When I ask: "When was the last time you stepped inside a bank's branch?" the common answer is: "Why would I want to?" It seems most people prefer the convenience of being able to interact with their bank accounts via the bank's online banking site. As more business facilities are being added to these online systems, the dependence on a business banker is reduced, allowing us to make those 4am payments, if that is when we choose to do them.
Most banks have extended their online banking system to native apps that reside on tablets and mobile phones, making it even more convenient to transact from anywhere at any time.
There have been some exciting innovations in the banking landscape that go beyond simply accessing personal accounts, as banks are now moving towards making it more convenient and affordable to accept and make payments via the mobile phone. While electronic wallets have been around for a while now, their uptake in South Africa has been poor, as most people still rely on their credit and debit cards. Therefore, South African banks are now banking on the mobile apps to take their products to the retail sector.
There are four mobile banking technologies that have been focusing on merchants: Nedbank PocketPOS, Absa Pebble, StandardBank SnapScan and MasterPass by MasterCard.
Nedbank PocketPOS
What is it?
The Nedbank PocketPOS is a physical device that connects to a mobile phone via Bluetooth and allows merchants to accept credit card as well as "chip and PIN" cards from customers, including American Express, MasterCard and Visa.
There are two devices to choose from. The one allows for a digital receipt to be automatically e-mailed to the customer. The second will print out the receipt directly from the device.
Who is it for?
The Nedbank PocketPOS is aimed at merchants who are mobile and need to accept payment from their customers, wherever they happen to be. Tradesmen such as electricians, plumbers, builders, handymen and flea-market store owners are ideal adopters of this technology.
Works with:
The Nedbank PocketPOS is compatible with Windows Phone 8, BlackBerry versions 5-7, as well as BlackBerry 10 devices and Android devices.
Absa Pebble
What is it?
The Absa Pebble is a physical device that plugs into a mobile phone or tablet's headphone jack, allowing the merchant to accept "chip and PIN" and "magstripe and PIN" credit and debit MasterCard and Visa payments.
Who is it for?
The Absa Pebble is aimed at small and medium businesses that would like to accept credit cards at their physical store, or when being mobile and visiting client premises. Tradesmen such as electricians, plumbers, builders, handymen and flea-market store owners are ideal adopters of this technology.
Works with:
The Absa Pebble is compatible with Android (version 2.3.3 or above), iOS (version 6 or above) and BlackBerry (version 10.0 or above).
StandardBank SnapScan
What is it?
SnapScan is an app that allows customers to make payments directly from the app and allows merchants to accept payment without requiring a physical credit card terminal. All that the merchant requires is a QR code that the customer can scan into its SnapScan app.
Who is it for?
SnapScan is aimed at both merchants and customers. The merchant simply displays its QR code, so when customers wish to make a payment, they simply scan the code with the app, enter the rand amount and the payment is instantly made from the customer's account to the merchant. No card needs to be swiped or present for this transaction to take place.
Works with:
SnapScan is compatible with Android, iOS and BlackBerry.
MasterPass by MasterCard
What is it?
MasterPass by MasterCard is a free digital wallet service that aims to make online shopping safer, as users no longer have to enter their credit card details or shipping address.
After the app is installed, users link up their credit cards, debit cards or cheque cards, and set a delivery address.
When shopping online, look out for the 'Buy with MasterPass' sign. Continue to shop as you normally would, and at the point of checking out, you will be able to scan the QR code. From this point, the transaction on the Web stops and all interaction happens with a mobile phone. The app will ask you for your choice of payment and to enter your regular PIN or the three digits at the back of your credit card. You will select a delivery address if the item needs to be delivered. The transaction is complete and no personal information is entered on the Web site.
Who is it for?
The MasterPass by MasterCard is an ideal solution for those who want to shop online but are nervous to give out their credit card information. It is also ideal for those who don't have credit cards, but still want to shop online as debit cards are typically not accepted online.
Works with:
MasterPass by MasterCard is compatible with iOS, Android and BlackBerry devices.
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