Facial Recognition Payments: Revolutionizing Retail Experience

Facial recognition payment technology (FRPT) is rapidly growing, with millions of Chinese shoppers already using it. Research indicates that autonomy, competence, and relatedness are crucial factors influencing the adoption of FRPT. Shoppers' trust in retailers, convenience, and promotional rewards enhance adoption, while unfamiliarity, satisfaction with existing methods, lack of assistance, and overspending concerns hinder it.

BRISBANE - Facial recognition payment technology (FRPT) is gaining traction, especially in China, where an estimated 495 million shoppers used it in 2021. Major financial institutions plan to implement FRPT by 2025, but will Australian and New Zealand consumers readily adopt it?

Researchers have found that the psychological factors driving FRPT adoption include autonomy, competence, and relatedness. Information access, convenience, retailer trust, and promotional incentives were identified as key drivers for users. Conversely, unfamiliarity with retailers, contentment with existing payments, lack of support, and overspending concerns were significant barriers.

Retailers can mitigate these barriers by showcasing the benefits, providing adequate information and support, and offering incentives to encourage trial and adoption of FRPT.

(With inputs from agencies.)