Posts Tagged ‘ mobile pay ’

Google, Mastercard, VeriFone, and (Many) Others Create a Third Mobile Commerce Format

Google, MasterCard, VeriFone, First Data, Citi, Sprint, Bloomingdales, and many others teamed up today.

Google, MasterCard, VeriFone, First Data, Citi, Sprint, Bloomingdales, and many others teamed up today.

Mobile commerce in the United States will have three Mobile commerce products,  each with similar features, similar benefits, similar functions.  However, all three have different sets of partners,  operate on at least two different types of networks, and will certainly have three different delivery systems.   It’s like a triangular boxing ring with the  boxer in each corner:  if two of the three decide to work together, it’s over.

Chapter 3 of the book, The SmartPhone Wallet describes the negative impact that a Continue reading

VeriFone Defines Next Generation of Mobile Commerce Services with PAYMEDIA

Verifone's New PAYMEDIA Solution

VeriFone has crystallized its long-term position in a pivotal announcement today about a new product determined to put the VeriFone POS devices at the coveted center of payments, loyalty, and mobile commerce industries.  As reported by American Banker this morning, VeriFone’s new service is called, “PAYMEDIA Solutions” and it appears to have the feature-rich experience that several different companies are attempting to provide to consumers through the emerging mobile commerce sector. Continue reading

Will Retailers Use “Tender Steering” to Control Interchange Fees?

A process called “tender steering” is new to most retailers.  It means that a retailer can provide incentives to customers to use a particular type of card to pay.  This method could give retailers the power to drive interchange rates down by driving customers to some types of cards and away from others.

You might think that after half a century of having little or no control over the fees they pay to accept card payments, retailers would be demanding that all mobile commerce products and NFC-enabled systems support tender steering.  They are not.  Retailer associations have been virtually silent on the topic, and there are no reports of major retailer pushing this service.

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Combining Payments and Loyalty Programs

(c) 2010-2011 by David W. Schropfer

Interpretation of a Possible Isis Mobile Wallet Design

The first pictures of the Isis mobile wallet are probably many months away from being released to the public. No, the image on the left is neither from Isis nor endorsed by Isis, but it has merit based on recent public statements from the company.

Last week, two executives on the Isis management team discussed critical elements of the company’s future product, specifically:

-A Convenient User Interface;

-Integration between payments and digital loyalty (including coupons and advertising), and;

-Open format for payment schemes, banks, credit unions, even transit systems.

Jim Stapleton, the new head of sales and account management for the joint venture, was joined by Sarab Sokhey of Verizon, an advisor and lead consultant for Isis, at the Mobile and Transit Payments Summit in Salt Lake City, hosted by the Smart Card Alliance.

In his keynote address, Mr. Stapleton said: Continue reading

PayPal Rolls Out Micropayments- Is Brick & Mortar Next?

This is how PayPal could offer micropayments at B&M retailers. Everything except the dotted lines exist today.

PayPal’s announcement yesterday rolls out micropayments (transactions under $12) for online purchases, and further improves their position for a large stake in the mobile payments arena. But how would they leverage this micropayment capability at a brick-and-mortar store? One possibility is the ‘do-it-yourself’ approach, as shown in the diagram. The multi-billion dollar system that supports standard formats like MasterCard, Visa, Discover and American Express are based on two things: Continue reading

Will Mobile Payments Become a Format War?

Mobile Payment products either use the current payment system, or challenge the current payment system.

It is called a “Format War.”  Two or more companies with different products compete for your attention.  Of course, as a consumer, you get to choose the product you want.  If you don’t like it, certainly you are free to switch to another product. However, since companies know this, they can make it incredibly cumbersome for you to do so.

Mobile Payments could be heading toward a format war, and the first casualty could be consumer privacy.  On one side are all of the mobile wallet and mobile payment products that are based on the existing payments system in use around the world today.  On the other side are alternatives to the existing payment system, which could bypass the processors or schemes that are the backbone of the payment system. Continue reading

The SmartPhone Wallet is Now Available

A torrent of advertising and promotional marketing is heading your way to try to get you to use new services on your SmartPhone at retail stores.  Perhaps you have already seen some, or signed up for some.

At stake is the future of the credit card system that moves over $11 Trillion per year from consumers to retailers. Some of the largest companies in the world think this system should change, starting now.  Other, equally large companies think everything should stay the same.

And these two sides are already lining up on a battlefield, with you standing in the middle.  And, if you are not careful, the first casualty will be your privacy.

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