It makes sense then that this is a big story at Money20/20 in Las Vegas.
In keynote sessions Monday, JPMorgan Chase unveiled a payments service along with retail partners including Wal-Mart, Target and Shell. Chase may need the help — jumping into mobile payments means going head to head with companies like Apple, Google, PayPal and Samsung.
Chase Pay is the result of a new partnership between JPMorgan Chase and MCX, a conglomerate of major retailers that has so far failed to gain much traction in digital payments. The app will be available by mid-2016 and can be used for in-store, online and in-app purchases. It will be available to anyone with a Chase credit, debit and prepaid card account.
That kind of scale could be a key advantage — the bank counts 94 million customers, 1 out of every 2 households in the U.S. "Chase Pay solves a number of pain points for consumers and merchants. It will improve the customer experience and drive down the cost of payments," said Gordon Smith, CEO of consumer and community banking at JPMorgan Chase.
In additional to scale, consumer trust may help Chase drive adoption. A new Phoenix study revealed at Money20/20 found that banks and card issuers, followed by PayPal, enjoy a trust advantage over other digital payments players. The study found that 64 percent of smartphone payment app users, or those interested in trying them, would consider downloading a bank's payment app. Only about half that number said they would consider trying Apple Pay or Android Pay.