Mobile payment apps are poised to grow in 2017 along with the use of artificial intelligence and chatbots to improve user experience and consumer engagement. Here’s what’s making news. ING reports 47% of mobile device users in Europe now bank by mobile, compared with 41% in 2015. ING expects that to grow 16% more in 2017. European Payments Council (EPC) launched the SEPA Instant Credit Transfer scheme aimed at strengthening mobile payment regulations and encouraging international standards.
International Data Corporation says worldwide mobile payments will exceed US$ 1 trillion by 2020 from US$ 500 billion in 2015 stimulated partly by non-bank financial apps. Juniper Research estimated 16 million users made mobile contactless payments across Western Europe in 2016. Mobile wallets and app payments will reach $410.5 billion by 2020 according to Javelin Strategy & Research.
PCQuest reviewed eight popular mobile pay including Apple Pay, Google Wallet, Venmo, Facebook Messenger, Square Cash, Tilt, Dwolla and Blockchain which has now processed more than $13 billion in payments. Honda used the Consumer Electronics Show to preview its in-car fuel and parking payments platform. Apple Pay is adding loyalty program into its cashless vending machines partnership with USA Technologies and available in more than 300,000 machines worldwide.
Pizza Hut rolled out a special 50% discount on pizzas purchased using its mobile app. In India, demonetization sparked a huge uptake in payment wallets like Paytm and SBI Buddy. Now, the government’s BHIM App will let consumers without smartphones dial *99# to make a payment. Finally, you may soon be able to make payments by the seat of your pants. FitPay, semiconductor manufacturer STMicroelectronic (ST), and software firm G&D teamed up to develop a product for wearable manufacturers to incorporate secure payments.
Europe embraces mobile payments, but isn’t ready to oust cash
Across Europe, consumer adoption of mobile banking, shopping and payments is gaining momentum, according to a new study by the European financial institution ING. The report, “ING International Survey – Mobile Banking 2016,” shows that 47 percent of mobile device users in Europe now bank by mobile, compared with 41 percent in 2015. ING expects this number to grow an additional 16 percent this year, a press release said.
Countries leading the way in mobile banking adoption are Austria (up 13 percent), Luxembourg (up 12 percent) and the Czech Republic (up 10 percent).
Countries where large numbers of people already bank by mobile are adding market share more slowly and could be approaching peak mobility, ING speculated. For instance, in the US, share remained fairly stagnant from 2015 to 2016, at 42 percent. Via mobilepaymentstoday.com
Mobile Payments: FinTech vs Non-FinTech Patent Landscape
In November 2016, European Payments Council (EPC) launched the SEPA Instant Credit Transfer scheme. With this move, the payment coordination body of the European banking industry has placed over 34 European countries at the center-stage of ‘mobile payments’. This scheme will not only spearhead adoption of instant mobile payments and transactions worldwide, but also push the major economies of the World to start regulating the unstructured and incomplete mobile payments legal framework.
The 2012 statement by the Associate General Counsel of Board of Governors of the Federal Reserve System (BGFRS), United States, summarized the consumer regulations related to mobile payments that are still existent and followed in the US. Growing adoption of mobile payments and steps taken by other regulatory bodies of the world like EPC will certainly push USA to update its own regulatory and legal framework.
According to a report by market intelligence firm International Data Corporation, the worldwide annual transactions volume of mobile payments is expected to cross US$ 1 trillion in 2020 from US$ 500 billion in 2015. It becomes an equally valuable question – who is filling this huge gap? The answer is spread across companies ranging from global tech giants like Google etc. to fintech companies like Paypal and other several startups. Via ipwatchdog.com
Mobile payments: What marketers need to know in 2017
Consumers in the UK have been quick to take advantage of the convenience mobile wallets offers. The trend is sweeping across Europe, too. Commerce analyst Juniper Research has estimated that 16 million users will have made contactless payments via their mobiles across Western Europe by the end of 2016. We’re also seeing mobile payments crossing over into foreign exchange with the launch of the Revolut app.
This is set to bring new levels of ease to consumers managing their money when abroad, for example auto top-up from your home country bank account to the app, and the ability to block your account from your phone (handy in a crisis).
This year has seen Apple Pay start to become the norm in retail, with retail giants such as Boots, Argos and Marks & Spencer all making it a payment option for customers. Starbucks Mobile Order and Pay app has also been applauded by the industry, with a panel of experts awarding it third place in our 2016 Digital Innovations Retail Report. Via marketingtechnews.net
Study: Mobile Payments to Reach $410.5 Billion by 2020 as M-Wallets Flood Market
A plethora of mobile wallets and payment apps are expected to flood the market in the next two years, and the sheer number of choices are likely to “confuse” many consumers, who ultimately might look to their financial institutions to be their mobile wallet provider, according to a recent report by Javelin Strategy & Research.
A look at a few key statistics helps explain the coming flood. Mobile retail payments, both online and at the point of sale, are expected to total $180 billion in 2016 and balloon to $410.5 billion by 2020, according to the report, “Mobile Payments Convergence: Opportunities at the Intersection of In-person, Online and P2P Payments.” What’s more, the percentage of consumers who reported using a mobile wallet in the last 30 days has grown from 12 percent in 2014 to nearly one in four in 2016, which equates to 40 million Americans who have used a mobile wallet.
Mobile wallet and app providers, present and future, will be focusing more attention on mobile online payments than on proximity payments at the point of sale, Javelin predicts. While mobile proximity payments are expected to total more than $90 billion in 2020, retail payments via mobile apps/browsers are projected to reach $318.8 billion during the same period. “If you’re following the money, as they say, mobile commerce is the place to look right now, and it’s why we’re seeing the major wallet providers shift their focus to enabling online and in-app payments as much as growing proximity payments at the point of sale,” says Emmett Higdon, director of the mobile practice at Javelin. Via paybefore.com
8 Mobile Payment Solutions Free from Malware and Cyberattacks
India saw a huge financial strains from the demonetization policy of current government that banned the old currencies of Rs, 500 and Rs. 1000. With this economical strain there is a hefty augmentation of digital payments and with this escalation there are also malware and cyberattacks in the ATMs, micro-ATMs and in the digital wallet websites like Freecharge, Paytm etc.
Therefore, let’s check out some of the latest and innovative mobile payment solutions, which are free from malware and cyberattacks and also easy to use. Via pcquest.com
Honda unveils in-vehicle payment service for fuel and parking at CES 2017
Honda is conducting the first proof-of-concept demonstration of its in-vehicle payments platform at the Consumer Electronics Show 2017 in Las Vegas. The service allows drivers to pay for parking and fuel with a touch of a button on the vehicle dashboard.
The auto manufacturer is showcasing the latest developments of its partnership with Visa that was first established in February 2016 to enable a variety of in-vehicle payment experiences through Visa Checkout. The demonstration on show at CES makes use of fuel pumps from Gilbarco Veeder-Root and smart parking meters from IPS Group.
“Developed by Honda Developer Studio, the fuel and parking proof-of-concepts offer a quick and seamless in-vehicle payment solution, delivered through smartphone integrations,” Honda says. “Drivers are notified that they can pay for fuel or parking when they are near a smart parking meter or fuel pump. Depending on the services, the purchase amount is displayed in the dashboard and drivers confirm payment with the touch of a button.” Via nfcworld.com
Apple Pay’s latest move expands vending machine presence to loyalty programs
Apple Pay is doubling down on an existing partnership with cashless-vending machine payment platform USA Technologies by integrating its loyalty program into its platform.
The program, named More, will be rolled out to more than 300,000 vending machines worldwide, most of which use USA Technologies’ ePort product, a cashless payment terminal which can accept Apple Pay. After the two fully execute the integration, consumers making a purchase will be able to take advantage of exclusive offers, promotions and discounts toward future purchases at participating self-serve machines connected to USAT’s ePort Connect platform.
“By integrating Apple Pay with USA Technology’s MORE loyalty program, we are now able to get added visibility into the type of mobile transactions that are occurring (and reward customers appropriately) while significantly streamlining the registration process, improving the consumer experience and allowing self-serve retail operators the power to retarget promotions behind the scenes (i.e if you do laundry at a participating laundromat, you get a free coffee at a nearby kiosk),” said Amelia Powell, senior director of marketing and strategic partnerships at USA Technologies, Inc. Via mobilecommercedaily.com
Pizza Hut makes a mobile ordering push
Pizza Hut launched a promotion that will give users ordering via mobile a 50% discount. The deal, which runs from January 2 through January 9, applies to menu-priced pizza offerings, but not the rest of the menu.
The move could help Pizza Hut capitalize on users’ desire to save money after the holidays and in turn increase mobile shopping, which benefits the chain.
The move could help boost usage of Pizza Hut’s mobile ordering offering, which could help grow sales. Via businessinsider.com
BHIM, Paytm, UPI, or SBI Buddy: Which is the best payment wallet app to download in India?
Narendra Modi launched the Indian government backed payment wallet, BHIM (Bharat Interface for Money) last week and took the nation on a joyride. Payment wallets like Paytm, SBI Buddy, have enjoyed the increased customer base since demonization was announced on November 8. People in cities have easily switched to payment wallets with the help of their smartphones and everyone from vegetable vendors to beggars have also opted to these digital payment options.
However, those without smartphones still faced a hard time trying to adjust to this cashless ride. This issue will finally be solved as BHIM App allows those without smartphones to carry out cashless transactions by simply dialing *99#. With so many options, choosing one option for digital payments can be difficult. Here is a complete analysis on which app to choose from the plethora offered on the App store. Via india.com
A new product could help grow wearable payments
The product includes an operating system from G&D, payment app software from FitPay, and hardware, all of which are integrated around an ST chip. The solution is meant to help device manufacturers “develop integrated tokenized payments” from major players, according to the release.
The move could help wearable-based payments become more popular. Adults in major markets like wearable payments — 61% of Apple Watch owners used their smartwatch to make payments, for example. A product like the one these firms are launching could make it easier for manufacturers offer these services to consumers, which might be key in getting adoption. Via businessinsider.com
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