The survey quizzed more than 1000 Kiwis and found 73 percent needed to know more about contactless payments.
Despite this gap, New Zealanders are still keen to embrace the new technology.
The survey found more than half (60 percent) of survey respondents think mobile wallet use will increase substantially by 2020.
The majority of respondents (71 percent) believed that by 2017, up to half of their business’ payments would be made by smart phone.
Over half (60 percent) thought Apple Watch transactions would make up 50 percent of their business’ payments.
Security is the factor respondents feel most concerned about with contactless payments, as 73 percent think they need more education about it.
Smartpay general manager Marty Pomeroy says Kiwis have always been receptive to innovation in payment systems.
“Based on our experience, we believe that the contactless method of payment will only increase, and that view is confirmed by the survey results,” Pomeroy says.
“The transition from cheques to eftpos was much faster here than in many other developed markets, and as new technology emerges we expect to see more take-up of frictionless payments because of their speed and flexibility.”
He says the security of contactless payments shouldn’t be a concern, as it’s the latest and most secure way of transacting a payment.
“Every contactless transaction holds its own unique fingerprint and is found to be just as safe as the magnetic stripe technology on the back of an eftpos card,” Pomeroy says.
Moving forward, 23 percent of respondents were planning on getting a PC-based touch screen solution.
A further 22 percent were looking at getting a cloud-based tablet POS device.
Almost a third (29 percent) planned to stay with a simple cash drawer.
He also outlined two other payment models that could have opportunities for retailers:
- UnionPay, a Chinese bankcard that has 400 domestic and overseas members in its network.
Pomeroy says he’s surprised UnionPay isn’t found here, as New Zealand has a growing Asian population and many consider it a safe, reliable payment system.
The majority of those surveyed (78 percent) said they haven’t adopted UnionPay card acceptance into their business and don’t plan to, either.
- Real Time Payment, an interbank account-to-account transaction that’s processed instantly. Instead of waiting a day for a transaction to process, the payer and the payee see the value of the transaction appear almost straightaway.
New Zealand is currently working on infrastructure for this.
Pomeroy says it creates another avenue for business and retail transactions with New Zealand customers.