Tag: mobile commerce apps

Federal report focuses on mobile commerce apps

| August 8, 2014

FTC report finds that many mobile applications are falling short

The U.S. Federal Trade Commission has released a new report focused on the mobile commerce space. According to the report, mobile commerce applications lack the mechanisms necessary to resolve payment disputes coming from those that use them. These application may also be unable to adequately protect their user’s privacy. These are issues that have often been points of criticism in the mobile shopping realm, but relatively little has been done to resolve the problems associated with these issues.

Report shows that apps are not providing consumers with the information that they need

The report from the Federal Trade Commission outlines significant shortcomings in the disclosures that applications offered to consumers regarding rights and certain liability limitations. Many of these applications were very ambiguous in detailing what consumer information is accessed and how this information is being used. These apps also lacked effective anti-fraud mechanisms, which may be putting consumer financial information at risk.

Apps are playing a larger role in the digital shopping experience

Mobile Commerce - App FocusMobile applications are beginning to play a more central role in the shopping experience. Consumers are beginning to use apps to find and purchase products that they are interested in, but some of these apps are unable to provide an effective service to these people. In some cases, these applications fail completely in processing a payment, leaving payment information in a state of limbo and frustrating consumers.

Mobile commerce is beginning to see more regulatory attention in the U.S. and other parts of the world

As mobile commerce continues to grow more popular, it will fall under more aggressive regulatory scrutiny. The mobile payments space is still in a state of infancy and, as such, may not have appropriate measures in place to protect consumers and their financial information. Services that do not offer adequate protection or properly inform consumers about payment dispute resolutions and information collection may find it difficult to find long lasting success. With competition in the mobile commerce market as aggressive as it is currently, few platforms can afford to alienate consumers.

Mobile payments firm wins funding from Visa

| August 1, 2014

LoopPay has acquired funding from Visa for its ambitious and innovative technology

LoopPay, a mobile payments firm based in the U.S., has announced that it has won funding from Visa. The exact amount of funding that has been provided by Visa has not yet been revealed, but the funding is expected to be used to help LoopPay launch its new technology later this year. The firm’s Magnetic Secure Transmission (MST) technology may add yet another layer of security to mobile commerce while further bolstering the mobile payment infrastructure.

LoopPay technology makes use of magnetic trips rather than NFC chips

The technology leverages the magnetic strips that can be found on payment cards in order to process mobile payments. LoopPay has opted not to make use of NFC technology, despite its popularity in the mobile commerce sector. The new technology means that existing point-of-sale systems can be made more mobile-friendly, as most are fashioned to make use of payment card information. Reducing the technological boundaries that separate mobile commerce and traditional commerce could help consumers become more active in the mobile shopping field.

Firm’s services can be used by iOS devices

Mobile payments funding from Visa LoopPay provides a mobile application and case for iOS devices. The case is able to store and reach financial information, allowing iOS users to participate in mobile commerce relatively easily. The MST technology from LoopPay encrypts the financial information being transmitted to a point-of-sale system and this information is only available for a short amount of time before it is no longer readable.

LoopPay may have found a way to get people involved in mobile commerce without forcing them to embrace new and unfamiliar technologies

Mobile commerce has become a competitive field in many parts of the world. In the U.S., many mobile payment firms are introducing services that make use of new technology that is designed to disrupt traditional commerce. This can be difficult for consumers to embrace, however, as they have been comfortable with traditional commerce for years. LoopPay may have found a way to encourage people to participate in mobile commerce without having to embrace new and unfamiliar technology.