Industry experts predict that tap-to-phone payments will gain popularity.

 

Industry experts predict that tap-to-phone payments will gain popularity.

Companies have been looking at ways to make contactless payments more popular, such as turning a smartphone into an automated payments processor.

Mobile point-of sale (mPOS), is the use of a smartphone as a terminal to process payment transactions. It's different from a fixed terminal. Smartphones equipped with near-field communication chips (NFC) can digitally process transactions with the touch of a card or smartphone.

"mPOS enables businesses to accept card payments where they previously could not" and helps retailers such as cab drivers, who operate a mobile business, according to Juniper Research.

Globally, the shipment of mPOS terminals is expected to increase to 32 million units in 2026 from 20million units this year. This represents a 56% increase.

In an interview, Nick Starai, NMI chief strategy officer, stated that both consumers and merchants adopted contactless payments to avoid the possibility of contracting COVID-19.


Starai stated that many businesses wanted to "meet customers on the curbside" and had a handheld payment terminal with a tap-to pay payment feature. This "drove adoption of contactless and portable POS."

NMI, a payments infrastructure company that provides omnichannel payments, is working on a pilot program with Mastercard to develop a mobile POS acceptance device. The connected smartphone will connect to the Microsoft Azure cloud platform. This will allow transaction data to be stored on a digital cloud, rather than the phone or hardware.

mPOS's low price, low hardware integration, and mobility will draw many small- to medium-sized businesses (SMBs), Sumit Vaishney, vice president sales and marketing at OLS Payments said in an interview.

Starai stated that NMI is currently working to convert Android phones into POS units, "as Apple's tech stack isn't as accessible to developers."

Apple purchased Mobeewave, Canada's contactless payments company, in July 2020 for $100m to improve its devices' digital and contactless payment capabilities. Mobeewave's technology "could transform iPhones into mobile payment terminals", Bloomberg reported.

More than 100 million Americans are expected to use proximity mobile payments, compared to 72 million in 2019, according to a May report by eMarketer. According to the report, "more than one-in-two US smartphone owners will use proximity mobile payments."

Bloomberg reported that Square is looking at developing an iPad into a POS terminal to allow customers to tap and pay for their purchases. The fee associated with Square's current POS for card transactions is 2.6% + $0.10. Square's POS prices range from $9 for a magstripe reader up to $799 for a fixed tablet-POS. The company has not yet revealed how much it will charge for the new iPad POS.

SMBs looking to lower digital payments costs will find that mPOSs are a good option. However, it requires minimal hardware integration and there is not much scope for this to lead to "reduced interchange charges," Varshney stated.

Last month, Visa launched its tap-to-phone payments pilot in the U.S. with 50 merchants in the Washington, D.C., area. To help SMBs accept digital payments, the company plans to expand its pilot program to other major U.S. locations.

SMBs participating in the pilot are not charged for Tap to Phone because transactions are "processed like Visa transactions, the exact way transactions are processed at traditional terminals," a Visa spokesperson stated in an email.

About 65% of U.S. consumers would prefer to use contactless payments post-vaccine, while 47% won't shop at a store that doesn't offer a contactless way to pay, Visa said in a January report.

https://www.connectpos.com/transfer-data-between-pos-systems/

https://www.connectpos.com/what-is-stock-control-system/

https://www.connectpos.com/ultimate-pos-system-reviews/

https://www.connectpos.com/cloud-based-pos-or-on-premise-pos-which-is-better/

https://www.connectpos.com/offline-pos-machine-you-will-need/

https://www.connectpos.com/inventory-organization/

Comments

Post a Comment

Popular posts from this blog

Payments, Payment Rails and Blockchains and the Metaverse

  Source: https://www.matthewball.vc/all/metaversepayments The Metaverse was positioned throughout this primer as both a successor state for the mobile internet and a platform that allows humans to enjoy leisure, work, and exist in the larger world.   A thriving economy is key to the success of this vision.   And we know what makes for a thriving economy: competition and a constant cycle of disruption/displacement, a large number of profitable enterprises (especially small-to-medium businesses), capital mobility, strong consumer spending. I have discussed the technologies that contribute to this result in Section VI .   But, I neglected to mention one of the most crucial interchange tools and standards: payments rails and related services.   These technologies allow and manage money flow throughout the economy. They also define the "cost of doing business", for all workers and consumers.   They're already a problem battleground for hegemony within the emerg...
Read more

Faire Launches Brick & Order Podcast for the Retailer Community

Image
Our products: shopify-pos woocommerce-pos commercetools-pos magento-pos bigcommerce-pos Local retail is changing quickly and entrepreneurs that have had the guts to pursue their dreams are currently facing unprecedented challenges to achievement. The great news is, they are not alone. Community is more important than ever before. That is why we're starting Brick & Order , a new podcast out of Faire. Every week, we will bring you inspirational stories from independent retailers within our community, and share tools that will assist you make the appropriate decisions for your company. Brick & Order is here to help you stay nimble in the face of a changing market. Out now, our first installment comes with a strong meeting with Michelle Macey, founder of Beauty Organix , a health and beauty boutique in East Aurora, NY. Michelle is a former Army officer, biochemist by training, and cancer survivor. Four decades back, Michelle opened the doors of Beauty Organix with one aim...
Read more

Faire Partners with SHOPPE BLACK in Support of Black-Owned Firms

Image
SHOPPE BLACK, an internet directory and content platform, was founded in 2015 by Philadelphia-based husband-and-wife group, Tony Lawson and Shantrelle Lewis. What began as a response to customer demand for encouraging Black-owned companies after the shooting of Mike Brown, has now evolved to profiling and sharing thousands of companies and entrepreneurs from New York to Nigeria, all in the name of celebrating Black business excellence. Tony and Shantrelle concentrate on creating and curating content associated with Black business ownership and Black culture in the worldwide diaspora. Five years in the making, SHOPPE BLACK is currently planning to expand into consulting services that will offer Black-owned companies and professionals with access to capital, branding, electronic marketing, and customer experience instruction. Our products: /shopify-pos /woocommerce-pos /commercetools-pos/ /magento-pos bigcommerce-pos We are thrilled to be partnering with SHOPPE BLACK to advance our sha...
Read more