How many times have you paid with your phone — NFC for tap-and-go services, scanning QR codes on your electricity bill or paying via SMS? Industry giants are working on shifting to digital, and IoT innovation is helping them.
For now, retail is the industry most focused on implementing mobile payments. They get immediate results in increased sales, and customer experience and behavior. Large tech companies like Apple and Google are not the only ones to launch their own mobile wallets, as others, like Walmart, have also understood the importance of easy and fast payments for their revenue.
Last year, Mastercard introduced selfie pay to help consumers authorize payments based on facial recognition, instead of the traditional PINs and passwords. The adoption of biometrics for card security in the payments industry will reduce fraud and identity theft.
Visa is now also stepping up its game announcing its plan to “replace cash” and a full shift to cards and digital payment. The company will focus on consumer-oriented IoT devices and aims to use IoT innovation to unite digital with physical to create surface areas for alternative ways to make payments.
“How we think about IoT is really simple. Solving everyday problems that people and businesses have using technology in a really elegant way,” said Avin Arumugam, senior vice president for the Internet of Things, programs and venture at Visa. “That’s what we think the whole IoT revolution is about. And as these devices begin to be connected, we believe there is going to be a commerce moment where the consumer says, ‘man, I wish I could pay for that.’ That’s where we want to be. We want to help the overall ecosystem blossom.”