Commercial technology typically lags consumer adoption by some variable margin, and that has been generally the case to date with commercial mobile payments. The only major mobile payments app/wallet announcements of which we are aware for use by device-holders at the point-of-sale are related to the Amex launches in 2015. In this news release we again hear about a consumer mobile app launch, this one called BPMe, set up by BP in Australia. The app is the first of its kind in Australia, according to the article, and is designed for use by BP Plus card holders. They can utilize the app to pay directly from their vehicles, among other things.
The app gives BP Plus card customers the power to pay for their fuel, track their odometer, store electronic fuel receipts and locate their closest BP service station, all from their smartphones.
Mercator just published a research report entitled The Outlook For Commercial Mobile Payments, in which we make the point that mobile payments adoption at the point of sale is being hampered in large part by the sub-optimal point of sale environment, which depresses demand due to payer confusion and ultimately, causes disinterest. However, we believe that various factors will begin to the accelerate momentum around mobile adoption, and that will include demand by millennials, increasing pressure on merchants to gain NFC certification, particularly in the US. Once this occurs, there should be simultaneous adoption, regardless of consumer or commercial, since most card issuers will be launching their own apps or integration with major device wallets in the near future.
“Smartphone penetration rates in Australia are some of the highest in the world and mobile payment solutions are what our customers have been demanding. It’s the way of the future and BP is at the front of this innovation,” said Miller.“We recognise the importance of mobile and card-less payments to this customer base and we understand the need for faster transaction times and easier payment processes.
Overview by Steve Murphy, Director, Commercial Enterprise Payments Advisory Service at Mercator Advisory Group
Read the full story here