Mobile Card Reader to expand beyond US
Square, a maker of mobile commerce products, has announced that its Mobile Card Reader will soon be available in Canada. The move aims to engage the growing number of consumers in the country that are showing interest in mobile commerce. The Mobile Card Reader will allow both businesses and consumers to make transactions directly from a smart phone or tablet. This is a physical product, which is available for free, that can be used on both the Android and iOS platforms.
Mobile commerce growing quickly in Canada
Mobile commerce is growing in popularity largely due to the concept that it is more convenient than traditional forms of commerce. Using a smart phone, consumers can pay for goods and services with a simple gesture. For some, this is considered an innovative way to pay for things. For others, it is just another way to make purchases. Whatever the reaction from consumers is, their interest in mobile commerce is growing, as is the demand for platforms that will allow them to make purchases using their mobiles devices.
Device accounts for $8 billion in transactions each year
Though the Mobile Card Reader is free, Square is still able to make a profit off the platform. The company charges a 2.75% fee each time a transaction is made using the platform. According to Square, the platform facilitates more than $8 billion transactions every year. Considering that Square has only operated in the U.S., until very recently, the platform has proven itself to be quite successful. Bringing the Mobile Card Reader into the Canadian market will be Square’s first time expanding beyond the U.S.
Device allows smart phones to become mobile payment platform without native NFC technology
The progress and adoption of mobile commerce is being heavily delayed by the availability of NFC-enabled mobile devices. The low supply of these devices means that consumer engagement in mobile commerce is limited. The Mobile Card Reader solves this problem by being equipped with its own NFC chip, allowing any smart phone or tablet to become a viable mobile payment platform.
Apple turns away from NFC technology in pursuit of alternatives
Much of mobile commerce revolves around the use of NFC technology. The technology has proven itself useful in facilitating mobile transactions, but has also been the target of criticism because of its perceived security faults. Some of the potential problems that can be found with NFC technology were reason enough for Apple to abandon NFC in pursuit of alternatives. Apple received harsh criticism for its decision to not include NFC technology with the new iPhone 5, but the company may still have a trick up its sleeve concerning mobile commerce.
Passbook provides consumers with services concerning aspects beyond mobile transactions
Mobile commerce is often conceptualized simply as the payment for goods or services using a mobile device. There are many facets to the world of mobile commerce, however, some of which are embodied by Apple’s Passbook. Passbook is a mobile application that was introduced with iOS 6, Apple’s latest operating system. The application allows consumers to receive, manage, and use special offers they receive from retailers and loyalty programs.
Passbook proves popular with businesses and consumers
Passbook has already proven to be popular with consumers and businesses alike. Though the application cannot facilitate mobile payments, it can foster a connection between consumers and businesses and address some of the less-known aspects of mobile commerce. Indeed, Passbook is part of Apple’s new approach to mobile commerce and may be one of the company’s strongest weapons when it eventually confronts large names in the rapidly growing industry.
Apple unable to compete with Google and Isis until alternative to NFC technology found
Apple has adopted a slow and steady approach to mobile commerce that has cost it a strong position in the industry today. Because the company has chosen to forgo the use of NFC technology, it is unable to compete with Google and Isis. Though Passbook ensures that Apple retains a modest presence in the mobile commerce industry, the company will not be able to compete at the same level as Google and Isis until it can find a way to facilitate mobile transactions that does not rely on NFC technology.
