BizRate.com Survey Reveals Use of Digital Wallets Is Limited; 58 Percent of Online Users Don't Know What a Digital Wallet Is

07 Sep, 1999, 01:00 ET from BizRate.com

    LOS ANGELES, Sept. 7 /PRNewswire/ -- Online buyers are missing their
 digital wallets -- if they ever had them in the first place.
     That's the conclusion of a recent BizRate.com Flash Survey(TM) of 6,800
 online buyers at the point of sale.  The survey showed only 26 percent of
 Internet buyers know about the application and its capabilities.  Another 16
 percent have heard of a digital wallet, but the remaining 58 percent are
 unfamiliar with the product.
     A storage place for personal information, digital wallets provide instant
 access to items such as credit card numbers, site logins and passwords and
 frequent flier numbers.  They were created to provide Internet users with a
 convenient way to store and utilize frequently used online shopping
 information.
     When the findings were analyzed to explore the usage of digital wallets,
 the numbers verified that few men or women aware of the application actually
 use it.  Of the 51 percent of male shoppers familiar with a digital wallet,
 only 14 percent have used one.  Of 27 percent of female respondents aware of
 it, only 21 percent have experimented with the product.
     Among the small population of digital wallet users, credit card
 information storage was the most appealing feature, followed by personal
 information storage, password and user name management, and order tracking.
 Other important uses mentioned included receipt management, address book
 functions and merchant loyalty points/rewards.
     "It is with experience and trust that consumers will become more
 comfortable with all the services the Internet has to offer," said Farhad
 Mohit, president and CEO of BizRate.com.  "Through surveying consumers about
 their buying behavior and using new technology during their purchasing
 decisions, our research helps e-business gauge the level of awareness and use
 of new products, in real-time."
 
     The survey also uncovered a correlation between online shopping frequency
 and the likelihood to have used a digital wallet.  Key findings include:
 
     --  Online shoppers who have made more than 10 purchases over the Internet
         in the past six months are twice as likely to have used the
         application than those who have made fewer than five online purchases
         in the past six months.
 
     --  Microsoft Wallet appears to be preferred among those who have used a
         digital wallet, with 61 percent stating they have used the Microsoft
         product in the past.  eWallet came in second at 22 percent with the
         AOL wallet a distant third at 14 percent.
 
     In related areas, the survey revealed:
 
     --  83 percent of online buyers who use digital wallets prefer
         downloadable applications stored on their desktop vs. wallets that are
         stored online.
 
     --  Only six percent of consumer respondents were unlikely to purchase
         from a merchant that didn't offer a wallet.
 
     About BizRate.com
     Los Angeles-based BizRate.com (www.bizrate.com) is the only company
 trusted by more than 1,700 online merchants to continuously collect direct
 customer feedback and transactional information at the point of purchase.  As
 an impartial third party, BizRate.com evaluates e-commerce activity and
 merchant quality across the Web by unobtrusively soliciting information from
 millions of online buyers each month as they make their purchases.  These
 buyers represent more than 43 percent of all online retail commerce.  Thus,
 BizRate.com's Merchant Ratings represent the only statistically rigorous way
 of differentiating merchants on "quality of service" metrics, allowing the Web
 to evolve beyond pure price comparison and afford viable business models for
 vendors focused on the total customer experience.  The company has licensed
 its service to Consumer Reports and five of the seven top Internet portals:
 America Online, Microsoft Networks, Go Network, Lycos and Go2Net.
 
 

SOURCE BizRate.com
    LOS ANGELES, Sept. 7 /PRNewswire/ -- Online buyers are missing their
 digital wallets -- if they ever had them in the first place.
     That's the conclusion of a recent BizRate.com Flash Survey(TM) of 6,800
 online buyers at the point of sale.  The survey showed only 26 percent of
 Internet buyers know about the application and its capabilities.  Another 16
 percent have heard of a digital wallet, but the remaining 58 percent are
 unfamiliar with the product.
     A storage place for personal information, digital wallets provide instant
 access to items such as credit card numbers, site logins and passwords and
 frequent flier numbers.  They were created to provide Internet users with a
 convenient way to store and utilize frequently used online shopping
 information.
     When the findings were analyzed to explore the usage of digital wallets,
 the numbers verified that few men or women aware of the application actually
 use it.  Of the 51 percent of male shoppers familiar with a digital wallet,
 only 14 percent have used one.  Of 27 percent of female respondents aware of
 it, only 21 percent have experimented with the product.
     Among the small population of digital wallet users, credit card
 information storage was the most appealing feature, followed by personal
 information storage, password and user name management, and order tracking.
 Other important uses mentioned included receipt management, address book
 functions and merchant loyalty points/rewards.
     "It is with experience and trust that consumers will become more
 comfortable with all the services the Internet has to offer," said Farhad
 Mohit, president and CEO of BizRate.com.  "Through surveying consumers about
 their buying behavior and using new technology during their purchasing
 decisions, our research helps e-business gauge the level of awareness and use
 of new products, in real-time."
 
     The survey also uncovered a correlation between online shopping frequency
 and the likelihood to have used a digital wallet.  Key findings include:
 
     --  Online shoppers who have made more than 10 purchases over the Internet
         in the past six months are twice as likely to have used the
         application than those who have made fewer than five online purchases
         in the past six months.
 
     --  Microsoft Wallet appears to be preferred among those who have used a
         digital wallet, with 61 percent stating they have used the Microsoft
         product in the past.  eWallet came in second at 22 percent with the
         AOL wallet a distant third at 14 percent.
 
     In related areas, the survey revealed:
 
     --  83 percent of online buyers who use digital wallets prefer
         downloadable applications stored on their desktop vs. wallets that are
         stored online.
 
     --  Only six percent of consumer respondents were unlikely to purchase
         from a merchant that didn't offer a wallet.
 
     About BizRate.com
     Los Angeles-based BizRate.com (www.bizrate.com) is the only company
 trusted by more than 1,700 online merchants to continuously collect direct
 customer feedback and transactional information at the point of purchase.  As
 an impartial third party, BizRate.com evaluates e-commerce activity and
 merchant quality across the Web by unobtrusively soliciting information from
 millions of online buyers each month as they make their purchases.  These
 buyers represent more than 43 percent of all online retail commerce.  Thus,
 BizRate.com's Merchant Ratings represent the only statistically rigorous way
 of differentiating merchants on "quality of service" metrics, allowing the Web
 to evolve beyond pure price comparison and afford viable business models for
 vendors focused on the total customer experience.  The company has licensed
 its service to Consumer Reports and five of the seven top Internet portals:
 America Online, Microsoft Networks, Go Network, Lycos and Go2Net.
 
 SOURCE  BizRate.com