5 years ago, Bulgarians were paying mostly by card for items of higher value such as black and white goods. Last year, the focus clearly shifted to smaller daily payments, according to data from the Bulgarian digital phyre wallet.

The main reason for the more frequent use of cards and mobile payments is the widespread adoption of this type of transaction by traders. The data show that the number of non-contact POS terminals in Bulgaria has increased almost double since 2015 when it was 69,000, and it already exceeds 138,000. The trend is that by the end of the year all terminals will accept contactless and mobile payments.

Another factor contributing to the significant growth of the cashless transactions is the rapid penetration of mobile payments in Bulgaria. The data clearly indicate that consumers who prefer to pay directly with their mobile phone make smaller and more frequent purchases. For the first quarter of 2019 the average amount for contactless payment by phone in Bulgaria is 21 leva, while with a card it is 29 leva, according to phyre data. For comparison - in 2016 - an average of 33 leva.

According to a study by the European Central Bank (ECB), for consumers, speed is the most important factor in choosing a payment method . "A few years ago we paid with card for a higher value product and service, daily purchases we preferred to pay in cash. Today we see a clear turnaround in this trend, and we can say that cashless payments, even for small purchases, are already part of the daily life of the Bulgarian - the factors are several - transactions are made faster and easier, we pay bigger amounts without introducing a PIN, and the penetration of mobile payments accelerates this process even further, "says Veselin Georgiev, phyre’s marketing director.

Data show that the Bulgarians make most of their digital wallets’ purchases on Friday, which is influenced by travel and fuelling preparations as well as restaurants and entertainment venues visits. Most often Bulgarians pay with their phones when they shop in large food chains, gas stations, restaurants and small neighbourhood shops.

Mobile payments growth forecast through this year, is also reinforced by the expected entry of Apple Pay in our country. It will allow iOS device owners to pay without contact with their phones.

Digital wallet payments allow users to easily track their expenses, control their money, and most importantly save while shopping. Mobile devices also give people great security when shopping, thanks to the so-called double factor authentication, which ensures that no one can take their phone and pay for them.

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