When It Comes to Your Money, Trust Is Essential Online and in MobilePeter Reville |
Maybe I’m stating the obvious, but bear with me.
It’s all about the tradeoff. When online, consumers today are constantly playing the game of what information to share and with what online entity. The tradeoff comes in when we balance what we want with what the online entity wants. Deloitte’s Eric Openshaw and Brian Shniderman
Our own research and reams of other studies all show the importance of trust in an online relationship. If consumers do not trust you they will not buy your product or your service. It’s that simple.
This brings me to mobile wallets. There are many entrants into this space, it seems like there is a new announcement every other day. But where’s the trust? Are consumers willing to share their personal financial information with a start-up? Trust, as we all know, is earned, and to what extent have some of the new wallet players earned that trust? To make matters worse, consumers have real concerns about security when it comes to wallets. A recent comScore report cites “security, safety, theft and loss of phone” as the top barrier to adoption. That is a big hurdle to overcome.
Regardless of whom you are in the wallet value chain, earning and maintaining trust should be the highest priority because without it, you won’t win over the consumer. Wallets, today, are not the better mouse trap. The world is not beating a path to our door demanding a better way to pay. That said, some consumers – the young tech savvy, who see their smartphone as an extension of their arm – will want to pay this way, but they won’t if the inherent trust isn’t there.