Payment acceptance for the longest time was thought to be a necessary business expense. But over the last decade, a few significant changes have transformed the definition of “payments” in the industry. One of the changes that acted as a catalyst in this transformation is the improved efficiency in carrying out electronic transactions. Combined with the advancement in technology over the last two decades, innovative solutions have become easily available in the market for all merchants (big or small) looking to improve efficiency and enhance their customers’ experience.

TechCrunch recently published an article citing a new Juniper research discussing the state of contactless transactions globally. According to the new forecast, in-store contactless payments will reach $2 trillion by the year 2020. In addition, the mobile contactless payment market will be dominated by Apple to the extent that one in every two contactless transactions, consumers will use Apple Pay to buy. That got me thinking if we can expect to see similar results in the U.S.

For any business, a seamless and nearly invisible payment process is the final checkpoint of a positive customer experience. However, while consumers in the U.S. are getting more comfortable with using chip cards in a variety of verticals—including retail, hotel, lodging and the food and beverage industry—there’s still a fair amount of confusion about when to dip the chip and when to swipe. Many consumers are getting used to it but are still frustrated with the perceived speed of an EMV transaction.

Mobile wallets may be great for consumers, but for U.S. retailers, trying to decide if and when they’d like to accept different wallets can drive them crazy. There are simply way too many options and with the growing number of mobile wallet apps in the market, it’s becoming more complicated for retailers to support them all.

Moving Money: Consumers and Mobile Payments

Smartphones are in the hands of more Americans than ever before. Pew Research estimates that 68% of the population owned a smartphone in 2015 and that number is expected to keep growing. In addition to the connectivity that smartphones provide to information, entertainment, and one another, they can also help simplify payment transactions. The availability of smartphone-based digital wallets like Apple Pay and Google Wallet have morphed mobile devices into payment devices, while also changing the dynamics of traditional cash-only transactions. Now parking fees, public transportation fares, and fast food purchases are just some of the smaller-ticket items that can be paid using mobile devices.