DEFINING THE POTENTIAL
Wearable payments are mainly taking place within the physical proximity of a merchant's POS
terminal
Eat24's smartwatch app looks to streamline repeat order purchases
Wearable payments are in the formative stages, with wrist-based devices the most widely deployed
form factor so far
Disney's Magic Band provides proof of concept for wearable payments
Wearable payment developments intensified in 2015, with the supply side of the market driving
much of the activity
Apple Watch is the first big effort at enabling payments with the wrist
Barclays' bPay range is one of the few examples of payment-only wearables
Most payments players are entering the wearables market through partnerships
Consumer appetite for wearable technology is positive, but a sizable number are unconvinced of its
benefits
Wearable device holders are mostly open to the idea of using these devices to pay
Outside the current wearable user base, attitudes to wearable payments are less positive
Features and price are the biggest drivers of wearable device adoption
SIZING THE OPPORTUNITY
Consumer behavior and sentiment are at the heart of our Wearable Payments: Early Adopters Model
The Wearable Payments Early Adopters Model identifies four target groupings for wearable payment
products
The banked and younger age groupings demonstrate the greatest early adopter potential
10% of all consumers are ready to adopt wearable payments immediately
China has the largest potential customer base for wearable payments
Wearable providers need to target the highest-potential demographics
The most immediate potential for wearable payments lies within the 25-34 age group
High-income earners show the greatest likelihood of being early wearable payment adopters
Men and women are almost equally as likely to be early adopters of wearable payments