With the rise of fintech trends such as cashless payments, online transactions, and mobile trading, we are seeing a corresponding rise in the uptake of digital wallets amongst businesses and consumers.
Digital wallets are fast becoming the preferred method of payment amongst consumers, both online and in brick-and-mortar stores. Some of the biggest names in tech, such as Google and Samsung, have spawned wildly successful wallets, with many others are attempting to follow suit. This is because the popularity of digital wallets is undeniable – by 2024, 4 billion people will be using digital wallets, and the global mobile wallet market size is anticipated to hit USD3.6 billion.
What are digital wallets?
Digital wallets, or e-wallets, are virtual mobile wallets. It is essentially the same as carrying around a physical wallet, except without the hassle of a bulky wallet filled with cash, cards, old receipts and other paraphernalia. They are mobile apps that serve as online payment tools, and securely store your cards virtually so that you can make payments any time, anywhere.
Why bother with digital wallets?
One of the most obvious and immediate benefits of e-wallets is the convenience. With just one app, you can instantly transfer money from your bank account to your digital wallet, have your credit cards stored, and make instantaneous contactless payments anywhere and at any time of the day. This makes for a smoother e-commerce experience.
Mobile wallets are also highly secure. Most digital wallets contain several layers of security and encryption so that only you can access and make use of your sensitive financial information. In fact, digital wallets are much safer than physical everyday wallets because no one can gain access to your e-wallet but you.
Many e-wallets even provide rewards and savings such as cashback, lower exchange rates and lower transaction fees than many consumer banks.
Merchants who often struggle with consumer cart abandonment can rest easy knowing that digital wallets offer a solution to that problem. With digital wallets, consumers no longer need to go through the cumbersome process of re-entering credit card details and shipping information. Now, with just one button, consumers can effortlessly and securely enter into any transaction.
In short, digital wallets are secure, convenient, easy to use, and easy to implement. These are just some of the factors contributing to the increasing global adoption of e-wallets.
Who are digital wallets for?
Whether you are a consumer or a merchant, digital wallets are a great payment tool to get involved in.
As a consumer, digital wallets allow you to consolidate all manner of finances, such as payments, credit cards, expenditure tracking, and in some cases, even stocks and crypto trading!
If you are a merchant, the increasing adoption of digital wallets will make your business more accessible, especially as the global population grows more tech-savvy. When it comes to online transactions, consumers demand ease, convenience and security – and digital wallets offer all of these benefits.
Where and when can I get started?
Digital wallets can be found on all app stores. They are easy to download and set up, so you could even become the proud owner of a digital wallet within the next hour! Once you have your wallet set up, it will always be at your fingertips.
If you are a business owner looking to create a digital wallet, doing so might not be the most straightforward process.
Developing a mobile wallet from scratch is an expensive and laborious process. For starters, building a mobile wallet requires a great team of developers that understands your business vision and can execute it perfectly. As any business owner knows, putting together such a team is no easy feat. Once you secure your unicorn team, it could take you up to two years to finalise your prototype digital wallet and eventually go to market.
For these reasons, a good place to start would be white label digital wallet solution. That way you leave the mobile wallet development to the experts who have already developed a mobile wallet solution, while you and your team can carry on providing unique value to your business and its customers.
With a white label digital wallet solution, you can tailor an e-wallet to your business’s exact needs. You get the benefits of an e-wallet, but without having to hire and pay for a brand-new team of fintech developers and experts. The beauty of white label digital wallets? You can have your very own digital wallet product in a matter of months or even minutes.
Whether you are a consumer or a merchant, stay ahead of the curve by getting involved in digital wallets today.