NEW YORK (TheStreet) –– As digital wallets and mobile payments become more prevalent, thanks in large part to services such as Apple's (AAPL) Apple Pay, transactions on smartphones are expected to soar by 2017, hitting more than 2 billion transactions.
According to a report from Juniper Research, there are expected to be more than 2 billion transactions from mobile devices, including phones and tablets, by the end of 2017, an increase from 1.6 billion in 2014. The rise is due in large part to e-commerce purchases, as well as mobile banking needs such as money transfers. Much of that success may eventually come from Apple Pay, Apple's mobile payments service that was announced as part of the iPhone 6 and 6 Plus announcement in September.
Contactless payments, powered by NFC (near field communications) have been popular outside the U.S., mostly taking favor in Japan and South Korea. But with the advent of Apple Pay, NFC may pick up with retailers by making it easier for customers to pay for goods and services. Brands also may want to use social networks, such as Facebook (FB) , to help better target their consumers.
"Brands and retailers should certainly seek to integrate their offerings with players such as Facebook and FourSquare," said Windsor Holden, author of the report. "Integration offers reach, allied to the potential to target specific user demographics."