Just as soon as online payments became a norm for
businesses, it wasnt long before mobile
payments soon caught everyones interest, consumers and businesses alike.
While few retailers, including Starbucks, have really embraced mobile
payments as a regular means of payment, many point-of-sale(POS) markets will also soon begin
implementing this option. In Javelins first forecast on mobile payments,
it was predicted that mobile payments made up only 0.01% of POS volume. By
2018, mobile
POS payments are predicted to account for 13% of overall POS purchases. Even
though 2013s value prediction for mobile payments is only around $0.7 billion,
this value will significantly increase to $2.4 billion in 2016.
While mobile online payments (not to be confused with mobile
POS purchases) have taken off, many retailers are feeling the pressure to adopt
this newest trend for in-store purchases. Mobile in-store purchases serve a
very obvious need for convenience for consumers in the store. Mobile purchases may
even increase sales by keeping impatient consumers in stores long enough to
check themselves out. But there are precautions that should be taken into
consideration before jumping on this mobile in-store payment bandwagon. Retailers
may be attracted to the convenience mobile POS payments will offer, but companies
will need to assess how their fraud prevention
needs will change. Any time sensitive information is being shared the company
is liable for the protection of this information and more importantly the
retention of their customers. Mobile security is tricky, and understanding the
risks is the foundation of preventing
mobile fraud. Even if mobile payments arent a part of your short terms
plans, educating your company on the risks is relevant in todays mobile world.
[Contributed by EVS Marketing]
