Mobile payments offer a plethora of benefits for consumers, retailers and financial institutions. For consumers, mobile wallets provide a convenient, “tap and go” frictionless commerce experience that seamlessly integrates loyalty cards, boarding passes, ID cards, coupons, event tickets, alerts and notifications.
For retailers, mobile wallets offer businesses the ability to engage users with an immersive, in-app experience that starts at the beginning of a retail journey and continues indefinitely with notifications, reminders of upcoming expiration dates, archived digital receipts and a real-time tally of current loyalty bonus points. For banks, digital wallets, which are far more secure than credit or debit cards, has fast become a strategic focus as consumer interest ramps up.
When combined with evolving technology such as augmented reality (AR), advanced Bluetooth beacons and biometrics, mobile payments will allow retailers to change an outdated brick-and-mortar paradigm and bolster their engagement with consumers.
For example, shopping will become a truly interactive experience, with Bluetooth Beacons scanning digital profiles and generating recommendations on smartphones in real time. Items can also be scanned with mobile AR apps that overlay augmented information and display related items on top of existing products. Meanwhile, next-gen biometric authentication, such as iris scans, will evolve to meet industry expectations for quick, effortless and secure mobile payment transactions.
Clearly, consumers require assurances that their mobile payment information will remain secure. Similarly, stores and financial institutions need to be confident that the technology behind mobile payments is secure and easy-to-use before it can be truly embraced. As such, mass adoption of mobile payments will only be achieved when there is a single, unified platform built on an economy of digital trust that ensures an uninterrupted physical to digital experience.