More and more cashless payments: Every fifth person avoids shops where this is not possible
Created: 04/01/2023 16:19
By: Yasina Hipp
At least since the Corona pandemic, cashless payment has been on everyone's lips.
A study shows that this payment method is becoming increasingly popular.
Frankfurt am Main/Munich - Consumers are now used to the question "Do you pay in cash or by card?" in many restaurants or shops.
In the meantime it has even become almost unusual that the bill can only be paid in cash.
And if that is the case, it can certainly lead to stressful situations, as many wallets tend to have a shortage of notes and coins in their wallets: Half of the 18 to 35 year olds usually have less than 50 euros in cash with them.
This is also observed in a current study by Visa.
Study shows: Germans prefer to pay digitally or even mobile
The current Visa Payment Monitor (as of December 2022) shows that only 35 percent of those under the age of 36 still use cash to pay.
For comparison: in 2019 it was still 65 percent.
Contactless and digital payment is also used intensively in brick-and-mortar retail, i.e. at checkouts: almost 91 percent pull out their card, smartphone or watch at the checkout.
In 2019, only every second person did that (about 55 percent).
According to the respondents, this trend will continue in the next five years.
72 percent believe that by then it will be commonplace in Germany to use a smartphone to pay at the checkout.
When asked whether the country is even ready for this, a spokesman for Commerzbank replies: "Basically yes, the technology is established and tested, and so is the acceptance."
Study: Visa Payment Monitor
Release date: 12/02/2022
Sample: representative survey of almost 1,800 people in Germany
Consumers avoid stores that accept cash only
While the younger generation in particular uses smartphones or smartwatches when making payments (33 percent), this payment method is still unpopular among older people, especially those aged 46 and over.
The expert from Commerzbank confirms this trend: In addition to the points of speed, simplicity and security, a "coolness" factor would also play a role with the younger generation.
More and more people rely on contactless payment.
Across all age groups, however, the trend is confirmed that people avoid stores and businesses that only offer cash payments.
Overall, that is one in five, and among 18 to 35 year olds it is almost one in three at 32 percent.
Young customers in particular want to “decide for themselves which means of payment they want to use – spontaneously and for any amount”.
It remains to be seen in the years to come whether this development will then persuade all stores and shops to enable digital payment in the future.
For emergencies, however, experts recommend having a certain amount of cash at home.