The BBVA mobile wallet has reached more than one million downloads as the bank continues to expand its mobile payment strategy across international markets. Launched two years ago, the wallet is already available in Spain, Mexico, Chile, and the United States, with Turkey becoming the fifth market to receive the application.
BBVA’s wallet combines payment and loyalty functionality as the bank looks to capitalize on the gradual shift from cash and plastic cards toward mobile payments. The bank expects adoption to accelerate significantly, setting a goal of reaching at least five million downloads by the end of 2016.
One of the first banks to create a global mobile wallet, BBVA has announced that there has more than one million downloads of the Wallet application in the two years since its launch. Available in four countries already (Spain, Mexico, Chile and USA), the app is being launched in Turkey this week and includes payment and loyalty functions. While the wallet has hit one million downloads over two years, BBVA expects the Wallet app will be downloaded at least five million times by the end of 2016.
BBVA Sees Opportunity in the Shift From Cash to Mobile Payments
Commenting on the wallet, Mehmet Sezgin, global head of payments for BBVA, says,
“With over 80% of the world’s payments still in cash, we believe there’s a big opportunity to move from 1 to 5 million downloads by the end of 2016. I firmly believe that people using plastic will be in a minority by 2020. As the only bank operating digital wallets in five countries around the world, we are at the forefront of the major transformation from plastic to mobile.”
BBVA Builds Its Mobile Wallet Presence Ahead of Competitors
While the BBVA wallet does not have the cache of Apple Pay or some of the other international mobile payment solutions coming or just launching in the market, it has shown some success in different markets. With Apple Pay and others not yet available in some of BBVA’s key markets, the bank has an opportunity to shore up its position and be a mobile payment leader in the years ahead.
The BBVA mobile wallet demonstrates how banks can develop their own mobile payment platforms rather than relying exclusively on third-party wallets. Operating the service across multiple countries also gives BBVA an opportunity to establish relationships with mobile payment users before competing services become widely available in some of its key markets.
Reaching one million downloads provides an early indication of consumer interest, but BBVA’s goal of five million downloads illustrates the scale of adoption the bank expects as mobile payments become more common. If consumers continue moving away from cash and plastic cards, BBVA’s early investment in mobile wallet technology could help position the bank for that transition.
Overview by Tristan Hugo-Webb, Associate Director, Global Payments Advisory Service at Mercator Advisory Group
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