Digital wallets surging in SA

[Hanno Labuschagne]

Digital wallets surging in SA

South Africans are increasingly using digital wallets on their phones and wearables for payments instead of cards, according to independent research and feedback from the country's major banks.

South African fintech Stitch has found that 70% of South Africans used digital wallets in daily payments in 2024, up from 46% the year before. One in every five South Africans was a frequent user.

 

[Werner1975]

My cheap ass phone cant do tap/pay so Im stuck with the card until one day when Im rich lol.

 

[Slowestclock]

what happens when "the network is down"?

 

[saor]

what happens when "the network is down"?

Your phone doesn't need a connection to tap & pay.

 

[Goosfrabba]

My cheap ass phone cant do tap/pay so Im stuck with the card until one day when Im rich lol.

I feel like my dad back in the day. He used to carry wads of cash everywhere and was resistant to using a card to pay

I now carry my card and am resistant to using a phone to pay. My phone doesn't have the feature but am not in any hurry to get one that can

 

[PaulKempTheSecond]

My cheap ass phone cant do tap/pay so Im stuck with the card until one day when Im rich lol.

*gets rich, hits contactless payment limit and then has to use card and pin anyway.

 

[SauRoNZA]

what happens when "the network is down"?

Nothing at all, it doesn't require internet.

 

[chrisc]

I used Apple Pay once. It uses Face ID to log in
Next time I tried, it also wanted a password, even though I had not created one
Questions to Apple and help desks went unanswered
Waste of time

 

[Smiggles]

I used Apple Pay once. It uses Face ID to log in
Next time I tried, it also wanted a password, even though I had not created one
Questions to Apple and help desks went unanswered
Waste of time

Just more of your stories. You need one to setup faceID. You’re a lying liar who lies.

 

[Smiggles]

*gets rich, hits contactless payment limit and then has to use card and pin anyway.

Any proper bank allows you to adjust it via the app.

 

[PaulKempTheSecond]

Any proper bank allows you to adjust it via the app.

Limits can be a combination of either the merchant or the bank.

 

[SauRoNZA]

I used Apple Pay once. It uses Face ID to log in
Next time I tried, it also wanted a password, even though I had not created one
Questions to Apple and help desks went unanswered
Waste of time

Skill issue.

 

[Bad Ballie]

Again I would accept that the average affluent person is using tech more and that they accept it more, and lets be honest things like digital wallets are easy and convenient. I doubt the percentages given are anywhere near reality. I seriously doubt that 30% of the population has the technology needed to do this even if they wanted to, My phone certainly doesn't support it and neither does my watch (Neither have the NFC chip needed) and I am seriously far to old to compete with the Jones or care what the latest fad is. The other reality is that with each passing year the middle class gets poorer and spends more time counting pennies to get through the month, so while you might still buy your kid a nice fancy new cell phone it is unlikely you do the same for yourself.

 

[RedViking]

what happens when "the network is down"?

Or when my Xiaomi Bootloops.

 

[Mekon]

Hey hey hey, exciting times. MyBroadband has found a new buzzword,

 

[Mekon]

Seriously cards and cash aren't going anywhere in a hurry.

 

[SauRoNZA]

Again I would accept that the average affluent person is using tech more and that they accept it more, and lets be honest things like digital wallets are easy and convenient. I doubt the percentages given are anywhere near reality. I seriously doubt that 30% of the population has the technology needed to do this even if they wanted to, My phone certainly doesn't support it and neither does my watch (Neither have the NFC chip needed) and I am seriously far to old to compete with the Jones or care what the latest fad is. The other reality is that with each passing year the middle class gets poorer and spends more time counting pennies to get through the month, so while you might still buy your kid a nice fancy new cell phone it is unlikely you do the same for yourself.

Considering most are unbanked they are likely left out of the equation entirely, so 70% within that context doesn't sound too crazy.

They are more than likely including non-NFC options like Scan to Pay.

However the "One in every five South Africans was a frequent user." statement makes it sound more like the 70% registered it once and then only 20% kept using it.

The term "Digital Wallet" is problematic in and of itself because a wallet is a method of storing money....paying with Apple Pay/Samsung Pay/Google Pay is not using a Wallet it's a payment mechanism.

But also, who the hell buys their kid a fancy new phone but not themselves? No way, that is hand me down central. You get yourself the new phone and your kid gets the 3-5 year old one.

 

[Mariner]

My cheap ass phone cant do tap/pay so Im stuck with the card until one day when Im rich lol.

Same for almost half the country on SASSA grants, the approximate 40 % unemployed, the 60% youth unemployed, who would be most likely to adopt a digital wallet, the illiterate, and the informal cash economy to which most South Africans are beholden. Several million unbanked customers can't even get cards, never mind digital wallets.

I'm questioning the claim of the penetration of digital wallets into the actual population.

 

[Mariner]

Just more of your stories. You need one to setup faceID. You’re a lying liar who lies.

The face ID printed on cash is readily accepted everywhere without bank charges or an expensive iPhone. No setup is required.

 

[Smiggles]

The face ID printed on cash is readily accepted everywhere without bank charges or an expensive iPhone. No setup is required.

Has nothing to do with his story. Also getting cash comes with bank charges.