Payments Industry Happenings: New & Noteworthy
Samsung launched Samsung Pay in the US becoming the third mobile payments provider after Apple Pay and Android Pay. Samsung Pay is enabled on select new Samsung phones, the Galaxy S6, S6 edge, S6 edge+ and Note5 and will work at both NFC terminals as well as mag stripe terminals. The mag stripe terminal acceptance functionality gives Samsung Pay an edge over both Apple Pay and Android Pay that work only at NFC terminals. Samsung’s mag stripe capability leverages Magnetic Secure Transmission technology from LoopPay, a company that Samsung acquired earlier this year. At launch Samsung has deals with three of the major payments networks (American Express, MasterCard and Visa), four large financial institutions (Bank of America, Citi, Synchrony, US Bank) and four of the top telecommunication companies (AT&T, Sprint, T-Mobile and US Cellular). Discover and Verizon are currently not part of the service. Given lackluster usage with existing mobile payments solutions it remains to be seen if Samsung Pay with its broader merchant acceptance can spur usage. More importantly, for banks and card issuers this is yet another mobile payments solution that they need to invest in. We think this will be tough for many FI’s, particularly mid-tier and small banks and we see slow going in the short term.
Canadian Tire launched an innovative new mobile payments app, the ‘Canadian Tire mPay & Play.’ The app is designed for Canadian Tire Options MasterCard and offers a rich array of functionality that goes beyond payments...
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9yPatrick I believe its important that merchants/acquirers should start investing in NFC terminals. The dynamics in cards industry have changed and mag stripe will be a redundant mode in near future due to inherent risk of data skimming.
𝙃𝙚𝙧𝙚 𝙩𝙤 𝙏𝙚𝙖𝙘𝙝 | Mobile Marketing Connoisseuse | Academic
9yAli Raza very good summary. I agree that despite all the hype, the U.S. market is a tough one to master in terms of mobile payment solutions.
𝙃𝙚𝙧𝙚 𝙩𝙤 𝙏𝙚𝙖𝙘𝙝 | Mobile Marketing Connoisseuse | Academic
9yJaiveer Singh Patrick Heyne, MBA Muhammad Haroon . both of you raise valid concerns. NFC and mPOS gaps aft retailer end have meant that even ApplePay has not been able to expand at a feasible rate in the U.S. one year after its launch...
Is In-store mobile payments growth going to accelerate any time soon? Shouldn't NFC enabled tablet based mPOS payments work for all payment services providers to easy merchant adoption of mobile payments?