It has already been an interesting few months for the mobile payment industry and it doesn’t appear the pace will be slowing any time soon. With the expected announcement of Samsung’s Galaxy S6 set for Mobile World Congress next week, which is rumoured to include Samsung Pay, many are waiting in anticipation to see what affect this will have on the market.
Following Samsung’s recent acquisition of LoopPay, it was assumed that Google Wallet was out of the running, yet Google rose from the dead and came fighting back by acquiring technology and intellectual property from Softcard, who has been offering it’s own tap-and-pay mobile app since 2012.
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The previous introduction in 2014 of Apple Pay to the iPhone 6 and new iPads was set to position Apple as the most powerful force in the sector, however with the additional announcements from Samsung and Google; we can expect an interesting year for the mobile paymentmarket.
As all payment methods are NFC compatible, it will be interesting to see how Samsung rivals Apple in particular, both of which use fingerprint sensor for authorisation, but with only Samsung currently able to offer retailers the chance to convert their existing magnetic stripe readers into contactless payment receivers.
This additional feature alone would leave many to assume that Samsung may take a secure victory, but they also offer the ultimate advantage of allowing users to include loyalty cards, gift cards and other types of cards in the system, advantages that so far Apple Pay and Google Wallet don’t have.
Due to its successful presence in the market at an early stage in the race, Apple Pay has been accepted by leading banks and credit cards across the world. With US wireless carriers AT&T, Verizon Wireless and T-Mobile agreeing to pre-install the Google payments app on Android phones sold by the carriers, Samsung is left with a challenge to gain the same level of acceptance.
With only VISA agreeing to work with LoopPay to date, it is yet to be seen who will consolidate the market. As we see these payment options enter the UK market, we can expect to see this encourage the whole industry to adapt at a faster rate.
Sourced from Tobias Schreyer, co-founder and CCO, The PPRO Group