There was a time when the only option to make payments was through cash, cheques and card transactions. But in recent times, making payments is becoming increasingly simpler as more and more companies are adopting the mobile payment technology to overcome the barriers of traditional payment modes. If you are not very clear with the concept of mobile payments, then let us tell you that mobile payments are payment services performed from or via a mobile device, which means that instead of paying with cash, cheque or debit/credit card, a consumer can use a mobile phone to pay for a wide range of services and digital or hard goods.
The primary models for mobile payments include Mobile Wallets, Card-based payments, Carrier-billing, Contactless Payments NFC and direct transfers between the payer and the payee bank accounts.
Mobile payment apps work by using a wireless technology called NFC or by scanning a QR or other code. NFC lets two local devices to share small bits of data by using the technology embedded in things like commuter cards, print advertisements, and smart cards. The user is required to create an account on the app and then enter the banking or credit card information to set up the service, after which the user taps the phone next to a payment machine at a store and authorizes the purchase usually with a fingerprint ID.
Whereas, the mobile payment apps working by scanning QR codes require you to launch the payment app on your smartphone and scan the QR code printed on the bill to be paid. The app will automatically read the QR code. After which, the payment page will appear on your app and you would be required to enter the amount of the transaction. For security reasons, you then enter your credit card security code or pin that you have put into the app and then continue to the confirmation page. Once you click on confirm, the payment will be made. Mobile payments apps are evolving at a rapid pace, with more popular brands stepping into the industry to advance technology and offer what consumers and businesses want in terms of apps and services that allow them to pay with their phones.
Running a business could involve doing several things at once and yet staying organized, no matter how extensive the services of the company are. Mobile payment apps come as a problem solver for almost all businesses, enabling your customers to pay conveniently by their smartphones, which could help improve sales and customer loyalty. Such apps are developed by many app development companies in India like E2logy.
A Look At Some of The Mobile Payment Apps
Google Wallet, which requires NFC technology, is unfortunately available on only certain smartphones and tablets. After linking your card details to your Google account, all you have to do is wave your smartphone or tap it to the NFC machine to make payments.
PayPal, which allows to send money between other Paypal users and friends, is available for iOS and Android.
Samsung Pay lets users make payments using compatible phones and other Samsung-produced devices. It supports Contactless payments using NFCs but also incorporates magnetic secure transmission.
Paytm allows you to transfer cash into the integrated wallet via online banking, debit cards, credit cards, or even by depositing cash via select banks and partners. It lets you pay for a number of goods services like recharges for mobile phones, metro cards, DTH cable, data cards, etc, as well as postpaid mobile phone payment, broadband payment, electricity bill payment, water bill payment, gas bill payment and more. It also allows to book tickets for buses, trains, flights, movies, hotel rooms, etc and pay cab rides as well.
Apple Pay lets users make payments using an iPhone, Apple Watch, iPad or Mac. It does not require Apple Pay-specific Contactless payment terminals, and can work with existing Contactless terminals.
Venmo is another such app where you are required to make an account and then it allows you to link a bank account, debit or credit card to it. It is available for Blackberry, Android and iOS currently but works with major US banks and numbers currently.
Android Pay, which is developed by Google is another such app which uses NFC technology to power in-app and tap-to-pay purchases on mobile devices, enabling users to make payments with Android phones, tablets or watches.
Here Are The Reasons Why Offering Such Apps to Your Customers Can Benefit Your Business
These apps are able to store all of the user’s information into it, each time they make a purchase with their smartphone. If you are a cash-only business, then chances are that your sales could decrease because many customers are without cash on hand, which would restrict them to buy your product. Tracking your customers’ trends and inventory is another benefit that these apps could give to your business. Also, they help cater to anytime, anywhere customers.
As smartphones adoption continues to rise, more companies are adopting mobile payment technology. Since they speed up the checkout process and provides great convenience to customers, businesses can help customers by adopting this technology.
One of the most distinctive features of this technology is that they offer greater security than the traditional modes of payment.
Since these apps are becoming a hit among people, businesses that will adopt this technology would surely have a competitive edge.