TW Reads: Mobile Payments

An excerpt from our reading list on the mobile payment industry.

As we’ve mentioned before, we’ve been involved in the mobile payment industry for quite a while. Since we’re keeping track of the most interesting things happening in the industry, we thought there is no reason why we shouldn’t be sharing some of the most interesting reads or announcements in this field with our readers.

Mobile Payment Today – Mobile wallets: will value actually drive adoption?

Despite the collective efforts of some of the largest companies in the world promoting their supposedly superior products, just 16% of mobile device owners have used their phone to make an in-store payment. That’s not exactly a ringing endorsement.

In light of possible announcement by Apple next Tuesday, it’s prudent to analyze why the collective effort of so many companies across continents and nations left so much to be desired when it comes to building a significant mobile payment solution. In an unusual turn of events, Mobile Payment Today – being so often just a press release portal for a similarly named industry – provides exactly that: a poignant analysis.

Link: Mobile Payments Today

Re/Code – Here’s How Amazon Might Take Over Brick-and-Mortar Retail

Broadly, they said the world’s largest online retailer aims to make it easy for a wider array of brick-and-mortar shops to sell on Amazon while giving Amazon shoppers another way to receive orders on the same day they are purchased.

Nothing has stirred up the mobile payment industry quite as much in the recent weeks as Amazon’s announcement to dive deeper into payments. Not only did they release a device and service that is a direct competitor to Square, Paypal and many others, they’re also attempting to do what they always do: compete through a better price. The device is cheaper, the rates are lower. Especially the last part will make it hard for store owners to resist the Amazon offer.

But there seems to be more than that. Jason Del Rey over at Re/Code has been a keen observer of everything Amazon. It almost feels as if he is for Amazon what Kara Swisher for to Yahoo. Always watching, always acquiring a new source. His analysis concludes that not only is Amazon going after Paypal’s business, it is actually all a ploy to get many of those brick & mortar shops onto their platform, enable them to participate in the glorious experience of ecommerce and enhance Amazon’s ability to make same-day deliveries of every-day products. This, obviously, seems somewhat far-fetched and yet not at all unlikely considering the Bezosnian appetite.

Link: Re/Code

Eater – OpenTable testing mobile payments

Restaurant reservations website OpenTable has officially launched a new payment feature on its mobile app that works at over 45 restaurants in New York City.

While OpenTable isn’t a huge operation in Germany, some restaurants still use it. It feels more like a gimmick here. Mostly because the way restaurants operate here and in the US is so different.

In the US on the other hand, OpenTable is a huge thing and they charge a lot, too. It became so bad that many restaurant owners are comparing it to the Mafia and having to pay protection money to the mafia. Effectively, if you’re not on the platform, people are significantly less likely to visit the restaurant. On the other hand, if you’re using OpenTable, they are suffocating you with the cost of using the service.

In this light, you might not hear that many restaurant owners rejoicing after the announcement that OpenTable is experimenting with payment solutions. Especially if you consider that while there are many, many other services in this field, not many are as likely to succeed in it as OpenTable. If they do, restaurant owners will only have to transfer a bigger cut to the service.

Link: Eater

What we read this week (16 Mar)

Our articles of the week: one man’s account of leaving Google, PayPal’s digital wallet, libraries of the future, thoughts on the New Aesthetic and some impressive customer service.

Quotes of the week

You want to have a mind that’s open enough to accept radical new ideas, but not so open that your brains fall out.

Michael Shermer

‘Customers’ are a repeating pattern of behaviour that expresses itself in people.

Faris Yakob

Articles of the week

  • James Bridle: #sxaesthetic
    Great commentary on the New Aesthetic and human collaboration with technology, resulting from a panel discussion at SXSW. With cameo appearances by the Higgs Boson, Kafka and Wikileaks.
  • TechCrunch: PayPal’s New Digital Wallet
    PayPal is looking to “let consumers do things with their money that have never been possible before.” Will these new options prove more convenient, or more problematic?
  • Undercurrent: How Bergdorf Goodman is Killing it in Digital
    Derrick Bradley recounts “one of the most pleasant digital encounters with a brand.” Bergdorf Goodman’s customer service went a couple small steps further than one would expect, making a huge difference in Derrick’s experience.
  • James Whittaker: Why I Left Google
    James Whittaker explains how “sharing” became a bee in Google’s bonnet, and how the ensuing social-oriented projects eventually led him to leave the company.
  • Rachel Coldicutt: The Joys of Having Nothing to Read
    Rachel Coldicutt of Caper gave this talk last year as part of the London Word Festival. Here she tells us why the libraries of the future shouldn’t make it too easy for us to find what we’re after: in other words, why they should “offer you sprouts when what you want is ice cream.”