Countries all around the world are slowly moving away from traditional money, but the future looks all set to abolish any kind of hard cash. M-commerce is the new mantra. Currently, mobile phones are used by 6 billion people. According to a technology analyst, the total global value of transactions using mobile payment is expected to increase from $35 billion to $173 billion in 2017, a 31 percent annual growth rate. In Australia, mobile commerce has been embraced by most mobile users. In more than 3 years, m-commerce has increase in 448 percent with 3.4 million m-commerce users in 2013. Out of nine million Australians with mobile phones, almost half of them have downloaded finance or banking app. With this said, Australia’s major banks and retailers have unveiled new mobile solutions, which are aimed to simplify mobile payments and integrate other services like loyalty programs.
The following are some payment methods which are available now but would become staples in the years to come:
POS solutions – Currently, one of the most popular methods in the industry is a POS software program. Different industries have embraced this software. In day to day work, POS software is seen everywhere, from bars to restaurants and from America to Australia. A tablet can be used by organizations as the POS system. POS applications allow users to make quick and hassle-free payments from their smartphones and mobile devices (this video shows how it works). All the user needs to do is open the tab after visiting a restaurant or shop and place their order. Tracking expenses in real time is easily possible. Payment is simple and can be done without involving waiters or bartenders. The e-copy of the bill is usually sent to the email address of the customer. In fact, certain POS applications also allow the customer to split the bill wisely.
PayPal – When it comes to mobile payment, PayPal is the absolute best because it can be used to both send and receive money from anyone else. The PayPal account can be connected to the bank account as well. Its mobile application was the first of its kind in the market and is extremely nifty in buying things online and making quick fuss-free payments. PayPal allows users to just share their email ID or PayPal ID for sending and receiving payments. It is reliable and trustworthy as well. In the future, PayPal is all set to introduce even more dynamic changes to m-commerce.
Mobile banking – There is no reputable bank in the world right now that doesn’t have a mobile banking app. Instead of visiting the bank or even opening up the computer to check the website, users can simply login from the mobile banking app. This app can be used for transferring money, making payments, receiving payments or simply checking the account balance. Basically, everything that can be done on the bank’s website via online banking can now be done from a smartphone, thanks to mobile banking. There are some banks in which the mobile app allows people to send a picture of the check. Thus, there is no need to even drop checks anymore.
SMS banking – In this world with various affordable smartphones available everywhere, SMS banking is still pretty popular. Select banking services of the bank can be accessed by the user by using SMS. Both push and pull messages are used for providing this service. Even if customers don’t want to perform SMS banking, they are still sent alerts for payments made using their accounts, money deposited, checks cleared and other such utilities. OTPs or One Time Passwords are also facilitated through SMS banking. Typically, these are the services that SMS banking is most useful for and even smartphone users prefer it this way.
OneCoin – OneCoin is definitely the next Bitcoin. For people in the cryptomarket, OneCoin needs no introduction because it has already become pretty popular. This is a device that behaves like a person’s credit card. It stores all the card information. Not only debit and credit cards but membership cards and other plastic cash options are compatible with the OneCoin. An app on the smartphone links to the OneCoin for its functioning. It is easy to use the mobile device for adding new cards, removing cards or making payments. Bluetooth is the connection used by OneCoin. Currently, only U.S. users can use OneCoin but soon, this handy device would be used all over the world.
Google Wallet – Many companies have introduced their own e-wallets but Google Wallet is currently the most popular. However, the entire world is still not covered by this efficient service. It is similar to other wallets and allows used to store their card information straight on to their mobile devices. When a payment needs to be made, the phone can be tapped on PayPass checkout. However, mobile phones without NFC technology would not be able to use Google Wallet.
It seems that the future of payments is going the paperless way. Today, mobile payments are a top priority in many tech initiatives in Australia. Experts predict that by 2020, 30 billion people will be connected to the Internet, generating trillions in revenue. In 2015, it has also been predicted that 3 million mobile users will make at least five mobile payments each month, resulting in a $30 billion worth industry. With this connectivity, more opportunities become available for consumers to take part directly with retailers and financial organizations across all industries. Financial organizations should start exploring how they can leverage these connected opportunities of the future.