New research from Westpac has revealed Australians believe we are quickly becoming a cashless society, predicting Australia will be cash free1 by 2022.
The Westpac Cash Free Report found four in five (79 per cent) Australians agree making all electronic payments via a smartphone will soon become the norm, with over half (53 per cent) of current payments made electronically.
According to the research, one third (33 per cent) of Australian smartphone users believe monitoring spending and 21 per cent believe tracking their finances has been made easier thanks to smartphone apps, like Westpac Mobile Banking.
Elliot Smith, Westpac's Head of Consumer Deposits said, "Customers are at the heart of our business and we are committed to technological innovation and cashless options to make customers' lives easier. This includes providing digital offerings such as Cardless Cash, Fingerprint login and tap and pay, and investing in innovative start-up companies that are engineering smart solutions to everyday problems.
"In the last 12 months there has been a 200 per cent increase in Westpac customers using their mobile to tap and pay. Cashless technology is the way of the future."
An example of Westpac embracing this technology to look at innovative ways to help their customers create greater efficiencies in their everyday life is the bank's recent investment in smartphone app Hey You through venture capital fund, Reinventure. Using the Hey You app, Westpac customers can now order takeaway food and coffee directly from their Westpac app without their wallet from their local Hey You affiliate café. Customers can also cut down on the amount of time they spend waiting for their takeaway order.
"Long wait times for food and drinks after ordering are one of the biggest frustrations for Australians (61 per cent) as we become increasingly time poor and expect items on demand. It is great to be able to invest in a company like Hey You which not only reduces the amount of time Australians spend in queues, but brings a fresh and dynamic approach to cashless payments. As we become a cashless society, four in five (81 per cent) Australian smartphone users agree the ability to pre-order an item using an app before picking it up will become the norm," Mr Smith said.
"To stay competitive and relevant in today's market, Australian companies need to be innovative and integrate digital solutions into existing offerings or risk being phased out of the market. More than four in five (83 per cent) Australians agree those businesses that do not provide a digital offering will be left behind."
Rebekah Campbell, Co-Founder of Hey You, said, "Australian consumers are becoming used to an Uber-like service. No one enjoys waiting around to order coffee or lunch. To have it paid for and waiting when you arrive feels like a 21st century experience."
"As well as making the customer's life easier, Hey You helps cafe owners run more efficient businesses. The Hey You app allows cafes to process more orders by removing cash and reducing the time and cost to serve each customer," Ms Campbell said.