Recently, an Apple’s payment app, Apple Pay, targets the retail and commercial markets. It allows you to make so-called contactless payments when you shop online at a store. These are all implemented on the user’s mobile phone via Near Field Communication (NFC) technology. Near Field Communication (NFC) technology refers to the user lifting a mobile phone within a minimum distance from a merchant’s fixed point of sale (POS) device.
There is no doubt that mobile payments will continue to find more users in the retail environment. And no service is widely adopted like NFC services. But despite many innovations in this area, smartphone payments seem to be still in their infancy. Among all customers, only a small percentage of people will prefer credit cards and more typical payment methods including cash. Such an option is unlikely to be outdated or useless in the short term.
For this reason, mobile apps and software developers are still discovering that the time to disrupt the mobile payments space is ripe. A relatively mature NFC alternative, Beam, applies block-chain and distributed ledger technology to payment processing, and it is these technologies that have spawned the recent emergence of bitcoin and other cryp-to-currencies. The goal is to provide a payment method that is as simple, fast, and secure as Apple Pay or its NFC competitors.
According to a recent article by technology news site VentureBeat, the rationale for Beam and other NFC alternatives stems from a phenomenon that is familiar to its disruptive founders: mobile payment technology is more popular in some parts of the world than anywhere else. . For example, in China, about 90% of consumers use a variety of services called WeChat to pay for offline shopping. Or, in places like the affluent United Arab Emirates (UAE), mobile phone usage has reached an incredible 228%, and mobile payment usage is naturally higher.
Beam has adopted its own strategy to accelerate this adoption: through instant rewards, discounts or promotions, whether it is goods or services, when consumers buy daily items or daily items on their mobile phones. As for its technology, Beam is as transparent as any other mobile payment solution, including NFC-based services. In fact, it intends to completely surpass POS devices in the near future.
Beam’s CEO, Serdar Nurmammedov, stressed that Beam’s long-term goal is to completely eliminate credit card terminals. He said that Apple Pay, Android Pay and other NFC services will not be able to do this. First of all, this is not in the interest of traditional acquisition banks.
The current mobile payment service seems to have made progress, no matter what it is, the current mobile payment service will continue to exist. There is still a long way to go before retail payments dominate.