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April 22, 2015

The Future of Mobile Payment

Mobile devices

Running websites and maintaining relevancy can be difficult. The need to make changes in tech to keep up with demands is more important than ever with tech capabilities of everyday people growing over the past few years. Everyone expects sites to work on desktop and mobile as well as improved communication between business and customer.

That is why making mobile improvements to your site will pay off: you will be able to collect better data about how effective your teams are, what your visitors are doing on your site, and more.

Enhanced Communication

There are roughly two billion cellphones worldwide, owned by nearly 25 percent of the world’s population. Ninety-three percent of Americans adults alone own cellphones and the trends of Smartphones and mobile Internet connection are on the rise. Businesses are always changing and evolving and, for this reason, development in communication and sales is crucial for appealing to the owners of those two billion cellphones. In order to communicate new deals, features, and incentives to your customers, going mobile will make it easier for your sales team and PR team to respond to those who are going onto the site. With cloud storage and enabled IM, communication between managers, editors, and others that are in the company will improve as well, making it, and your response time to customers, run like a well-oiled machine.

Elimination of Paper Money and Coins

A year ago, President Barack Obama came out in support of eliminating the penny, stating that they cost more to mint than they are worth. The penny is not alone in its utter uselessness, since one day all physical paper money and coins will be rendered useless in the future of mobile payments. Just as the magnetic strip revolutionized the use of plastic debit cards, mobile technology will make it so we no longer need hard money, and instead turn to the NFC chips inside mobile phones than can transmit banking and payment data. Americans are twice as likely to carry a phone, and those who are 18-34 are four times as likely. Also, these NFC chips don’t necessarily have to be inside phones, they can also be placed inside wearable Smart tech such as rings and watches.

Businesses Can’t Afford Not To

Taking websites mobile will have profound benefits on business sites in the long run. Mobile payment is projected to experience huge growth in the next few years. The mobile payment industry is projected to grow 154 percent over the next five years and overtake desktop payments. To not jump on that bandwagon and optimize sites for mobile is just unwise, especially since purchases from mobile devices were at around $1.8 billion in 2013 and are expected to be at $189 billion in 2018. Below is a photo from studies that Ohio University has done, illustrating the fact that the percentage of adults using mobile payments rose two percent in a matter of a year, and is expected to keep on growing.

mobile-pay

Photo Courtesy of: Ohio University, “The Business of Mobile Payment” infographic.

Even though it may create challenges in the future, mobile is clearly not only becoming a growing trend, but a lucrative one. The long-term benefits of going mobile outweigh any potential challenges in the future, including the fact that mobile doesn’t just appeal to Americans and American companies, but people and businesses around the world.


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Kerstin Stokes is a graduate of the College of Idaho interested in sharing her marketing knowledge around the Web. Kerstin currently hangs out with her cat, looks up tasty recipes for baking, reads the latest articles about tech, and is working to start her writing and marketing career.

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