For years, mobile payments have been described as the “future of the payments industry.” Industry observers have detailed the intelligence of the mobile device, the security of NFC, the effectiveness of cloud-based solutions, as well as dozens of other mobile payment solutions, and the advantages they provide.
Amid all of this excitement, one important fact was overlooked: the current payment system based on plastic cards is sufficiently effective, convenient, and secure. However by looking beyond simply payments, merchants and consumers are beginning to realize the many benefits that mobile payments can offer them, and as a result the industry has seen rapid growth over the past 12 months. Unfortunately, few merchants currently have the hardware and infrastructure to leverage mobile payments, or a comprehensive adoption plan for acquiring this hardware and incorporating it into their existing payment models. This research brief from the Mercator Advisory Group examines how merchants can develop a sound strategy for integrating mobile payments, with advice on the qualities and capabilities their next point of sale system should feature.