Interview: The SEQR Mobile Wallet. Why Apple Pay’s second year will be harder than its first: Forrester. Will Chase dethrone Apple with bank-branded mobile payment adoption? Chase throws hat into mobile payments ring Chase’s dedication to competing with current mobile payments developers, such as Apple and Samsung, could potentially offer it front-runner status as its substantial customer base strays away from the pigeonhole caused by software developers. The bank is the first to develop a mobile payment platform, named Chase Pay, and is likely to hold its own against big names in the field as its customers use a varied range of devices, opening it up for a wider audience. Chase is one of the larger banks, and all its customers with a smartphone are automatically eligible. “The greatest advantage for a bank, like Chase, to introduce mobile payments is that they are not tied to a given smartphone manufacturer like Apple, Android and Google,” said Ryan Grogman, vice president at Boston Retail Partners.
“Another benefit for large banks entering the mobile payment space is the large volume of customers that will automatically be signed-up for the service. Mobile wallets: The hidden commerce model. Most of the conversation around commerce and mobile wallets has been centered on the distribution of coupons and offers.
Undoubtedly, coupons and offers will play a key role in the future development of mobile wallets. Distributing coupons and offers can be quite lucrative; Groupon, for example, boasts over $3 billion in revenues. Coupons and offers are also important elements in driving consumer usage; our experience at Softcard was that our most active users – by far – were those who used merchant offers. But this focus on coupons and offers neglects another hidden, and perhaps more lucrative, commerce model: Attribution. Attribution is defined as the practice of determining the role that each marketing channel plays in informing and influencing the customer journey. In the offline world - where mobile lives - it is often unclear which marketing vehicles drive traffic and ultimately purchase. The greatest challenge for wallets is that they usually cannot see the transaction itself.
No surprise: Gallup finds mobile wallets low priority for consumers. For those of us who have either followed or worked in this industry over the past 10 years, few things come as a surprise.
Sure, there are some trends we never saw coming. Who really knew smartphones and tablets would completely change the way merchants accept card payments and run their business? And if you really thought that would happen, I’d like to take you with me on my next trip to Atlantic City. With my mPOS example as the benchmark for unforeseen shifts in the industry, it should come as no surprise a Gallup poll released last week found just 13 percent of more than 17,000 consumers surveyed have a digital wallet on their smartphone.
While Gallup conducted two separate surveys from November 2014 through mid-January, it’s safe to assume the needle hasn’t moved much in the past six months. Security concerns top the list of reasons why consumers shy away from proximity mobile wallets. Major mobile wallet providers not distinguishing themselves. We now know that Samsung Pay will launch in the U.S. next month after first debuting in South Korea.
We also know that the Merchant Customer Exchange will publicly test CurrentC in Columbus, Ohio, starting in a few weeks. After those two bits of news broke this past week, I now can say with confidence that the current mobile wallet industry in this country resembles an elementary school play. When I was in grade school, select classes produced one play per year. I participated in five plays (and had the lead role most of the time, thank you very much). Digital wallets: The rise of promising platforms and what's needed to break through with consumers. Aug. 7, 2015 By Teri Llach, chief marketing officer, Blackhawk Network Recent research from Gallup led the company to proclaim that digital wallets aren't delivering.
Its data indicated a very low percentage of consumers are using mobile wallets because the technology doesn't yet deliver what consumers need. First draft standard on ISO 20022 for real-time payments published. An international project to develop a set of harmonised standards for cross-border real-time payments has published a first draft of ISO 20022 messages for review.
The draft is the result of work by the ISO Real-Time Payments Group (RTPG), made up of over 50 global experts brought together under the aegis of trade body Payments UK. There are currently 18 countries live with a working model for faster payments, 12 countries that are ‘exploring/planning/ building’, and an additional block of 17 countries that are ‘exploring’ through a pan-Eurozone initiative. The focus of the first draft spec is not merely on helping countries with their domestic implementation, but also with ensuring interoperability between systems.
The initial spec is currently being circulated for review and comment ahead of a further meeting at the international Swift banking conference, Sibos, which is being held in Singapore in October. Will consumers adopt Facebook's 'Buy' button? The news of Facebook adding a "buy" button so its zillions of users can shop as they share recipes, photos of their latest vacation or gossip about the high school reunion last weekend has industry watchers lining up on one of two teams: Those who believe the leading social network has potential to become a leading retailing presence and those who say it won't happen and the crash and burn will be fast.
Over at Forbes, which reports on an online debate at RetailWire, the opinion battle has already begun with David Biernbaum, senior marketing and business development consultant at David Biernbaum Associates, claiming Facebook users will "shop til they drop. " Why Starbucks thinks retailers will want to become its partners on mobile. Starbucks has big ambitions on mobile Starbucks said last week that regional and national retailers could become key marketing partners as the coffeehouse chain provides more clarity on its mobile ambitions, from using My Starbucks Rewards as a currency to scaling its ordering and delivery platform.
In a conference call with analysts last week to discuss the company’s fiscal third quarter results, president and CEO Howard Schultz discussed the unique digital partnerships the chain is making across a number of verticals. Kohl’s Will Add Loyalty With Apple Pay Support. Kohl’s is the latest retailer to hop aboard the Apple Pay bandwagon, joining a constantly evolving list of big names.
But its fall rollout will also include a unique aspect, as Kohl’s plans to integrate its Kohl’s Charge private credit card and its Yes2You Rewards loyalty program within Apple Pay. In an attempt to create a seamless omnichannel shopping experience, the department store will make Apple Pay available to its 25 million Kohl’s Charge card members and 30 million Yes2You loyalty members. “Kohl’s is committed to offering an easy and inspiring shopping experience and we will soon bring Apple Pay to customers in all of our 1,164 Kohl’s stores nationwide, in time for the busy holiday shopping season,” said Kevin Mansell, Kohl’s chairman, CEO and president. Apple Pay has been gaining steady traction amongst retailers who are scrambling to be a part of the mPOS ecosystem. The Most Frequently Asked Question About Mobile Payments.
“Are we there yet?”
Is the most frequently asked question in the world. And asked by children an average of 4 times an hour anytime a trip is taken. Scientists in the U.S., with obviously way too much time on their hands, estimated a couple of years ago that over the course of a year, parents collectively hear that question 5 billion times – based on the number of kids in the U.S. and the average number and duration of trips made with those kids. MCX’s Four Fatal Flaws And What Payments Innovators Can Learn From Them. MCX’s Four Fatal Flaws And What Payments Innovators Can Learn From Them MCX’s Interim CEO, Brian Mooney, starts his first day on the job today.
And, this seasoned and well respected industry veteran is starting amidst a firestorm of controversy over its future. Nearly three years after the merchant consortia was announced (August of 2012), there’s no product in market outside of a few beta test sites. Mooney is its third CEO. Who Won’t Win The Mobile Wallet “Wars” And Why. Blame it on the promotional run-up to the December 2015 release of Star Wars Episode 7, but the subject of the mobile wallet “wars” seems back in the news.
And like all wars – intergalactic or otherwise – there’s no shortage of opinions about who’ll win and why. So what better opportunity to share my perspective on the players who are manning their mobile wallet battle stations and preparing for the onslaught. Apple won’t win the mobile wallet wars, although they could win a few key battles and capture some valuable territory.
Neither will Google, despite their size and years of slogging it out trying to gain ground. Microsoft doesn’t stand a chance. PayPal, Amazon, Alipay, and even Starbucks are well positioned. All the 12 Payment Enabling Technologies & 54 Illustrative Companies, a White Paper - Lets Talk Payments. Restaurant industry views mobile payments as critical strategy going forward. Restaurant industry executives are chasing the Starbucks dream when it comes to mobile payments. The coffee giant's popular app now generates about 14 percent of its sales, three years after it was first launched. Starbucks has without a doubt paved the way for mobile payments technology in the restaurant industry. At last month's National Restaurant Association Show, a panel of brand representatives discussed where the industry is now with mobile payments, and how to compete in the growing space. Mobile Payments Today sister publication QSRWeb attended the show.
Most of the panelists agreed we’re past the early adoption phase and moving quickly toward mass adoption. "The advancement of mobile payments comes from knowing more about your guests and if you look at the adoption curve, I believe we're now climbing the slope of enlightenment. Banking as Plumbing: Dumb Pipes or Smart Infrastructure - Part 2/2. In Part 1 (Read here) of this series, we saw how banks provide the necessary but barely sufficient infrastructure for moving money, especially when newer methods and experiences are involved. The prepaid industry has benefitted from this “long tail” of financial services innovation primarily because there have been no other practical options to tap into the banking infrastructure.
Of course, the prepaid industry cannot be blamed for the lack of other options. The fear of cannibalization, the paranoia of disintermediation, the counterintuitive yet real comfort of regulatory air-cover and the strength of their brands have allowed the banks and major payment networks to perpetuate the “all or nothing” mindset in consumer-facing propositions: all your financial services or banking needs as a consumer will be provided by “your friendly Bank” in a completely vertically integrated fashion, regardless of whether the customer wants to consume those services in that fashion.
The Kessler Effect and today's crowded payments ecosystem. Fragmentation in today's payments ecosystem actually reminds me of a phenomenon currently occurring in space, which involves satellites and space junk. Space debris, or junk, (debris from satellites, space probes, and manned space missions) is continuously colliding with other space junk in orbit.
These collisions cause fragmentation, resulting in exponentially smaller pieces of debris orbiting space and cascading down. This is known as The Kessler Effect. In the 1970s, NASA space debris expert Don Kessler observed that once past a certain critical mass, the total amount of space debris will keep increasing. Collisions give rise to more debris and lead to more collisions, generating a chain reaction. Mobile Payments’ Red Carpet. Turning mobile wallet economics on its head. So, You Want To Do A Loyalty Program – Why? How To Get Consumers Hooked on Mobile Payments. Getting consumers hooked on something new is every innovator’s dream. There’s only one big problem: Consumers don’t break old habits easily. Psychologists say that consumers are just hard-wired to resist change, believing that whatever they’re doing today is vastly better than any value they could get from making the switch to something new.
And, as consumers, we’ve all exhibited that behavior ourselves, whether it’s always ordering the same entrée at your favorite restaurant (that’s me) or buying the same brand of car (my father). Said simply, we all sort of prefer the devil we know to the devil we don’t. Mobile wallets spin their wheels in the mud as consumer adoption stalls. I know we spend a lot of time on Mobile Payments Today discussing mobile wallets, particularly the marriage between Apple Pay and Passbook.
And in the coming months, we'll spend more time debating the long-term viability of Samsung Pay, Google Wallet, PayPal, CurrentC and anything else that might emerge in the market (Microsoft Pay?). Accel debit network completes its first tokenized transactions. Microsoft preparing its own payments service to compete with Apple Pay.
Microsoft wants to be in the mobile payments battle, following the launch of Apple Pay and Samsung Pay, and the reported re-launch of Google Wallet this summer. Square eyes businesses with new Cash features. Less than a week after Facebook announced its plans to turn its Messenger app into a person-to-person funds transfer channel, Square Monday announced a new feature that allows businesses in the U.S. to use Square Cash to get paid. How Should Google Spend All the Money It Saved From the $0 Softcard Acquisition? Do Android Pay, Google Wallet And Samsung Pay Have What It Takes To Win In Mobile Payments? Last week, there were a couple of major announcements in the world of mobile payments that suggest that the battle for supremacy in the mobile payments world is heating up – and in a pretty big way.
We’ll certainly hear and know lots more as the big players make their speeches and launch new products (and otherwise jockey for position) at Mobile World Congress this week. Announcement number one was that the U.S. carriers finally raised the white flag and closed down Softcard. News: PayPal buys mobile payments firm Paydiant. PayPal has agreed to buy Paydiant, a Boston-based startup that helps the likes of Subway, Capital One and retailer joint venture MCX build mobile payments, offers and loyalty into their apps. As mobile wallet market matures, MCX sits on the bench. While Apple, Google and Samsung continue to dictate the conversation about the mobile wallet market, the Merchant Customer Exchange remains conspicuously absent from the discussion.
But there could be some value for the merchant consortium in being late to the dance. "The fact that CurrentC is not up and running is not a bad thing," John MacAllister, principal at consulting firm Dorado Industries, said during a panel discussion this week at the All Payments Expo in Las Vegas. Meet Samsung Pay, the Good & the Bad. Faster and easier to navigate with a crisp new look and exciting new features. Be the first to be notified when the new LTP is launched. Neiman Marcus Creates Mobile Wallet With Capital One.
Google plans Wallet revamp with partnership ploy. Is Android Pay Next For Google? An Eulogy: Google Helps Verizon, AT&T & T-Mobile with An Honorable Closure for Softcard. Can Google Ignite An mWallet, Compete With Apple Pay and Herd Cats? Paydiant Continues to Develop Loyalty & Offers in White Label Wallet. Rabobank Enters Mobile Payments Space. Is there a battle looming in the UK between Apple Pay and Zapp? Mobile wallet Yellow Pepper wins $19m investment. Norwegian operators boost Strex with Amdocs partnership. Major U.S. merchants embrace MasterPass. This Swiss Retailer is Launching a New Mobile Payment Service. Klarna expands online payments business. Para a semana já será possível pagar compras em lojas por telemóvel. SEQR turns Media into a new Sales Channel. Brits ready to switch banks to access mobile payments - Zapp. Seamless recruits new US head of sales amid expansion plans.
American Online Shoppers Trust Few with Payment Information. Seqr quer estar no pagamento de facturas. Global Mobile PYMNTS Transaction Tracker. CardMobili brings digital wallet capabilities to MNOs. Para a semana já será possível pagar compras em lojas por telemóvel. Consumers Must Get Smart Before Using Digital Currencies.
How does the Growth Look like in 5 Major Payment Systems. Venmo Wins Users, but Still Need to Build a Customer Base. CHART OF THE DAY: Apple Has Nearly A Billion Payment Cards On File. Polish banks join up for launch of Blik mobile payments service. Venmo Adds a Slew of New Features #TouchID #Tagging #EasyAccountLinkage. How Europe’s Most Used Mobile Payments Solution Will Take on the U.S. Internet Banking com mais utilizadores. Mobile Wallet Wars: A Look at U.S. App Store Data for PayPal and Its Competitors. Starbucks Had 90% of U.S. Mobile-Pay Share, Is 'Just Getting Started'
JPMorgan Chase CEO outlines mobile wallet strategy. Tesco tests PowaTag mobile payments. Smartwatch payments face adoption challenge. Where's my (your) money?: Overcoming mobile payment growing pains. Paydiant's large role in mobile payments. UK Smartphone Buyers Aren't So Fancy. Who Will Bridge the Gap between Online Accounts and Digital Payment Accounts. Is “The Uber Experience” Really The Future of Payments? MasterCard, Visa face adoption challenges with respective digital wallet services. How To Get Consumers Hooked on Mobile Payments. Amazon Builds Out Wallet With Blackhawk Gift Cards.
Can Visa Checkout Ignite? UK Consumers Stay Loyal, Lug Less with Mobile Wallets. PayPal hits the high street in Holland. Mobile Payments Fuel Starbucks Growth. Will retailer rejection put out Amazon Wallet’s fire? The Modern Wallet: Mobile Payments are Making Life Easier. Visa drops V.me in favour of CheckoutMobile World Live. Visa Launches Checkout Digital Payments Platform. Visa Introduces Visa Checkout to Simplify Online Shopping on Any Device. Consumers want three main things from mobile payments. Zapp signs up network payment partners. How To Reach 4 Billion Consumers Without Really Trying. Facebook, Amazon Set Sights on PayPal’s Mobile Payments Leadership. Are the Best Days over for Digital Wallets?
Affirm founded by Star Team Secures $45 Million Funding. Restaurant industry views mobile payments as critical strategy going forward. With almost $100M in funding, PowaTag poised to create ripples in retail sector. Financial Insights Unveils Results from 2014 Consumer Payments Survey - prUS24809314. Mobile wallets lead as alternative payments grow worldwide. Mobile payment start-up Digicash raises €2.2 million - Lets Talk Payments. A close look at top 100 US Retailers and Mobile Payments Adoption - Lets Talk Payments. 15 Food Chains that are revolutionizing their Payment Methods - Lets Talk Payments. Mobile Wallet Success Stories, a White Paper - Lets Talk Payments.