The power of payment tech
Payment goes mobile
Have you heard of a little thing called Apple Pay? What about Samsung Pay? How about the new LG Pay?
It has been a long time since our smartphones were used just to make a phone call or send a text. They are now more like a wallet than our actual wallets! We are paying for more with our mobiles than ever before.
Around $75 billion of mobile payments occur every year, with this figure expected to swell to $503 billion by 2020, as mobile payment technology becomes an increasingly important part of our lives.
Not only are mobile payments on the up, where they come from is changing. In China, 70% of mobile payments come from popular payment apps WeChat and Alipay, rather than traditional banks.
So just where are we making all these mobile payments?
Payments, payments everywhere
Wherever you go, the way you pay is changing. Even down to how you pick up and pay for your morning coffee is not the same anymore.
Think coffee, you think of Starbucks. Think of payment apps, you think of… Starbucks. Starting in the U.S. around five years ago, the Starbucks preordering and payment app has boomed very quickly. By 2014, it accounted for 15% of transactions made in stores – that was an average of 6 million weekly transactions.
And from then, it has just kept growing. It has been out on a pedestal for all to see and follow. However, it’s popularity has not been without problems.
An overnight tech update recently brought the stores to its knees, with many being unable to take payments. Despite having to give away some free coffee, the Starbucks payment app has managed to weather the storm, and once again, it’s competitors are learning from the mistakes.
Paying for the shirt off your back
Ever loved an item of clothing someone was wearing and wanted to buy it right there and then? Well your visa card could be getting a workout if Visa itself has anything to do with it.
Augmented reality is coming to payments as Visa Europe’s innovation arm, Visa Europe Collab, and visual discovery and augmented reality app Blippar come together to create a new payment solution.
Unveiled at a London fashion show, shoppers were able to instantly purchase the clothes off the backs of models. The pilot brand House of Holland is now testing the concept for its menswear launch.
Get ready to chase your ideal outfit down the street!
It is not just paying for our coffee, or getting your hands on some new threads, that has us reaching for the smartphone. Paying back that fiver your borrowed the other night can now be returned swiftly with Apple Pay. Despite a crowded Peer-to-Peer (P2P) market, tech giant Apple has unveiled Pay Cash as it looks to take on Paypal, Square and Venmo.
Whether through Messages, or just by telling Siri to pay someone, Apple Pay users will be able to make or receive payments using the credit and debit cards they already have in Wallet. The money will be received in the new Apple Pay Cash accounts.
Another step towards leaving your wallet at home for good
Global reports suggest that 70% of people believe that mobile payments will overtake the use of cash and credit cards by 2030, and the payment tech we have now is definitely spurring us on in the right direction.
Will we ever pay for anything with cash again?