The rise of mobile payments has had only a narrow impact on the use of cash, according to a new report from the ATM Industry Association and business strategy consulting firm Tremont Capital Group.
The report found that cash in circulation across 30 countries increased an average of 8.9% year over year during the period from 2009 to 2013. Meanwhile, the report found that mobile payments continue to make up a small fraction of in-store payments despite the attention they receive.
In truth, cash use is more robust and mobile payments less stellar in growth than current conventional wisdom might suggest, Mike Lee, chief executive of ATMIA, said in an August 17 news release.
The report added that as mobile payments grow in the next five years, the technology is most likely to reduce the share of other electronic forms of payments. It predicts only a negligible shift from cash to mobile during that same time.