Around the globe, the use of contactless payments is growing. In March, it was reported that the contactless payment increase had doubled in countries over the initial four months of 2021.
In addition, the AMEX survey also revealed an important change regarding U.S. consumer attitudes about the technology, with the number of customers using contactless card machine systems at stores growing by 50 percent in April 2021 as compared to August 2020.
This increase isn't unexpected because of the numerous advantages that touchless transactions can bring. More than ever the focus of consumers is cutting down on physically touching at point-of-sale (POS) to ensure security and health reasons as well as allowing customers to purchase products without needing to physically input their card's PIN reader.
There is a growing amount of retailers requiring their customers to make contactless payment methods to avoid dealing with cash. Visa issued a range of POS terminal stickers to encourage making use of credit card transactions in stores, which include the 'how to pay with contactless and tapping to pay is recommended'.
For merchants, the benefits of using contactless terminals are their mobility. Merchants can put their card terminals wherever they like and let their customers pay swiftly however, they can do so at a distance, which is not possible using cash.
For companies that want to reach more customers as well as for consumers who wish to make shopping as fast as they can, the contactless transactions offer both parties the opportunity to process and receive payments more quickly and reduce the chance of long lines that form.
This is because transactions using contactless are typically twice as fast as using a PIN, and is much more efficient than cash.