Mobile Payments Are Becoming More Common in Retail. Do You Have a Mobile Plan in Place?
March 27, 2014 - Mobile payments are becoming increasingly common in retail, and major brands like Burger King are jumping on board. The fast food giant recently announced plans to begin accepting mobile payments through a smartphone app that allows customers to order on-the-go and prompts cooks to prepare food when GPS technology indicates the customer is close. Taco Bell is also planning to accommodate mobile payments. As retail giants get on board with different types of mobile payment processing, small and large businesses alike can revisit the topic to see whether it makes sense for their payment processing.
Businesses have several different options for mobile payment technology. Dedicated app platforms make sense for large businesses with major market share and brand penetration, like Burger King or Starbucks. For small businesses, the cost to develop and market an app can be prohibitive. Businesses without brand penetration — for example, farmer's market vendors, local restaurants or hair salons, or independent chains with 2-3 locations — would be better off using a card reader to accept payments on the go. Readers come in two major types: Stationary readers, which remain in the place of business and use near field technology to process payments; and mobile, which travel and enable employees to swipe or manually enter payment information anywhere their devices work.
Gartner predicts mobile payments will continue to grow at an average of 42 percent through 2016. As growth continues, businesses will have an array of mobile payment options that meet unique needs. NFC payments are expected to remain modest in comparison to other payment processing methods. With major e-tailers Amazon and eBay demonstrating strong mobile revenue, more businesses may opt to include mobile shopping and strengthen their bottom line.
Ruby Fowler is a blogger, mobile IT expert and hiker.
Click below for New & Notable products: