Australians are willing to try using facial recognition to pay for groceries, but are cautious about privacy, according to a leading retail expert who says the tech is already being used overseas.

The market for so-called facial recognition payment technology is already a $US4.62 billion industry globally and is expected to grow at a compound annual rate of 19.9 per cent to 2030.

It works by scanning your face on a screen in store, which then recognises who you are and processes your payment without a card.

Queensland University of Technology professor Gary Mortimer said the technology been popular in China, where more than 760 million people have paid by scanning their faces since 2022.

Amazon, meanwhile, has been rolling out biometric payments with palm readers across the US in a sign that cardless payments are evolving.

“Australian shoppers are happy to adopt new types of technologies,” Mortimer said.

“It will be another alternative to making payments.”

QUT has interviewed Australian consumers about their thoughts on the payments tech to try and get an idea about whether retailers Down Under are likely to roll out their own biometric tools.

The reviews were mixed, with Mortimer explaining that shoppers would be willing to give it a try, but had privacy concerns and were more likely to be in support if there was a genuine use case.

“It’s fast, it’s convenient and if your hands are full, or you leave your wallet at home you’re able to make those purchases,” Mortimer said.

‘Double-edged sword’ for privacy

Facial recognition has already become a common part of going to the shops in recent years, with major retailers using the technology for security at hardware stores and supermarkets.

That alone has sparked considerable backlash from consumer groups, which pointed to uncertainty about how retailers are using personal information and where data is being stored.

Mortimer said those concerns were reflected in attitudes towards using the technology for retail payments too, with a preference for trying it in a physical store and with a trusted retail brand.

“The security stuff and the privacy stuff was really interesting because it was a double-edged sword,” Mortimer said.

“Participants said they would prefer to use this method because they know someone could steal their card – and use it – but they can’t steal their face.

“But the other side was they were really concerned who would hold the data – would the retailer hold the data? Would the bank?”

Those interviewed by QUT identified privacy as a risk, but some also said they would feel more secure paying with their biometrics.

“I think, compared to a credit card or cash, [FRPT is] absolutely more secure … scammers would have to know a lot more about me to fake my face,” one person said.

Could it be widely used?

It’s unclear how broadly Australian retailers will look to adopt facial recognition payments, or other biometric options like palm reading.

Australia has long been a leader in adopting payment technologies, particularly in the uptake of tap and go payments.

But the technology is not as widely used in the lives of Australian households as it is in China, for example, which is a leader in the update of facial recognition payments and also uses it for a range of government communications.

Mortimer said facial recognition payments would likely be pursued by convenience retailers first, in cases where they’re looking to make the experience as fast and contactless as possible.

“7-Eleven in China and a number of other states like Taiwan and Hong Kong had implemented these types of biometric payment technologies,” he explained.

“There’s certainly a move to using biometric payments technology because it’s so substantially more secure – no one can steal your hands or your face.”