Europeans increasingly tap for their everyday purchases as they benefit from the speed and convenience.
In the second quarter of 2015, tap transactions in Europe grew by almost 170% year on year. Consumers already using contactless payments have tapped 20% more and contactless spending has tripled in Europe compared to Q2 2014. In Q2 2015, 1 out of 2 contactless transactions was done at food stores, followed by 14.5% at restaurants & bars and 10% at retail stores.
To continue to amplify the usability of contactless payments in Europe, MasterCard announces new standards for retailers that will lead to an even smoother and more intuitive contactless payment experience for mobile NFC payments. In short, these new standards aim to drive the authentication of transactions onto the mobile device, using biometric capabilities offered by many smartphones or by using a PIN code entered on the device before or after the tap. This on-device authentication has the added advantage of opening NFC smartphone payments for all values.
Today, in several markets, like the UK and France, it is only possible to tap for amounts up to a fixed limit (€25 in France and £30 in the UK). By 2017, when on-device authentications are expected to be fully adopted in Europe, it will be possible to pay at all contactless acceptance points with NFC smartphones for all values.
“Consumers in 40 European countries are endorsing the contactless payment experience as part of their day-to-day life: 61% of MasterCard and Maestro in-store transactions are contactless in the Czech Republic, while similar growth trends are being seen in Poland (41%), in Hungary (27%) and in Slovakia (27%),” said Javier Perez, the President of MasterCard Europe.