© 2025 Arizent. All rights reserved.
p1a02mek0q1vhc1cmp1eso18nhoso6.jpg
Competition is heating up among mobile wallet makers, but not everyone is racing toward the same goal. Many are starting to look past Near Field Communication-based contactless payments, championing newer technologies as well as reviving older business models.
p1a02mek0t19es1g1g1oi0cmd82l8.jpg
An attendee reaches for a cup of coffee at Starbucks Corp.'s 400,000 square foot Leadership Lab in the George R. Brown Convention Center during the company's Global Leadership Conference in Houston, Texas, U.S., on Thursday, Oct., 4, 2012. Starbucks Corp. Chief Executive Officer Howard Schultz said his company plans to add 1,000 stores in the U.S. in the next five years. Photographer: F. Carter Smith/Bloomberg
F. Carter Smith/Bloomberg

Starbucks Mobile Ordering

Despite being a clear success in mobile payments, Starbucks has never implemented an NFC payment process in its stores. Instead, the coffee chain is pushing ahead with cloud-based alternatives, most recently bringing its mobile order-ahead capability to all of its company-owned U.S. stores.
p1a02mek1397u112k1ni4110d125rd.jpg
Using smartphone in a market or department store, closeup image.

Carrier Billing

The carrier billing company Boku is also targeting the order-ahead process, with an emphasis on adding remote purchases to the shopper's phone bill. "If you are not directly paying at a cashier or at a ticket agent ... why not use carrier billing?" said Adam Lee, chief product officer at Boku.
p1a02mek0t1214smud6o1p3ac0l7.jpg
An attendee demonstrates a Motorola Solutions Inc. Moto 360 watch running the latest edition of Android software for a photograph during the Google I/O Annual Developers Conference in San Francisco, California, U.S., on Wednesday, June 25, 2014. Google Inc. unveiled a new version of its Android software for smartphones and other devices as it battles Apple Inc. to be the foundation for mobile technology. Photographer: David Paul Morris/Bloomberg
David Paul Morris/Bloomberg

Wearables

Many smartwatches don't have NFC, but they have full access to a data connection, making it possible to initiate payments for things like meal orders. Google demonstrated such a capability when launching its Android Wear platform in 2014.
p1a02mek12155p1m2t1laddoa177rc.jpg
Man and woman are ordering food using smartphone and tablet pc in restaurant.

Dining Payments

Restaurants face unique challenges in determining how to accept EMV-chip cards, which are largely incompatible with the widespread practice of handing a card to a waiter and adding a tip after it has been swiped. Companies like MyCheck are pitching their mobile apps as an alternative that is less disruptive to dining establishments.
p1a02mek0uc401nv41nts3me1rgh9.jpg
Illustration of modern vector atomic bluetooth icon

Beacons

Bluetooth beacons, which are small devices that can communicate with a retailer's mobile app as customers walk throughout the store, are better suited for marketing than payments. But some are already looking to expand its capabilities, including beacon vendor Piper.
p1a02mek111jjc12tvvmr1k7piiib.jpg
Money and smartphone in the pocket of jeans
PAVEL POTAPOV

Cash Meets Mobile

Most mobile payment systems still rely on credit and debit cards as funding sources, thus creating hurdles for the unbanked. Companies like PayNearMe are expanding their mobile capabilities to make it possible for cash-based consumers to shop online and pay their bills.
p1a02mek0veuei031kturj9tba.jpg
Modern gray button with blue glossy area for icon.

Buy Buttons

In-app "buy buttons" are rising in popularity as a way to blend payments seamlessly with other products, including social media and e-commerce platforms. The in-app purchasing capabilities of Apple Pay and Android Pay are fueling this trend.
Technology Disruptors Mobile payments
MORE FROM AMERICAN BANKER