Will wearables transform how consumers pay for merchandise?

CHARLOTTE, N.C. — According to findings released today from Carlisle & Gallagher Consulting Group, U.S. consumers are in no rush to purchase a wearable device and future adoption of the technology will be driven by attractiveness, alerts and payments functionality.

 

“While wearables are a significant trend in technology, their utility to financial services remains to be seen,” said Byl Cameron, CG’s Digital Practice Lead. “But the fact that one third of consumers are comfortable making a payment from a wearable device, tells us that this technology is a ‘must-watch’ development in fintech.”

 

In September 2014, CG surveyed 1,005 U.S. consumers online to understand how mobile banking behaviors and the shift in mobile device size will influence how Americans do their banking in the 21st century. Full results are available in CG’s research report, “Mobile Banking: The New American Addiction.”

 

According to the survey, 82% of U.S. consumers would not purchase a wearable. For those considering a wearable purchase, 53% say it is important for the device to look attractive; 39% are interested in receiving notifications and alerts; and 30% are comfortable making a payment with a wearable device. 

 

As many as 8% of Americans plan to purchase an Apple Watch, while 4% want to buy Samsung Galaxy Gear, 2% Google Glass and 1% LG Lifeband. 

 

Almost 40% of consumers who plan to buy a wearable are habitual mobile banking users (access bank accounts via mobile device four or more times per week).