Author: Stephen

Mobile payments expected to boom in the UAE

| May 13, 2014

UAE may lead the way in mobile commerce adoption

When it comes to mobile commerce in the Middle East, the United Arab Emirates is leading the way in terms of adoption. Consumers throughout the country are becoming more aware of mobile payments and how they work, with this awareness being spurred on by retailers and financial organizations involving themselves more in the mobile space. While most of the Middle East region remains cash-based, with approximately 10% of all payments being made electronically, the United Arab Emirates is expected to play a major role in the growth of mobile commerce throughout the region.

MasterCard study shows that UAE is heading toward a cashless society

MasterCard recently released a study that suggests that the United Arab Emirates is moving toward a cashless society faster than any other country in the Middle East. Non-cash transactions in the country currently account for 26% of consumer payments by value. High smartphone penetration is cited for the growth in mobile commerce, but government initiatives are playing a role in promoting growth as well.

Government initiatives help promote mobile spending

Mobile Payments - UAEThe country’s government has taken a keen interest in mobile commerce, believing that the mobile sector can lead to higher degrees of social and economic growth. The United Arab Emirates Ministry of Labor’s Wages Protection System allows workers to receive their salaries through prepaid cards and bank accounts that can be accessed by mobile devices. The UAE Bank Federation has also launched a new initiative called Mobile Wallet, which aims to make finances more mobile-centric than they had been in the past.

Security is becoming a priority for many consumers

Large-scale mobile payment solutions are being prepared for launch in the United Arab Emirates and the rest of the Middle East. As these solutions are introduced to the public, mobile commerce activity is expected to pick up tremendously. If these solutions do not offer adequate security features, however, they may be shunned by many consumers. Many people are becoming more aware of the threats that exist in the mobile space and are demanding that new services ensure the security of their financial information.

Mobile payments platform seeks to reach 15 million users by end of year

| May 8, 2014

Paym has ambitious plans for the future

Paym, a new mobile commerce platform, was recently launched in the United Kingdom and represents one of the most highly anticipated mobile services to be released in the country so far this year. The platform is backed by many of the United Kingdom’s largest financial institutions and this has allowed it to find early success where other, similar mobile commerce platforms have struggled to find traction with consumers. Paym’s ambition is to reach a significant user base by the end of the year in order to solidify its place as a leading platform in the mobile space, and it is already well on its way to achieving this goal.

Commerce platform already boasts of more than 7 million registered users

The service currently boasts of some 500,000 registered users through the nine banks that have partnered with Paym. These banks boast of a large pool of customers that are already making payments through Paym. The platform is specifically designed as a person-to-person payments service and has managed to acquire strong support from consumers as such. The Paym service is integrated into the mobile applications that are associated with its partnered banks and other organizations.

Platform manages to find favor with consumers despite crowded market

Mobile payments platform seeks to reach millions of usersThe platform has received an overwhelming positive response from consumers in the short time after its release. This has provided the platform with the momentum it needs to compete against other services that exist in the mobile commerce sector. Both PayPal and Google have managed to establish a formidable presence when it comes to mobile payments, but these two companies are far from being considered the default mobile commerce service providers among consumers. Indeed, many people are happy to make use of a wide variety of mobile commerce services, moving from one service to the next as they see fit.

Small firms fight for the attention of consumers

As mobile shopping continues to grow in popularity in the United Kingdom, it is likely that the market will continue to be flooded with new and ambitious mobile services. These services will compete with one another and likely die out due to a lack of exposure. Large organizations, such as PayPal, are able to avoid much of this competition because of their built-in user base, but smaller organizations will have to fight hard for the attention of consumers.