AMSTERDAM | Adyen today announced findings from its third Adyen Mobile Payments Index covering the period September to December 2013. The Index shows mobile payments accounted for 19.5% of all transactions worldwide in December and a growth of 55% year-over-year. New to this Index, Adyen has pulled out data showing the average transaction value per mobile device across a selection of industry sectors.
Mobile Payments Per Vertical
Adyen looked at the variation in both volume and value of payments over mobile across five key industry verticals: travel, digital goods, gaming, retail and ticketing. Uptake in use of mobile devices to make payments over the last four months has been rapid across all sectors. Travel saw an increase of 22% in mobile payments and beats every other vertical with nearly 30% of all transactions made over smartphone or tablet. Gaming has seen the greatest increase in mobile payments over the last four months, up by 35% to 12%. Mobile transaction volume in retail has also risen by a third, up to 23%. Ticketing now sees 20% of transactions on mobile devices, up by 12%, and digital goods payments are 18% mobile, up by 9%.
Tablets are King of High Value Purchases
For all verticals except retail, smartphone payments outweighed tablet payments in volume. Yet tablets showed comparatively far higher average transaction value than smartphones or even PCs in the majority of cases. Of the five verticals, travel is the only one to show PCs dominating over tablets in terms of transaction value, despite having the highest share of mobile payments in volume. This suggests that users are more comfortable making pricier airfare purchases on larger-screen devices.
Transaction Mobile volume shares per vertical
- Travel: smartphones 17.5%; tablets 11.9%
- Retail: tablets 15.9%; smartphones 7.1%
- Ticketing: smartphones 13%, tablets 7.5%
- Gaming: smartphones 9%; tablets 3%
- Digital goods: smartphones 13%; tablets 5%
Average Mobile transaction value per vertical
- Gaming: Although 82% of transactions were made on a PC, compared with 3% on tablet devices, the average transaction value was markedly higher on tablet devices at 45 Euros ($62 USD), compared with 37 Euros ($51) on PCs and 33 Euros ($45) on smartphones
- Retail: tablet 89 Euros ($122); PC 67 Euros ($92); smartphone 66 Euros ($90)
- Ticketing: tablet 46 Euros ($63); smartphone 43 Euros ($59); PC 44 Euros ($60)
- Digital Goods: tablet 26 Euros ($36); PC 25 Euros ($34); smartphone 22 Euros ($30)
- Travel: PC 131 Euros ($179); tablet 89 Euros ($122); smartphone 44 Euros ($60)
Retail streamlining tablet checkout
The retail industry stands out in that it recorded a higher transaction volume for tablets than for smartphones (and the highest share of tablet transaction volume in any other vertical). The tablet, with its combination of a bigger screen, touch interface and portability may account for a better browsing experience and longer shopping sessions. Tablets recorded the largest average transaction value for tablets comparative to smartphones and PCs in the vertical Retail. This suggests that the retail industry leads the way in improving the tablet user experience for ecommerce, where a key part of the picture is streamlining the payment process to encourage more conversions.
Knowledge driving Checkout Optimisation Across Devices
“Ease of payment is vital for merchants to keep up with the evolution of mobile devices and consumer behavior. Businesses are focusing on enhancing their payment interface over mobile channels to make it responsive, simple and clear for users,” explained Roelant Prins, Chief Commerce Officer, Adyen. “That’s why having access to data on transaction volume and value is highly useful for merchants looking to optimise the user experience across mobile channels. It’s fascinating to look at a trend like tablets emerging as the leading device for more expensive purchases, and using this knowledge strategically to increase conversion rates.”
iPad takes 41% of all mobile transactions
Apple remains the most popular platform for mobile payments. The iPad won the highest share of 2014 holiday shopping transactions, taking 41% of mobile transactions over the September to December period. In second place was the iPhone, at 31.6%. Android smartphones proved more popular than Android tablets, capturing 20% of mobile transactions versus 6.6%. Windows Mobile devices have made up a steady 0.6% of mobile transactions since June 2013. BlackBerry hardly figured in the last four months, taking just 0.2%, down from 0.3% in the previous four months.
Android closing the gap on iPhone
Looking at smartphones as a category, Android looks to be steadily closing the gap on the iPhone’s lead. In April 2013, iPhone had a 68.5% share of mobile transactions, compared with 30.7% on Android. By August it was 62.5% to 35.9%, and in December 2013, iPhone share stood at 60% and Android at 38.6%. This reflects the increasing number of Android devices available, and in particular the growing popularity of Samsung, which shipped more than 300 million devices in 2013 and whose sales accounted for one in three smartphones sold last year.
Check out Adyen's Mobile Payments Index Infographic.
About the Adyen Global Mobile Payments Index
The Adyen Global Mobile Payments Index is based on Adyen global payment transaction data. This Index has been created to track the rapid evolution of mobile as a payment channel and provide insight into mobile payment trends for different devices, market sectors and geographies. Adyen processes payments for more than 3,500 medium, large and enterprise-sized organizations mainly operating multi-national businesses. The company processed more than USD 14 billion in payments transactions in 2013, of which USD 2.2 billion were mobile transactions.
Adyen is a global provider of international and omni-channel payment solutions. Adyen holds full acquiring licenses for Visa, MasterCard, American Express, Diners, Discover and Union Pay schemes enabling its platform to process payments from any sales channels including online, mobile, and point-of-sale (POS). The Platform is highly scalable and can be completely customized to meet any merchant requirement. Adyen processes over 250 local payment methods and 187 transaction currencies used on six continents, making it the ideal partner for international expansion. Many high profile customers use Adyen including Groupon, Indiegogo, Wix, TomTom, Graze, Farfetch, Badoo, SoundCloud, Mango, KLM, CityJet, i-Parcel and Vodafone. Adyen is headquartered in Amsterdam, with offices in London, Paris, Berlin, Stockholm, San Francisco, Boston, Sao Paulo, and Singapore. The company processed more than USD 14 billion in payments transactions in 2013. For further information, please visit www.adyen.com and follow Adyen on Twitter at @AdyenPayments and LinkedIn.