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MasterCard’s “PayPass Adoption Study” shows that within one year of their first contactless transaction, adopter accounts spent almost 30% more using their PayPass-enabled card. The study analyses the changes in U.S. account transactions after adopting contactless payment solutions using MasterCard transaction data. Furthermore the researchers found a clear correlation between contactless adoption and preference for a particular card.

MasterCard PayPass is a contactless payment method based on Near Field Communication (NFC) technology. The service lets consumers make purchases by tapping a credit card or other payment device instead of swiping or inserting a card. “The research shows that even after cardholders use contactless only once, there is a clear halo effect. Contactless should be considered by any issuer seeking to capture share today while establishing a platform for the future migration to mobile commerce,” commented Mark Barnett, Group Executive, Consulting Services for MasterCard Advisors.

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