Benefits Of Using Mobile Phone

12. _________________ is a technology that allows cardholders to make purchases with a single click from their mobile devices.

The future of payments is current shifting to another path with how technology is changing and is currently modifying how we process our payments and how we store data. It is going away from low-tech and paper based tools, expensive and bulky registers, and physical card swipes. And it is introducing and renovating online commerce and online payment. This is happening due to the decrease of money supply and checks in the current market because people are starting to pay more and more there bills online. As the economy improces and corporations and business gets larger they have started a large-scale implementation of processors in electronic payment technology in their business ands services. Also, credit and debit are growing amongst consumers and it has been the highest that it has even been in history.

Although major retailers have had credit card breaches, which devastated consumer trust in credit, Mobile payment systems stay efficient, but risk personal and financial data fraud similar to plastic credit card usage theft. Patrons fear merchants can track your shopping habits, location and financial records using a mobile GPS signal. Nevertheless, worries that someone can steal their information when sent wirelessly therefore consumer confidence remains low. Thorough safety measures will help give customers composure and regain assurance. (Busby, 2014) (Sapienza, 2013)

An example of this would be the Apple Pay technology. Apple Pay is a mobile payments service and digital wallet application that utilizes Near Field Communication (NFC) to initiate secure payment transactions between contactless payment terminals and devices like the iPhone 6, iPhone 6 Plus and Apple Watch (Webopedia). Apple Pay allows owners of Apple devices the opportunity to add multiple credit or debit cards onto that device and instantly pay at a location by simply placing their device over the scanner. This technology could be implemented into Howard University’s Bison One Card by adding Dining Dollars or Bison Bucks into the application software, thus eliminating the need to always swipe your card at various locations around campus. This would also eliminate the struggle some students encounter of not being able to eat or swipe into the café because they have lost or misplaced their card. The biggest problem Howard University faces with implementing this new technology is the substantial cost. Blue Pay breaks down the Apple Pay implementation costs with prices of the NFC terminals in range from $300 to $500, excluding the cost of additional software upgrades if needed. Depending on which locations, if not all, across campus will support this technology, this cost will surely add up. Merchants must also weigh in the cost of employee training. Employees must understand how to properly use NFC contactless readers to process payments. The training should also include refunds, chargebacks, and cancellations. This cost can vary, depending on the size of the staff. Blue Pay ultimately estimates the total cost ranging anywhere from $1000 to $2000 per unit after factoring in hardware, software and wages (Blue

Payment processing has become more universal. Each transaction, whether it's in-store, eCommerce or mobile, needs to deliver a seamless integrated buying experience at any time of the day and on any device being used.

The exact definition of Near Field Communication (NFC) is a set of communication protocols that enable two electronic devices, one of which is usually a portable device such as a smartphone, to establish communication by bringing them within 2in of each other. For example, if I have an iPhone specifically it will connect to the Internet and can exchange data with online services. Different providers such as AT&T Mobility, Verizon Wireless, T-Mobile USA and even Apple have joined in this new interesting way to handle their e-pays.

. Mobile payment users >190 MM in2012, which is over3 % of total mobile users worldwide a level considered as "mainstream”

There are differences in the implications for those who use prepaid cards and those who use digital payment services. Prepaid cards are used to make financial transactions just like those carried out by credit cards, but their market is catered toward those with lower incomes – roughly 23 million Americans. Digital payment services, however, are more likely to be used by those in the middle-to-upper classes. Digital payment services must be tied to credit cards and bank accounts. This difference in market share results in different impacts for prepaid card and digital payment service users. The implications for digital payment service users relate to fees, market share for the companies, transaction times, and data security. The implications for prepaid card users relate to

Most B2B companies struggle to implement electronic payment systems primarily because of the challenges of integrating with out-of-the-box accounting software and antiquated legacy systems. However, 91 percent of all adults now use mobile phones and can easily pay companies directly with check cards, credit cards or other mobile payment options.[2] Customizing a B2B website for multiple payment options provides long-term benefits that will only increase with time and enable increased automation of company processes. These include automated options for recurring billing, interactive voice response or IVR technology for confirming orders and taking credit card or billing information and Virtual Negotiation technology for speeding agreements and handling payment disputes. Mobile payments grew more than 9 percent annually in 2013 and now account for more than 40 percent of global revenue.[3] McKinsey predicts a sustained annual growth rate for mobile payments in excess of 6 percent that should surpass $2 trillion annually by 2020.

Mobile payments are considered the future of retail; but consumers seem to have their own set of concerns. This survey highlights these concerns:

Apple is not the first company that came up with the idea of mobile payment, but the company has developed the mobile payment system into more than a just concept but a product that can be incorporated into our daily lives to modify our current system of payment. Apple has convinced numerous individuals to trade in their wallets in exchange for their smartphones. There are other companies such as Google Wallet, and Isis Mobile Wallet (Bergen, 2014), but it did take some time for consumers to dip their toes in the water. With the help of Apple’s contagious popularity, the usage of Apple Pay is slowly but steadily growing. According to Hof (2015), “Now merchants have people walking in saying, 'Why can 't I use Apple Pay? '” Years before Apple Pay became available to the public, consumers have been making in-person purchases with their smart phones. According to a U.S. Federal Reserve survey, 17 percent of all smartphone users have made purchases with their phones (Hof, 2015). This may not seem like a large number, but it’s a start to a new rising revolution of tech-savvy young adults who are eager to embrace advances in technology. Now Apple Pay is available with the new Apple Watches and customers have the convenience of

Businesses see a future for mobile payments soon. More and more industries are being presented with the profits of mobile payments and those industries are viewing them as opportunities in the modern day world. The competition is on for who is the biggest and most bad. Now, the millennials are the ones to decide that. “According to new surveys, 72 percent of business executives believe that smartphone payments on a large scale, are inevitable and 58 percent of businesses have already implemented a mobile payment system.” (Big Think Editors, 2012) In late 2011, Google came up with Google Wallet in business with Citibank and MasterCard. Google Wallet allows its users to store payment information in the cloud and pay for things at industries

Introduction Mobile Commerce – Business Context Mobile Commerce Strategy Mobile Channel Strategy Mobile Marketing Mobile Sales Mobile Service Mobile Payment Mobile Wallets Mobile Commerce Transaction Mobile Banking and Mobile Money Mobile Commerce Transformation Roadmap Mobile Commerce – Payment Business Scenarios Card based Mobile User to Business – Payments (CM2B) Mobile – Wallet – User to Business – Payments (M2B) Mobile – Wallet Mobile Users to Mobile User – Payments (M2M) – Remittance Services Mobile – Wallet CrossBorderM2M Mobile – Wallet Cross Border M2Account. Mobile Commerce – Payment Processing Models Card based

As shown in the figure 5.2.1, it is the general structure of the token based mobile pay. Users should register their card details at first. These personal account number will be sent to the issuing bank first, the bank will provide the tokenization service and send the token back to the devices. The devices will store these tokens and encrypt it for security. Later, if user wants to do a transaction, at the POS reader part, it will use the NFC technique to read information first. And then, the tokens will be sent to the token server to verify its transaction validity by re-locating the relationship between tokens and PAN and finish the transaction authorization.

The last decade has witnessed a lot of growth of mobile communication devices and wireless technologies across the globe. This has led to a change in the way many activities are conducted and opened the way for m-commerce, which is e-commerce's next evolutionary stage. The significant power of m-commerce is primarily as a result of the ability to connect wireless devices anytime, anywhere (The Future of Mobile Payment Systems : Rise of the Mobile Wallet 2012-2017 [Electronic version], 2011).