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ADVANCED PAYMENTS REPORT 2014 – SPONSORED BY

15. Wearable tech

For the frst time in the survey, we included a
new question regarding the potential of “connected

commerce,” defned as events or transactions initiated

from a connected object such as a car, a TV or a
wearable device.

Wearable devices are connected devices that can be worn as Eastern Europe, Asia and Australia are more optimistic about the future
accessories and perform specifc tasks like displaying alerts and of commerce through wearables than those located in North America
messages or recording information (e.g. location, speed, distance). or Western Europe.
These can exist in a variety of formats, including smart glasses (e.g. In recent years, these devices have gradually gained ground in the
Google Glass), watches (e.g. Pebble, Samsung Galaxy Gear), bracelets consumer market, especially in niche applications, like ftness and
(e.g. FitBit) and shoes (e.g. Nike). health. But now, we are witnessing the potential rise of more powerful
TV commerce has been around for some time, and survey respondents wearables that can complement mobile phones and tablets.
clearly see signifcant potential in its future growth. In contrast, more In the case of smart watches and glasses, these are meant to provide
than half of those who answered the question do not think “wearable- timely and important information to the user and are capable of
tech” commerce or “wCommerce” – buying things and making performing basic tasks, like checking messages or receiving navigation
payments using smart glasses or watches – will take of. instructions. Currently there are hardly any payment services for

Nevertheless, results difer markedly. In the case of smart glasses, only wearable devices, although there are initiatives aiming to adapt these
32% agree whereas the fgure is 47% for other wearables, such as smart devices for commerce, by combining them with other technologies
watches or bracelets. Interestingly, respondents in Latin America, such as Bluetooth Low Energy.
We are in very early stages of the
wearable technology era, but the
Types of connected commerce most likely to have strong future potential payment industry must keep an
(% of respondents who agree or strongly agree) eye on this trend as it represents the

next step in connected commerce.
TV commerce 67% After all, early indications are that

users of wearable technologies
Wearable tech commerce with other devices (e.g. smart
watch like Samsung Galaxy Gear) 47% seem to be very happy with them.
A recent survey from the University
Wearable tech commerce with smart glasses (e.g. Google of London (4,000 US and UK
glasses) 32%
respondents) indicates that 60% of
Car commerce 23% American respondents and 53% of
UK respondents agree that wearable
0%
20%
40% tech helps them feel more in control
60%
80%
of their lives.

30 www.edgardunn.com | www.paymentscardsandmobile.com Edgar, Dunn & Company in association with Payments Cards and Mobile