01 April 2016
Below are our top reads from the last seven days of industry news*. Every Friday we'll publish our picks from industry developments, stories and announcements right here so you can keep you up to date with what's happening in payments here and overseas.
If you'd like to have our top reads emailed to you every Friday, let us know by emailing email@example.com
Payments in real time
Real-time payments are continuing to take off around the world and a big driver behind them, according to PaymentEye, is customer expectation of a better, faster service that can handle mobile, online and data reporting in a modern electronic world. Consumers are far more digitally insistent and fast-paced. They want to have the ability to make payments to anyone, anywhere, at any time. We have also undertaken research on real-time payment systems, which you can read in our Payments Now report.
Things are happening in the world of mobile payments
Samsung has bought its mobile payment service, Samsung Pay, to China in partnership with China UnionPay. Huawei has also teamed up with China UnionPay to introduce its mobile payment service called Huawei Pay. With the recent introduction of Apple Pay in the country as well, the payments space is quickly becoming crowded but China has the largest smartphone market in the world ready to facilitate all of the new mobile payments. In other mobile payments news, Apple Pay is expanding beyond apps and becoming available to shoppers using the Safari browser on models of iPhones and iPads that possess Apple’s TouchID fingerprint technology. If all goes ahead, the move would pit Apple more directly against PayPal.
Is paying with Facebook even closer than we thought?
A recently discovered code within Facebook’s Messenger app hints at the company’s plans to give the platform capabilities on par with Apple Pay. If not through a partnership with Apple, word on the street is that a Messenger pay function within Facebook could be Apple Pay’s next biggest rival.
Contactless LCD touchscreen kiosks
Think and Go’s new Connected Screens technology will bring contactless payment technology to kiosks. An interactive checkout counter, which operates like an LCD touchscreen table will offer various deals from businesses. Customers simply browse the offers and touch their contactless card or smart payment device to the screen, prompting an NFC payment. Potential uses include ordering or paying for a product, collecting a money-off coupon or getting travel information.
Bringing the unbanked into the financial system
Europe is not commonly known for financial exclusion but the continent has 165 million unbanked people, many of who are there by choice, who are currently outside of the system. Without a bank account, they operate in a cash-only environment where simple tasks like paying the rent are complex, dangerous and time consuming. The gap between the included and the excluded is getting bigger, giving them less opportunities to create personal wealth and being able to be a part of the growth of the global economy.
SWIFT and China
China International Payment Service Corp (CIPS) and SWIFT have signed an MOU to develop China’s Cross-border Interbank Payment System. There are natural synergies between global financial messaging services, such as those provided by SWIFT, and payment systems such as CIPS. SWIFT has operated in China for over 30 years and said that nearly 400 Chinese financial institutions and corporations are connected to its platform.
Remittances part of the fintech puzzle?
According to PaymentEye, the remittance market is in a healthy state for the big players, but not so much for the customers. In Europe fees can reach as high as 10% per transaction. According to the World Bank, remittance growth was set to slow but what’s happening is people are sending the same number of transactions but a bit less each time. Read about what’s next for the remittance market.
The cash-free cafe
The cash-free cafe, named Pablo & Rusty's Coffee Roasters, is on its way to a country near you (Australia) and payment is complete with one swipe of a Frank Green smart cup which contains a chip linked to your credit card. The digital payment options for small businesses are increasing with the launch of Square in Australia. Internationally, Square is also releasing a new set of tools that let merchants sell online to complement the ways it lets them sell offline.
*These articles cover a range of topics from broad payments industry news here and overseas. They do not represent the views of Payments NZ and are not endorsements.