Australia’s Commonwealth Bank, a multinational financial institution, has announced a new iPhone app that will make use of NFC technology. The bank is looking to mimic the relative success other companies have had with so called mobile wallets – smart phones that can be used to make purchases. The bank’s adoption of the technology heralds the dawning of a new era in Australia, and other countries, that may see smart phones replacing debit cards or cash. It may be difficult to win over consumers, however, as many are still unfamiliar with the concept of mobile commerce.
Forrester Research, a worldwide market research firm, suggests that mobile commerce will only become popular with consumers if it becomes more convenient than conventional methods of payment. Major companies like Nokia and Google are pushing to have NFC become the favored means of purchasing goods, but few consumers have shown willingness to take the dive into mobile commerce. Forrester Research speculates that it may take at least a decade for NFC technology to gain enough favor amongst consumers to become a viable payment medium.
Nonetheless, the Commonwealth Banks will continue to pursue mobile commerce, holding that it is a more simplified and much more secure way to make purchases. The bank’s mobile app is currently only available for the iPhone, but may spread to other platforms depending on the success of the initiative.
