What Utilities Need To Know About Digital Wallet Adoption

Digital wallets aren’t just for coffee runs anymore. They’re quickly becoming a go-to for paying monthly bills, and utilities are leading the charge. KUBRA’s 2025 Insights on Digital Wallet Adoption in Utilities reveals just how fast adoption is growing, and what utilities can do to keep pace. 

Here’s what our research uncovered:

Key Findings at a Glance

•  Mainstream use. Adoption has stabilized at 61% for general purchases and continues to climb for bill payments, now at 42%.
• Utility bills lead the way. Utilities are the most common type of bill paid with digital wallets. Usage has more than doubled since 2022.
• Awareness is the new barrier. Many customers are unsure whether their utility accepts digital wallets.
• Ease and convenience drive adoption. Customers value speed, simplicity, and stored credentials above all other factors.
• Security and education matter. Concerns about safety and unfamiliarity persist, but utilities can overcome these through clear guidance and visible protections.
• Multi-wallet usage is the norm. Nearly 60% of consumers now use two or more digital wallets, emphasizing the need for utilities to support multiple platforms.

Digital Wallet Bill Pay Adoption Lags, but Is on the Rise

Our research shows that digital wallet adoption has reached maturity, with 61% of consumers now using them for purchases, a slight decline from 2022. While retail use is well established, there’s momentum happening elsewhere. Wallet adoption for bill payments continues to rise, up five points since 2022. Once customers start paying bills with digital wallets, they rarely go back to traditional methods. And there’s no sign of slowing down. 63% say their usage has increased over the past year.

Among those who use digital wallets for bill payments, utilities have emerged as the top sector, used by 62% up from just 25% in 2022. This represents a significant 148% increase, indicating that utility payments are becoming the primary use case driving wallet growth. Customers are reaching for their digital wallets first to pay essential, recurring bills, proving that they aren’t just a trend, but are becoming an expectation.

This data indicates that there is still room for growth. Overcoming adoption barriers requires education and reassurance to help customers understand what digital wallets are and how they simplify everyday payments. 

The Awareness Challenge

Despite the expansion of availability, awareness remains low. Only 24% of customers know that their utilities offer digital wallets, and 24% stated that their utilities don’t offer them. Additionally, more than half of customers (52%) are unsure whether their utility accepts digital wallets, indicating that communication gaps may be as limiting as the availability of digital wallets.

The solution starts with clear, consistent communication that highlights benefits like speed and simplicity, and guides customers through setup, which will better position utilities to drive adoption and satisfaction. 

Digital Wallets Enhance the Customer Experience

Once customers know digital wallets are available, the payoff extends beyond convenience; it actually improves their overall experience. Digital wallets have many benefits, both for utilities and their customers.

• 32% say wallets help them pay on time.
• 30% say wallets improve overall satisfaction.
• 26% say they make utilities appear more innovative.
• 19% say they increase trust and confidence.

These findings underscore that the payment experience is a key component of the customer experience. By offering digital wallets, utilities can strengthen customer relationships, improve on-time payments, and reinforce trust.

Where Utilities Go From Here

For utilities, the next step isn’t just offering them, it’s ensuring customers know they exist, understand their benefits, and can easily use them.

Download the full KUBRA 2025 Insights on Digital Wallet Adoption in Utilities white paper to see the complete findings and discover how utilities can turn awareness into adoption.

With customer expectations evolving fast, utilities that act now will be the ones leading the next phase of digital payments.