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Making Payments with Mobile Phones

Making payments with mobile phones

enabled with near field communications, or NFC, is expected to grow significantly as mobile technologies become more advanced and the infrastructure to support NFC payments falls into place.

NFC is increasingly being adopted by payment networks, banks, merchants, mobile device manufacturers and mobile network operators as the global standard for mobile payments. This year, analysts anticipate that smartphone shipments will grow by over 38.6 per cent year-on-year, reflecting the increasingly interactive relationship consumers have with their phones.

NFC

technology is transforming mobile phones into payment devices that will change the way people live, work and play,” said said Niki Manby, head of Emerging Products for Visa Asia Pacific, Central Europe, Middle East and Africa. “NFC payments have enormous potential and we are committed to providing the convenience of this technology in a secure manner to our customers.”

There is an undeniable demand for contactless transactions using the mobile phone. Juniper Research predicts that NFC mobile payments are set to exceed $180 billion worldwide in 2017. Visa is committed to enabling more consumers to make payments from their phones to a contactless terminal securely and efficiently. In the Middle East, Visa has worked closely with mobile network operators, handset manufacturers and financial institutions, merchants and technology providers to develop and commercialise mobile payments and related services.

In Kuwait, for example, Visa partnered with the National Bank of Kuwait and Zain to deliver the region’s first NFC mobile payment trial, in a move that gave up to 350 NBK Visa cardholders the convenience and security of paying for their purchases using Visa payWave on their Nokia 6212 phones at over 70 merchant partner outlets in The Avenues, Kuwait’s largest mall.

In the UAE, Visa is working together with leading industry players etisalat and Emirates NBD on a mobile contactless technology trial, enabling Emirates NBD Visa cardholders to purchase goods and services with their NFC-enabled mobile phones, with purchases charged directly to the customer’s Emirates NBD Visa credit card account.

Visa’s commitment

to driving NFC acceptance across the region is paving the way for mobile device manufacturers, mobile operators and retailers to partner with financial institutions to offer Visa mobile payment functionality to consumers globally.

In order to make NFC-based payments an everyday reality, three components of the NFC ecosystem need to be in place — compatible handsets and hardware, a viable support infrastructure, and a well-established contactless payment acceptance infrastructure. Visa is working closely with industry partners to develop a robust ecosystem which will enable consumers to make payments faster and more conveniently.

The development of NFC-enabled hardware, payment applications and convenient user interface applications, will be at the forefront of contactless mobile payments.

Visa’s payWave acceptance technology uses industry standards such as ISO 14443, EMV and Global Platform that are compatible with existing contactless payments terminals already installed at retail outlets worldwide.

Earlier this year, Visa announced a new service, Visa Mobile Provisioning Solutions, that provides financial institutions and mobile network operators a one-stop solution to securely download payment account information to NFC-enabled smartphones. This new service was developed in collaboration with Oberthur.

via Headline Story | equities.com.

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How to Use Mobile Marketing for a Good Cause?

ArbysWe’ve seen billboards, posters, commercials, brochures and all manners of print and film being used to spread concern and awareness among the masses about a nationwide campaign. A fast food chain, Arby’s is now making use of today’s most popular form of communication to make their campaign be heard and bring about a new voice or shall we say message for the public to see. In order to promote their nationwide campaign to end childhood hunger, Arby’s has launched the use of SMS to do so.

Starting on 15th August, this SMS campaign is collaboration between the Arby’s Foundation and their partnership with Share Our Strengths No Kid Hungry project. This campaign is set to take place nationwide so as to get as much response as possible and make sure the attention of the masses is achieved.

Kate Atwood, the Executive Director of the Arby’s Foundation in Atlanta proclaims that main goal of this Hungry for Happiness project is to bring about kids to the meals that they need in the summer time since lunch programs in schools are unavailable at this time of the year.

According to the research done by the Arby’s foundation, most houses can afford a mobile phone, even if they cannot afford a home land line number and hence they have come up with a code for such families that they can use via SMS to reach Arby’s.

Arby’s is basically a quick service restaurant in Atlanta with over 3500 branches and the Arby’s Foundation is a nonprofit institution that made donations to the SOSNKH (Share Our Strengths No Kid Hungry) project worth over $2 million in the year 2011.

Share Our Strength’s No Kid Hungry basically works with all kinds of people and organizations, some of them including mayors, governors, chefs, businesses, federal agencies, education sector and others in order to reach out to children in need by helping them find a way and access to nutrition courses.

SMS Hunger

This year the Arby’s Foundation plans to travel to fifteen different locations to help with the awareness campaign and end this childhood hunger problem. Since schools are closed and there are no lunch programs, the objective of the Foundation is to provide food to children that might only get it while they’re at school.

Hungry for Happiness campaign will also be stopping to give out lunches to kids and teenagers who are under the age of 18, this summer in fifteen cities. Some of these cities include Tampa, Augusta, Salt Lake City and Denver to name a few.

In order to reach out to consumers and tell them about their awareness events, the Foundation has set up an SMS program which is easily reachable. If consumers are interested, they can SMS a code, which is FOOD to the number 877877. Once the message has been sent, the Foundation sends a response message asking for their full address in order to locate a source of nutrition nearby. In the case that an event is not happening within the vicinity of the consumer, they will get a message which will contain a 1-800 number so that they can learn more about happening events. In addition to this initiative, there is also a website if consumers want to know more about this program.

Doug Stovall, Senior VP of sales and client services at Hipcrikcet was quoted as saying that the mode of SMS is an excellent way to reach out to the masses on a national level and is a great tool for local charities because it has the ability to be everywhere. It is also easier to give and receive donations via SMS from consumers because everything is handled within the mobile bill. Messages can also be personalized to fit certain requirements. For example, once the location of the consumer is known, localized messages can be sent for them to be even more motivated.

Education via Mobile

Such an initiative can be a very strong way of spreading awareness for a certain camp and reaching out on a national level. This is also because sending messages is one of the most common features on today’s day and age and consumers have their mobile devices with them almost all the time, especially the younger generation. Arby’s Foundation is not the only one making use of this innovative tool of communication. Jim Beam has also been using an SMS program in order to encourage donations for a summer concert for charity. SMS can also take a campaign to the next level by pushing the consumer to the mobile website, videos, apps and so much more and enhance the experience of the brand for a top notch cause.

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iOS customers worth an average of $1000 each to Apple

A new study has highlighted the loyalty of iPad and iPhone users, who are so unlikely to switch from Apple’s iOS to another platform that an analyst believes they are worth almost US$295 billion cumulatively, which is more than half of Apple’s current market cap.

Apple Insider reports that Goldman Sachs analyst Bill Shope has conducted consumer survey of more than 1,000 Apple device owners, and has reached the conclusion that the average single iOS customer is worth US$1,053 to Apple.

That figure is based on the assumption that the average iOS device for the June quarter is sold at US$535 with five percent erosion, gross margin is 45 percent and annual defections are five per cent.

“This implies a cumulative iOS customer value of nearly US$295 billion on today’s installed base, without any consideration for the content services or peripherals streams, or for the platform’s growth potential,” Shope wrote in a note to investors last week.

Through his survey, Shope found that 71 percent of the iOS device owners polled said it is highly likely that their next smartphone or tablet will be an Apple device. Only one percent said that it was “unlikely” that they would choose Apple again.

When asked whether a discount would convince them to switch to another platform, 21 percent of the Apple device owners said that no discount would make it worthwhile. A discount of 21-30 percent was the most popular choice, with 23 percent claiming that they would consider platform switching with a price discount within that range.

Overall, 61 percent of the participants said that it would take a discount of 30 percent or more to get them to choose a non-Apple mobile device.

Shope’s research found that 30 percent of his poll’s participants are paying for extra storage capacity in iCloud or iTunes Match, services that could add switching costs for customers with more than one device.

“Considering that Apple has disclosed that it has 120 million iCloud users as on its earnings release on April 24, this is quickly becoming yet another high-margin revenue stream for the company,” wrote Shope. “More important, however, this also suggests that a large portion of Apple’s installed base is adding yet another source of explicit switching costs.”

Overall, Shope’s survey has led him to estimate that it costs iOS users between US$122 and US$301 to switch to a different mobile platform, implying that it would take a discount of almost half price in order to make a switch inexpensive.

via iOS customers worth an average of $1000 each to Apple – Macworld Australia.

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Why Location Based & Mobile Advertising Matters for Small Companies?

Location Based AdvertisingMobile App Developers Love Location Based Advertising

but many users aren’t too thrilled about it.

Location-based advertising takes advantage of the built in GPS in many smartphones; including iPhone and Android, among other.

In recent year location-based advertising has emerged as a byproduct of the mobile apps economy . Location-based advertising allows mobile apps development companies to program iPhone apps and Android apps that tracks the users’ location using their mobile devices. With many people concerned about privacy, some consumers are not sharing their current location. Location is everything: It allows companies to connect with consumers directly one-on-one. With companies and consumers connected through an app companies can supply consumers with relevant and personal information. Through this process companies can pinpoint the best time to send special deals concerning their products. If the company interacts with the consumer correctly it will build brand loyalty.

by Laith Hasan

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