Today we are dependent on our smartphones more than ever; we need it for emailing, texting, clicking photos, in short for everything. Wondering why then mobile wallets are struggling to gain traction among consumers?
Being a mobile app development agency, we bring you the business benefit of developing a digital payment app. Before we dive into the benefits let’s take a look how mobile wallets work.
Which technology fuels mobile wallets?
Mobile wallets are powered by Near Field Communication (NFC) technology to enable transmission of information from your mobile device to a merchant’s payment reader.
NFC, in other words, is a type of radio frequency identification technology that enables your mobile device and a payment reader to converse wirelessly with each other.
Now does it make sense why these payments or transactions are called contactless payments!
What are the business benefits of mobile wallets?
There are many advantages of mobile wallets for small and medium businesses and three of them are:
Easy and convenient
Apple Pay, Samsung Pay, and Android Pay are some of the popular mobile wallet solutions. Let’s take the example of Apple Pay. How does it work? Well:
- First, you have to open passbook on your iPhone, and then enter the security code to add your credit or debit card details that is associated with your iTunes account.
- When you need to pay, you just have to hold your finger on the Touch ID button; it will scan and verify your fingerprint in order to initiate the transaction.
You now know how easy it is to get started with the mobile wallet. So when you invest on your own digital payment app, your customers would definitely love you for providing this ease of payment.
Moreover, your customers need not carry their credit card stuffed wallets anymore. Even if they forget their wallet, they can easily pay at your business and won’t they get loyal with your brand for that!Reduces wait at checkout
As NFC transactions take just seconds to complete and are way faster than the processing of magnetic-stripe, your customers would no longer have to wait in queues at the checkout.
They are even faster than chip card payments that comply with the EMV standards.
Your customers would really appreciate this and would return to your store.
Highly secure
The most important factor that your customers would love about your mobile wallet is security. In fact, it is near impossible for fraudsters to extract the data associated with credit or debit cards stored in mobile wallets. This is because the data remains encrypted and changes constantly.
2 Perfect examples of mobile wallets
1) Disney Magicband
Disney allows visitors to do just everything inside the park from checking in at park entrances to unlocking their hotel room door; all without carrying anything except the band on their wrist.
Customers appreciate its convenience and Disney collects all the crucial information which allows them to improve the customer experience.
2)Starbucks app
Starbucks not just allows their customers to pay via the app but also give them loyalty points which they can use for food or free coffee.
Customers obviously feel pampered and Starbucks use that loyalty data to know their customers better and render enhanced services and customer experience.
Wrapping up
Now that you see that mobile wallets bring along a lot of benefits for your business, don’t you think you are missing out on the benefits by not having one? Please let us know by leaving your comments; our team of mobile application specialists would give wings to your ideas.
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