Whatever your thoughts on the subject, the juggernaut that is known as the mobile revolution is here and nothing is going to slow it down or stop it. Wherever you look you will find someone staring down at their smart phone.
We are about to embark on a chaotic scramble where companies will be coming up with their own platforms for mobile payments and desperately try to convince businesses that theirs is the platform of the future, some will fail and some will succeed reaping the benefits of this exciting new technology.
Google have been limping with a damaged reputation but once again they will tell you that all you need in your life is Google Wallet but it won’t be that simple as there is sure to be some other very big players involved, so I thought it would be an early opportunity to look at the front runners.
Pay Pal Here
The people at Pay Pal think that Google are going about things the wrong way and that NFC-based payment solutions will take at least another three years before NFC enabled phones become common place as stated in a Tech Crunch article.
PayPal Here is the world’s first global mobile payments solution that allows small businesses to accept almost any form of payment. The service includes a free app and fully encrypted thumb-sized card reader, which turns any iPhone, and soon Android smartphone, into a mobile payment solution.
Pay Pal here involves plugging a triangle-shaped card reader that fits in the headphone jack of any iPhone or Android handset.
Traditionally Pay Pal have operated online only with over 100 million customers but this is the perfect opportunity for them to branch out with businesses on the high street too. PayPal Here Charges a 2.7% fee, though each merchant that signs up gets a PayPal debit card, which earns the merchant back 1% instantly, taking the cut down to 1.7%. and is also reassuringly fully encrypted and PCI compliant.
Sqaure was founded by Twitter co-founder Jack Dorsey and offers a all in one solution for small businesses. As the name implies, you simply plug a square-shaped attachment to your smartphone to take a mobile payment and charges a fee of 2.75% on every transaction.
The video below illustrates perfectly how fantastic the product looks when used along side an iPad too.
For piece of mind the service also offers data encryption and is fully PCI compliant, much like the Pay Pal service.
Square was launched in 2009 and although only currently in available in America, it is only a matter of time before they go worldwide offering small businesses a new source of income.
Google may have an uphill battle with Wallet product because it relies on the widespread adoption of Android smart phones equipped with NFC chips (Near-Field Communications) which basically allow consumers to simply wave their phones in front of a terminal at the point of sale in order to complete the transaction. The Google Wallet is then linked to a user’s credit card account. A great idea but restricting and has been dogged by rumours of security vulnerabilities that affect all users.
With Anonymous being everyone and everywhere, the security aspect will determine who succeeds to tempt customers to the future of mobile payments.
To put things into prospective just how much money is involved, a recent report by the research and advisory firm Aite Group. suggested that the volume of all types of mobile payments will top $200 billion by 2015, up from $16 billion in 2010.
There will be massive changes ahead with many exciting possibilities and I would expect that there will be many more companies that will throw their hat into the ring. Fasten your seatbelts and it looks like the future just got very interesting.