Mobile Devices: The Center of Modern Commerce

As mobile devices become increasingly central to both online and in-store shopping experiences, the reliance on digital payments through these devices is becoming a fundamental aspect of the commerce landscape. However, as highlighted in the PYMNTS Intelligence report "The 2025 Global Digital Shopping Index: U.S. Edition," commissioned by Visa Acceptance Solutions, there are notable concerns among merchants regarding their ability to keep pace with evolving consumer expectations due to constraints in existing technologies.

The Rise of Mobile Shopping

The report, which surveyed over 18,400 consumers and nearly 3,500 merchants across eight countries, reveals significant insights into the state of mobile shopping, particularly in the United States. Among the 3,100 individuals and 500 enterprises surveyed in the U.S., a substantial 42% of consumers reported using their mobile phones for their most recent retail purchase, whether online or in brick-and-mortar stores. This underscores the growing importance of mobile devices as a primary channel for commerce.

Demographic Trends in Digital Shopping

The data indicates that digital shopping is predominantly driven by younger demographics, with millennials and Generation Z engaging in digital shopping an average of 62 times per month. This is significantly higher than the 45 times reported by Generation X and the 29 times by baby boomers. This trend emphasizes the need for merchants to cater to the preferences and expectations of younger, tech-savvy consumers.

Merchant Concerns in the Mobile-First Era

Despite recognizing the importance of reaching consumers on mobile devices and the shift from cash to digital payments, U.S. retailers express concerns about their ability to keep up with technological advancements. According to the report, 52% of U.S. merchants fear their current payment systems may not meet their needs over the next three years. This apprehension highlights the necessity for merchants to innovate and adapt their payment systems to remain competitive.

Consumer Demand for Mobile Features

Consumers have specific expectations when it comes to mobile-first features during shopping. Approximately 59% of in-store U.S. consumers utilize price and savings features, while 15% take advantage of payment and financing offers. These preferences reflect consumer awareness of inflationary pressures and the need for effective budgeting strategies.

The Importance of Stored Payment Credentials

One area for potential innovation is the use of stored payment credentials, which is particularly significant in the U.S. market. The report notes that 67% of U.S. shoppers used stored credentials for their most recent online purchases. This trend highlights the need for merchants to offer seamless solutions for storing payment information, especially since 57% of individuals prefer to store credentials with their favored merchants.

Consumer Preferences and Merchant Challenges

Among U.S. shoppers who have become more willing to store payment information with merchants over the past year, 59% cite ease and convenience as key factors, with speed being a close second. However, merchants face challenges in meeting these consumer expectations, including the rapid pace of technological advancement, privacy and security concerns, and customer impact.

Demand for Third-Party Payment Solutions

There is a strong demand among U.S. merchants for third-party payment solutions that can alleviate these challenges. The report indicates that 41% of U.S. shoppers regularly store credentials with merchants, while only 17.9% do so "rarely" and 12.6% "never" store credentials. This suggests growing consumer acceptance and enthusiasm for storing credentials, which merchants must recognize and address.

In conclusion, as mobile devices continue to dominate the commerce landscape, both consumers and merchants must navigate the evolving digital payments environment. Merchants, in particular, need to address concerns about technological constraints and meet consumer demands for convenience, security, and seamless payment experiences to remain competitive in a mobile-first era.