Mobile Payments is set to become a dominant force in the payments
industry over the next few years. But will 2012 see the technology take off in
the UK payments market?
As is often the case, the US has led the way in developing and
implementing the technology. However, with the likes of Google, PayPal, Visa and
leading mobile phone operators all rushing to announce mobile payments
services, there is still some uncertainty as which direction the technology
will go. MasterCard is leading the charge on the merchant side with the
installation of over 150,000 Google Wallet enabled payment terminals across the
U.S. The wallet is designed to replace the physical credit cards most of us
carry around and use to pay for things. Currently it requires a special NFC
chip, and is only supported by 1 phone (Sprint’s Nexus S) and 1 credit card
(Citibank MasterCard). This is limiting the customer base that can use it.
Despite this, Google Wallet shows us that there is a demand for mobile payment
options by consumers and, with Visa recently announcing plans to launch its own
digital wallet service, options available to consumers will increase
accordingly.
In the UK meanwhile, the Mobile Money Network, a mobile payments platform backed by The Carphone Warehouse, was launched in November and plans between three of the UK’s largest mobile operators to develop payment options is in an advanced stage. This demand has also been seen elsewhere. Following on from its successful launch in the US, Starbucks has recently announced the launch of a new app for the UK market which enables consumers to pay for items using their phone. At the moment, this app is only available on iPhones. However, there are plans in place to expand the platform to accept android phones.
The IMRG, the research group that tracks e-commerce in the UK, predicted that
British consumers would spend £1.64bn over mobile phones in the run-up to
Christmas 2011. Additionally, a recent survey by the Centre for Retail Research estimates that there are 24.6 million smartphones currently in the UK – up from virtually zero in 2005. It is clear that the potential for growth in mobile payments is huge.
Elsewhere, the 2012 Olympics is being used to showcase mobile payments as a viable alternative to purchasing goods or services with Samsung and Visa teaming up to allow visitors to pay for items in the Olympic park with a wave of an NFC-enabled handset.
If all goes to plan, 2012 could be THE year for mobile payments…
Mobile Payments is set to become a dominant force in the payments
industry over the next few years. But will 2012 see the technology take off in
the UK payments market?
As is often the case, the US has led the way in developing and
implementing the technology. However, with the likes of Google, PayPal, Visa and
leading mobile phone operators all rushing to announce mobile payments
services, there is still some uncertainty as which direction the technology
will go. MasterCard is leading the charge on the merchant side with the
installation of over 150,000 Google Wallet enabled payment terminals across the
U.S. The wallet is designed to replace the physical credit cards most of us
carry around and use to pay for things. Currently it requires a special NFC
chip, and is only supported by 1 phone (Sprint’s Nexus S) and 1 credit card
(Citibank MasterCard). This is limiting the customer base that can use it.
Despite this, Google Wallet shows us that there is a demand for mobile payment
options by consumers and, with Visa recently announcing plans to launch its own
digital wallet service, options available to consumers will increase
accordingly.
In the UK meanwhile, the Mobile Money Network, a mobile payments platform backed by The Carphone Warehouse, was launched in November and plans between three of the UK’s largest mobile operators to develop payment options is in an advanced stage. This demand has also been seen elsewhere. Following on from its successful launch in the US, Starbucks has recently announced the launch of a new app for the UK market which enables consumers to pay for items using their phone. At the moment, this app is only available on iPhones. However, there are plans in place to expand the platform to accept android phones.
The IMRG, the research group that tracks e-commerce in the UK, predicted that
British consumers would spend £1.64bn over mobile phones in the run-up to
Christmas 2011. Additionally, a recent survey by the Centre for Retail Research estimates that there are 24.6 million smartphones currently in the UK – up from virtually zero in 2005. It is clear that the potential for growth in mobile payments is huge.
Elsewhere, the 2012 Olympics is being used to showcase mobile payments as a viable alternative to purchasing goods or services with Samsung and Visa teaming up to allow visitors to pay for items in the Olympic park with a wave of an NFC-enabled handset.
If all goes to plan, 2012 could be THE year for mobile payments…
Mobile Payments is set to become a dominant force in the payments
industry over the next few years. But will 2012 see the technology take off in
the UK payments market?
As is often the case, the US has led the way in developing and
implementing the technology. However, with the likes of Google, PayPal, Visa and
leading mobile phone operators all rushing to announce mobile payments
services, there is still some uncertainty as which direction the technology
will go. MasterCard is leading the charge on the merchant side with the
installation of over 150,000 Google Wallet enabled payment terminals across the
U.S. The wallet is designed to replace the physical credit cards most of us
carry around and use to pay for things. Currently it requires a special NFC
chip, and is only supported by 1 phone (Sprint’s Nexus S) and 1 credit card
(Citibank MasterCard). This is limiting the customer base that can use it.
Despite this, Google Wallet shows us that there is a demand for mobile payment
options by consumers and, with Visa recently announcing plans to launch its own
digital wallet service, options available to consumers will increase
accordingly.
In the UK meanwhile, the Mobile Money Network, a mobile payments platform backed by The Carphone Warehouse, was launched in November and plans between three of the UK’s largest mobile operators to develop payment options is in an advanced stage. This demand has also been seen elsewhere. Following on from its successful launch in the US, Starbucks has recently announced the launch of a new app for the UK market which enables consumers to pay for items using their phone. At the moment, this app is only available on iPhones. However, there are plans in place to expand the platform to accept android phones.
The IMRG, the research group that tracks e-commerce in the UK, predicted that
British consumers would spend £1.64bn over mobile phones in the run-up to
Christmas 2011. Additionally, a recent survey by the Centre for Retail Research estimates that there are 24.6 million smartphones currently in the UK – up from virtually zero in 2005. It is clear that the potential for growth in mobile payments is huge.
Elsewhere, the 2012 Olympics is being used to showcase mobile payments as a viable alternative to purchasing goods or services with Samsung and Visa teaming up to allow visitors to pay for items in the Olympic park with a wave of an NFC-enabled handset.
If all goes to plan, 2012 could be THE year for mobile payments…