The development of new technologies opens up a plethora of new opportunities for innovations to impact people’s daily lives. Consumers are increasingly turning to mobile payment apps for digital payments due to their easy access to the internet. Smartphones no longer only serve as a communication medium, but also as a multifunctional device, allowing consumers to perform a variety of financial services through their smartphones.
According to GSMA, since 2012 the mobile money industry has seen a high level of digitisation where a large proportion of monetary transaction is being done digitally rather than in cash. For instance, the introduction of mobile wallets across the world, where a customer is asked to add funds to the application and use it later to effect merchant payments.
People want a payment experience that is quick, simple, secure, and seamless. Users can use digital wallets to pay for purchases in advance, worry-free and without any hassle. Smartphone users who use contactless payment technology have favorable attitudes toward the payment method. Consumers can use mobile wallets to make purchases by using an app on a smartphone. Cash, credit cards, and coupons are becoming obsolete due to the convenience of digital payment apps. Mauritius, on the other hand, has seen a noticeable shift to digital payment following the Covid 19 outbreak. With a population of 1.27 million, Mauritius has witnessed a rise of 9.4% of internet users, resulting in a total of 814K users between 2020 and 2021. Undoubtedly, the island’s nation trend away from cash payments have been marked by an increase use of online banking, mobile payments, QR codes, and contactless payments. These cashless solutions have a greater impact on our everyday lives. Instant money transfers from any bank to close friends and relatives, tracking bills and cashless payments in stores, is the new reality of digital payment.
Moving away from cash to electronic payments provides convenience and flexibility to consumers and merchants. A cashless society on the other hand, can provide the following benefits:
A safer alternative to cash- carrying cash makes you more vulnerable to targeted attacks, and hence it is difficult to track cash in cases of theft. Records for tracking money are available in a cashless society in just a few clicks, making the process of resolving fraud cases more efficient.
Instant – Payments have become much easier and faster due to digital payment. Customers can easily pay a merchant using a mobile app any time from any location.
High Security and Transparency- New technologies enhance the protection for digital payments. There is no need to share your bankcard details.
No Queue- Skip the queue and enjoy the facilities obtaining from online payments.
Digital payments have taken businesses and consumers by storm. Cash transaction volumes, on the contrary, have decreased as more people have shifted to digital modes of payment since the start of the pandemic. A broader choice of digital payment systems implies greater access and affordability for both businesses and consumers. Small businesses, in particular, can jump on board to provide their customers with a convenient and secure method of payment. Wider acceptance, cheaper and faster transactions, and special offers for both customers and retailers – the cashless revolution has undoubtedly just started!