Mobile payment systems are becoming increasingly popular as more and more people transition to a cashless lifestyle. Mobile payments come in several different forms, from apps to mobile wallets and contactless cards. Knowing which type of mobile payment system best suits your needs can help you make the most efficient use of your money. Below is a breakdown of the various types of mobile payment systems available:
1. Mobile Wallets – A mobile wallet is a digital version of your physical wallet, allowing you to store cards and make payments using your smartphone. Popular examples include Apple Pay, Google Pay, and Samsung Pay. These wallets typically use near-field communication (NFC) technology to securely transmit payment data between devices.
2. Contactless Cards – Contactless payment cards are typically credit or debit cards that are equipped with an NFC chip, allowing you to make payments by simply tapping your card at checkout.
3. Mobile Apps – Mobile apps offer additional convenience as they allow you to store payment information directly in the app, eliminating the need to enter payment information each time you make a purchase. Popular examples include PayPal, Venmo, and Square Cash.
4. Mobile Banking Apps – Many banks now offer mobile banking apps that allow customers to access their accounts on the go and make payments using their smartphones. These apps usually feature built-in security measures such as two-factor authentication, as well as other features such as budgeting tools and spending insights.
5. Wearables – Smart watches are becoming increasingly popular for making payments on the go. Most wearables use NFC technology to securely transmit payment data to a compatible point-of-sale terminal.
No matter which type of mobile payment system you choose, it’s important to ensure that the system is secure and reliable. It’s also a good idea to compare fees and features of different systems before committing to one. By making an informed decision, you can make sure you always have access to a safe and convenient way of paying for goods and services.
Traditional alternative methods of payment (AMOP) such as credit and debit Cards facilitate electronic payments over a point of sale point or an online payment gateway. However, the world is on a different ride altogether. It is witnessing the widespread adoption of a new AMOP in the form of mobile payments.
Mobile payments aren’t that simple
The evolution of mobile wallets
You need an app concept, but let’s assume you have it already.
Mobile commerce will total $142 billion in revenues by the end of 2016 according to Forrester forecasts.
The average order value for tablet purchases is $98.07 and $81.27 for mobile purchases.
Set up card distinguishing by the first four numbers.
Others feel reluctant, especially after the recent series of major data breaches.
However, as long as you are selling physical products or subscription plans for your software, then you can choose any payment gateway integration that suits your business needs most (and avoid the 30% payment cut Apple and Google takes from every app purchase made).
