TREND 1 TREND 2 TREND 3 TREND 4 TREND 5 GEN Z RISINGUX IS THE NEW GOLD MOBILE HIT ITS GROOVE REWARDS REVOLUTION THE NETWORK EFFECT TREND 3 MOBILE HITS ITS GROOVE 23 percent of consumers would give up their mobile banking app for a digital wallet with all TREND 6 TREND 7 TREND 8 TREND 9 TREND 10 their payments information in one place. FINTECH AND BANK FUSIONAN ARMS RACE IN CODE PAYMENTS EVERYWHERE FRAUDSTERS INNOVATE TOO RIP AND REPLACE REQUIRED Consumers’ use of mobile payments has been consistently lackluster even as they fell madly in love with their mobile phones in other aspects of their lives. Not a shock considering that all the industry did was put a piece of plastic on a phone with more technology than it took to land on the moon and expected % magic to happen. But how could it without new value? 64 This will change. Mobile payments is poised to finally have its day thanks to of consumers plan to APIs and open banking. These advances make it possible for payments players use a mobile wallet to deliver more valuable, consumer-focused payments experiences—with in 2020, up from 46 immediate rewards, proactive balance alerts and more—that bring the power of percent today—a 39 mobile, the ecosystem and data sharing to life. This is about finding engaging percent rise in the ways to offer true value beyond the transaction itself. user base. Consumers are desperate for a different breed of mobile payments options. Our survey suggests that one of the value-added services that we predict will Source: Accenture 2017 North gain traction in the coming years is a single view of account information. This is America Consumer Payments possible with a mobile banking app that allows consumers to see all checking Pulse Survey and credit card balances at one time. The risk here for banks, considering the rote functionality of their mobile payments apps, is that aggregators will start to disintermediate banks in mobile payments by providing this increasingly sought after unified view of consumers’ finances. Banks are essentially two APIs away from losing a big chunk of their mobile app traffic. Delivering this unified mobile payments experience will become ground zero in the battle over customer experience between traditional players and third- party payments providers. Today, bank mobile wallets have lower penetration among consumers (28 percent) than the both the Pays (Apple Pay, Android Pay 3 and Samsung Pay) (49 percent) and merchant wallets (39 percent). If traditional players do not think beyond the functional aspects of their mobile payments apps to create mobile experiences that engage consumers to do more—to get more value—Google, Apple, Facebook, Amazon and others will do it for them. 6 | DRIVING THE FUTURE OF PAYMENTS 10 MEGA TRENDS Copyright © 2017 Accenture. All rights reserved.