Prepare for the cashless and walletless era
Customers will increasingly make payments using smartphones and other smart devices linked to bank accounts .
- A Reserve Bank-conducted survey published in November 2018 recorded a sharp decline in the use of ATMs. In 2010, Australians visited an ATM about 40 times a year. It’s now down to 25 times and falling.
- Australians make about 500 electronic payments a year, up from about 100 in 2000.
- State transport authorities also are making it possible to ditch their plastic cards and use a phone and watch.
Every transaction conducted digitally is a win for a financial institution somewhere, whereas cash is just between giver and receiver. Visa and Mastercard, and phonemakers such as Apple and Samsung, all stand to make larger profits from commissions resulting from increased transactions.