%) said they started using a digital wallet for the convenience. This hasn’t surprised Managing Director of Savvy and financial technology advocate Bill Tsouvalas.
“Digital wallets are simply more convenient,” he says. “Why would you worry about taking a wallet around when you have your smartphone on you anyway? Digital wallets will simplify our day to day carry and can be used for all kinds of contactless payments such as public transport or event tickets.”
Announced today, Australia will be getting a QR code payment system much like the contact tracing regimen in many states. Set up by EFTPOS, the company is currently conducting trials and a rollout is expected by 2022.
“Digital wallets are not only great for customers but their easy integration into payment systems and retail technology also means business will benefit in the long term,” Tsouvalas says. “Consumers are now willing to do more and more on their smartphone devices, from making every day purchases to even applying for loans online.”
