With all of the recent hoopla over Near Field Communication (NFC) technology and mobile payment systems; it wouldn’t be fair to make quick judgement, unless we take a look at a few things that are holding up the technology. Most people are gung-ho NFC, but there are still nay-Sayers out there who are saying we won’t see it for at least two or three years.
Everyone is all ready shouting about how mobile payments will replace the wallet. It is very exciting technology and the potential it has for other applications is just as exciting. However, there are still a few factors that need to be worked out before it will manifest itself into main stream society.
For this to evolve there has to be cooperation on three different levels; the merchants, the mobile carriers and the credit card companies. The merchant’s have to be shown that this type of a payment system will benefit their business and not cost them a ton of money to get it started.
Several companies have shown that NFC technology won’t just be for a mobile payment system; it can also be used for inventory, and marketing programs. The mobile carriers are another factor that needs some attention. Everyone wants to be the first to get the technology and offer it to their customers.
The mobile companies are all rushing to team up with one of the credit card companies, but in doing so, they are isolating themselves to just that one business. No one wants to have to register for three or four different payment services, or have multiple processing machines for each card service.
Sometimes exclusive is a good thing; but this isn’t one of those times. This part of the process would move much faster with the adoption of a universally accepted payment system. The credit card companies need to work on a method to simplify the process without costing merchants or consumers more money.
All three of these components will have to work together, to make this dream of mobile payments come together in a secure and timely manner.
