Tag: mobile payments

While the biometrics trends have been focusing on fingerprints, the Chinese giant is looking at eyes.

Biometrics based mobile payment security is still in its early days. So far, certain companies, such as Apple, have introduced fingerprint scanning to verify a device user’s identity. However, Alibaba has something else in mind.

Alibaba’s payments and financial services affiliate, Ant Financial, recently announced new plans.

Ant Financial purchased EyeVerify for an undisclosed amount. EyeVerify is a startup based in Kansas City, Missouri. Reports have suggested that the acquisition may have been made for anywhere from $70 million to $100 million. This suggests that the e-commerce giant from China may be looking into a new kind of mobile payments security.

Not only will this purchase provide the company with one more step in expanding its reach into the western market, but it also reveals an interest in biometric security. That type of technology analyzes biological features that can be detected with scanners. In the case of EyeVerify, the software they produce can analyze and recognize the veins on the sclera (the visible part of the eyeball that is white inc color).

This mobile payment security uses a smartphone’s front-facing camera to capture the vein patterns of the eye.

Once the pattern has been captured, it is recorded so that it can be used for certain mobile security features. These can include logging into an account or even unlocking a phone, similar to the way fingerprint scanners are currently used.

According to EyeVerify, this type of biometric security provides the same level of verification protection as a password of 50 characters in length.

Ant Financial first introduced biometric mobile payment security software into its Alipay app in July 2015. This was released exclusively to a small group of beta testers. The beta testers have the ability to log into their accounts using traditional password and/or fingerprint readings. That said, they can also choose to have their eyes scanned in order to log in.

Companies from China stand to gain a great deal from biometric security investments. The reason is that the country is facing a massive battle against online fraud and every new layer of security protection can go a long way.

Application developers felt that providing consumers with a smooth experience was by far the most important consideration.

Adding a mobile commerce experience to apps has given developers a whole new way to monetize their products. Now, they aren’t simply reliant upon the purchase price of the application to make money. Furthermore, enabling ads is also not the only route available to them, particularly when offering a free app.

That said, the choice to include an m-commerce checkout option also comes with several additional decisions.

For the vast majority of app developers, providing a smooth and seamless mobile commerce experience is the highest priority. They strive to provide the consumer with a frictionless experience. The hope is to add to the experience for the user, instead of detracting from it. This, according to The Evolving State of Mobile Commerce study by VisionMobile.

That research provided insight based on the participation of 1,986 app developers. These developers all used the VisionMobile platform for the m-commerce component of their apps.

The mobile commerce experience survey revealed that there are certain strategies that most developers have in common.

Among the respondents, 53 percent said they used app-store billing. This made it by far the most popular among the mobile payments options available. Geography played a role in the most popular billing methods. In emerging markets, operator billing – also known as carrier billing – were most common. This was because those are markets in which it is not commonplace to have credit cards. Thirty three percent of app developers in Africa and the Middle East used that form of payment method for their mobile commerce apps.

The survey revealed that there are three main considerations for app developers when choosing m-commerce payment methods. Those considerations were:

• Seamless and frictionless user experience – easily the most important factor, taking a top priority by 66 percent of respondents. In fact 53 percent said smooth mobile commerce experience was more important than cost.
• Security and the ability to prove it – they need to be able to enable secure payments and show that to consumers.
• Capabilities for international expansion – apps need the potential to grow beyond specific borders or regions.