Retailers Vie for Piece of Crowded Mobile Payment Market by Reuters
By Emma Thomasson
Gartner: By 2017, use of mobile payment will grow 3 fold to 450 million users to $721 billion
Retail Success will be thwarted by consumers not wanting multiple methods of payment, but advanced by incorporating it into shopping apps.
Starbucks has 10 million users, increasing frequency & loyalty.
Walmart, Target & Best Buy plan to set up joint digital wallets, MCX or Merchant Customer Exchange.
Tesco has been tracking customer behavior through Clubcard loyalty program for over 2 decades and plans to use smartphones and its own-brand Hudl tablet to handle in-store shopping.
Auchan, a French retailer, has launched “Flash and Pay” to combine coupons, loyalty cards, receipts and shopping lists. It’s plan is to avoid the third-party services.
In Britain, the cost of handling cash is estimated to be 2.5 percent. Shifting to a wallet solution could save as much as $770 million in transaction fees.