Tag: united kingdom

Google launches Android Pay mobile payments service in the UK

Android Pay is now available in the United Kingdom

Google has officially launched its new mobile payments service in the United Kingdom. The company is looking to compete with others in the mobile commerce space with its Android Pay platform, which has found modest success in the United States. This is Google’s first entry into the mobile commerce market, of course, as it released its Google Wallet platform some years ago. The rapidly changing market has pressured Google to launch a new service, however, which is where Android Pay comes into play.

Mobile commerce is growing quickly in the UK

The United Kingdom is a very attractive market for mobile commerce. Many consumers in the country are using their smartphones to shop online and purchase products in physical stores, taking advantage of the services that are available to them. The Android Pay service is the latest such service, which can be used by those with accounts with most of the UK’s major banks and credit card issuers. A growing number of retailers are beginning to rely on mobile payments services as well, which is creating new opportunities for platforms such as Android Pay.

Android Pay continues to fight for a foothold in the mobile commerce space

UK Mobile Payments LaunchAndroid Pay was launched last September in the United States and Google notes that it has signed 1.5 million people up for the service every month since then. Despite this, however, Android pay has struggled to find a foothold in the country. While the service is equipped with effective security features, many consumers in the United States are still not comfortable with the concept of mobile commerce. This is not the case in the United Kingdom, where many people have shown favor with being able to pay for products with their mobile devices.

Google to face more competition in the UK

Android Pay has managed to attract significant support from businesses in the UK, but it will still have to compete with other, more established mobile payments services in order to find success. One of Google’s major competitors in this market is Apple, which launched its own payments service in the UK in July of last year. Samsung, another player in the mobile commerce field, is also coming to the UK with its own payment service in the near future, which will further increase competition.

US may need to mimic the UK to find success in mobile payments

UK shows that success in the mobile commerce space is quite possible

The United Kingdom may be leading the United States when it comes to mobile payments. The latest statistics coming from the UK Cards Association show that one in 10 card transactions are now made through mobile devices using contactless systems. This has grown considerably over what it had been in the last year. In the U.S., mobile payments are still fighting to find a foothold among consumers for various reasons. If companies operating in the mobile commerce space want to ensure success in the country, they may have to look elsewhere for inspiration.

Apple Pay is fighting for a foothold in the United States

In the U.S., consumers are interested in mobile commerce, but relatively few participate in this space. Apple Pay, one of the country’s more popular mobile payments services, has found only modest success, with only 3.5% of mobile transactions actually being completed through the platform. This is actually lower than the transactions that Apple Pay accounted for in March of 2015, which stood at 5.9%. Fewer people are now using Apple Pay than in the past and this is a trend that is being seen with other mobile payments services as well.

Ubiquity may be the key to success

Mobile Payments Plan for SuccessIt companies in the United States’ mobile commerce market want to succeed, they may have to focus on ubiquity. This is something that the UK market has accomplished quite well. The country is home to the most heavily concentrated banking and acquiring segments and retailers in the country serve a very well defined geographic market. Barclays, one of the country’s largest banks, accounts for more than 40% of all credit and debit card spending. The country also has a multitude of merchant acquire options. What this means is that if Barclays backs mobile transactions, it is extremely easy for retailers to accept payments being made from mobile devices, something that is not readily apparent in the U.S. market.

Mobile commerce is growing in Australia and Canada at well

The UK is not the only country where mobile commerce is flourishing, of course. Both Australia and Canada have rapidly growing mobile commerce markets, which are becoming more competitive with what has already been established in the U.S. While mobile payments are having trouble finding momentum in the U.S., the market is still quite attractive to companies that want to provide consumers with new mobile services. There may need to be a greater focus on ubiquity in order to ensure future success, however.