Many financial and non-financial organizations launch their own mobile wallets, among the most popular are Apple Pay, Samsung Pay, Amazon Pay, etc. In June 2022 Meta (former Facebook) launched Meta Pay, a digital wallet for use within the metaverse. It is a universal way to buy digital items, art, and tickets to virtual events in the metaverse.
Mobile phones are a crucial part of modern people, they are in customers’ hands 24/7. The main needs of modern customers are the convenience and speed of payments, which leads to a significant increase in demand for mobile wallets in recent years.
The mobile wallet market size valued at 220 billion USD in 2021 and is expected to expand at about 17% CAGR from 2022 to 2030. According to Boku’s 2021 Mobile Wallets Report, the global number of mobile wallet users will increase by nearly 74%, from 2.8 billion in 2020 to 4.8 billion in 2025. And Statista predicts that the global market for mobile wallet transactions will grow more than 80% from 2020 to 2025.
Based on the market trends now it is high time to evaluate whether your business could benefit from investing in a branded mobile wallet. Implementing branded mobile wallets in your strategy can open up significant opportunities for your business and increase your revenues.
To build a solid and flexible solution, you need to select the right technology partner. And we are going to cover key criteria to consider while choosing a mobile wallet software provider.
3 Factors to consider when choosing a mobile wallet provider:
1. Security
Security is always one of the first criteria when it comes to developing a fintech product. In many ways digital wallets and payments are more secure than regular cards, the risk of cards being lost or stolen can be excluded.
Also when paying with a mobile wallet, true card numbers are safe thanks to tokenization, which means that a hacker cannot get information about your card from a merchant’s payment reader.
But your digital wallet provider must strictly adhere to legal requirements and payment processing best practices. Strong privacy and security protocols are a must for a mobile wallet as it deals with sensitive user data. So among the main security measures are to equip your mobile wallet with multi-factor authentication, encryption option, role-based access, audit trail and reporting, AML, and KYC.
2. Scalability and flexibility
In our changeable environment, you should also consider how a mobile wallet provider fits into your future ecosystem. Whether it’s supporting growing demand, multi-currency support, or implementing cutting-edge capabilities like biometrics or cryptocurrencies, you need to know that your chosen provider is equipped to help you through these transitions.
You should consider digital wallet platforms with modular architecture providers with open APIs as this approach makes it possible to smoothly add new workflows, features, and endless integrations.
3. End-to-end Delivery
A good wallet service provider should receive a ready-made wallet app with customizations and designs. Even when choosing a white-label platform, it should also be easy to customize for your unique needs.
Next in line is receiving clear expectations on operational and technical support, training, and maintenance.
So you need a partner with the skills and experience to develop mobile wallets, flexible and forward-thinking enough to keep up with changing customer needs in an ever-changing fintech landscape.
A prospective mobile wallet provider should demonstrate that they are ready to invest in your mutual success throughout the entire partnership.
.