Pay with mobile phone
published : 2 Sep 2011 at 20:21
Long lines at banks and stores will soon disappear with the new NFC mobile payments technology.
Photo above shows that from Google to Starbucks to grocery stores, NFC-enabled mobile phones will soon allow users to pay by swiping their smartphones.
Read the companion article Open platform the future of NFC.
Click button to listen to Mobile Payments to download
TECHNOLOGY: Younger consumers who grew up using digital devices will be the main drivers behind mobile payments using NFC technology by Suchit Leesa-nguansuk
Someday soon, consumers will use their smartphones to buy a car as well as receive special low-interest financing on the deal thanks to remote mobile payment services...
"By 2015, mobile phones will have become the primary banking channel, followed by the internet, ATMs, call centres and branches," said Brett King, author of the best-seller Bank 2.0: How Customer Behaviour and Technology Will Change the Future of Financial Services.
Bank branches will no longer be the core service centres for customers.
He said banks will continuously reduce the extent of office operations until they become more for back-end services...
...banks' mobile banking services are limited largely to basic balance checks.
But this means banks have been missing out on opportunities to sell cross-services and seek new revenue...
...He said near field communication (NFC) technology will turn smartphones into mobile wallets, boosting mobile banking payments in turn.
Shoppers with credit or debit information stored in their NFC-embedded smartphones will pay for purchases by waving the handset past a card reader or tapping it.
Mr King said central ID repositories or even biometrics could be used for fraud prevention.
Many global players have started jumping on the NFC mobile payment bandwagon including PayPal, Google Wallet, payment system provider Verifone and credit card issuers Visa and MasterCard.
"In the Asia-Pacific, more than 2 billion mobile users still have no bank account. That's a significant number for the technology to tap into potentially," said Mr King.
He said Thailand should begin with a prepaid phone and debit card account as primary tools for mobile payments.
The global research firm Gartner Inc said the number of mobile payment users worldwide is expected to reach 141 million this year, up by 38.2% from last year
The value of mobile payments will amount to US$86.1 billion, up by 76% from last year.
"We believe mass-market adoption of NFC payments is at least four years away," Sandy Shen, Gartner's research director, told the seminar...
...To reach mass adoption, NFC smartphones will have make up at least 20-30% of the units in service, he said.
Mobile payment is popular now in Japan, South Korea and Hong Kong.
But while NFC technology deducts amounts straight from customers' bank accounts, the mobile system still used in most places involves topping up a SIM card, then sending an SMS and maybe following more steps.
Mr Pratthana said NFC in Thailand will initially focus on niche segments, with mobile payments made in small amounts for everyday products such as coffee or mass-transit fare...
(Source: Bangkok Post, TECHNOLOGY, Younger consumers who grew up using digital devices will be the main drivers behind mobile payments using NFC technology, 31/08/2011, Suchit Leesa-nguansuk, link)
Mobile Phone Technology Vocabulary
Near Field Communication (NFC) - a technology that is expected to soon become widely used for making payments by smartphone in the US, "shoppers who have their credit card information stored in their NFC smartphones can pay for purchases by waving their smartphones near or tapping them on the reader, rather than bothering with the actual credit card," "allows for simplified transactions, data exchange, and wireless connections between two devices in close proximity to each other, usually by no more than a few centimeters" (See Wikipedia but note, the technology is not entirely secure yet)
mobile payment - paying for something with your mobile phone (See Wikipedia)
mobile banking payments
remote - far away, distant ไกล
remote mobile payment - can be far away from the bank and store and still make a secure and safe payment (in the past, had to go to bank, withdraw money, walk to store, pay for purchase)
mobile wallets - the name of a "mobile payment" technology (See Wikipedia)
smartphones - mobile phones that offer advanced features so they become a lot like a computer (See Wikipedia)
NFC-enabled mobile phones - mobile phones that have NFC included
pay by swiping their smartphones - move your smartphone over a reader to pay by credit card (instead of the normal moving credit card over reader)
credit - adding to an account เครดิต (accounting term)
debit - subtracting or taking away from an account (accounting term)
X embedded in Y - technology X is located inside Y
NFC-embedded smartphones - NFC technology located inside the smartphone
credit or debit information stored in their NFC-embedded smartphones
bank account - the place with a number where you keep your money in a bank
deducts amounts straight from customers' bank accounts
bank account balance - how much money you have in your bank account
check bank account balance - looking to see how much you have in your bank account
balance checks - same (a "noun phrase" instead of a "verb + noun phrase" as in the previous phrase)
consumers - people who buy things (individuals and families)
main drivers behind mobile payments - the main thing that is getting people interested in using mobile payments
interest - payments made for the use of another's money for a period of time
low-interest financing - pay for something you buy with a loan (and the loan has a low interest rate)
X thanks to Y - X because of Y (example: I can buy a new mobile phone thanks to the large bonus I got this year.)
primary - first and most important
channel - a way of communicating with people or getting something done ช่องทาง
primary banking channel - the main way to do your banking
call centres - large centers that answer the phone for other companies (and provide services such as giving information, making sales or booking reservations for hotels or air flights, etc), note: Thailand's neighbor fellow-ASEAN member Philippines is a world leader in call centers (See Wikipedia on call centers and call centers in the Philippines)
core - most important แก่น สิ่งที่สำคัญที่สุด
core service centres - the main places where banks provide services to their customers
extent - size ขนาด
reduce the extent of office operations - reduce the amount of work done in the office
back-end - the part of a business that does not meet and deal directly with customers (examples: computer processing of orders, billing and accounting)
opportunities - 1. benefits or profit that it is possible to get; 2. situations in which it is possible to do what you want or need to do
missing out on opportunities - had an opportunity but lost it
cross-selling - the activity of selling other products or services that your company or another company provides at the same time as a customer is buying one product or service (See Wikipedia)
sell cross-services - to sell services using "cross-selling"
revenue - income from taxes or business activities รายได้
boosting - increasing เพิ่ม
in turn - marking the next thing happening
handset - the part of a phone that you hold in your "hand"
waving the handset past a card reader - moving the mobile phone quickly past the card reader
tapping - hitting something lightly
repository - a place where something is kept or stored (example: US government gold is kept at a repository at Fort Knox, Kentucky)
central ID repositories - a computer database where IDs are kept
biometrics - technoclogies for identifying people based on their body or behavior, for example: fingerprints, voice, eye, etc (See Wikipedia)
fraud - the crime of international deceiving someone or cheating in order to gain an advantage or benefit การฉ้อโกง การหลอกลวง เล่ห์เพทุบาย (See Wikipedia)
prevention - the act of preventing something, or things that people do in order to prevent something
fraud prevention - technology that stops people from lieing, cheating and stealing money from you
global - throughout the world ทั่วโลก ทั้งโลก all over the world, including the whole world
players - an important company, person, or country in an industry ผู้ค้าคนสำคัญ หรือผู้ค้ารายใหญ่
global players - important companies around the world that are involved in an industry
credit card issuers - banks that make credit cards available to the public
significant number - a large enough number to be important or have an effect ที่สำคัญยิ่ง
tap into a new market - win customers in a new market
potentially - possible in the future ที่อาจเกิดขึ้นได้ เป็นไปได้
prepaid phone card - the card you use to put money in your phone (postpaid = receiving a bill at the end of the month)
debit card - a plastic card that can be used as money to pay for things, "some cards have a stored value with which a payment is made, while most relay a message to the cardholder's bank to withdraw funds from a designated account... The card can be used as an alternative payment method to cash when making purchases. In some cases, the cards are designed exclusively for use on the Internet, and so there is no physical card. In many countries the use of debit cards has become so widespread that their volume of use has overtaken or entirely replaced the check and, in some instances, cash transactions. Like credit cards, debit cards are used widely for telephone and Internet purchases" (See Wikipedia)
primary tools - the most important tools
Gartner - a US company that does information technology research: "Research provided by Gartner is targeted at CIOs and senior IT leaders in industries that include government agencies, high-tech and telecom enterprises, professional services firms, and technology investors. Gartner clients include large corporations, government agencies, technology companies and the investment community....Gartner has over 4,300 employees, including 1,200 in R&D" (See Wikipedia)
firm - a business or company บริษัม
global research firm - a company that does research as its business (and the company has contracts all around the world)
expected - believe will happen คาดว่า (จะเกิดขึ้น)
mass - large numbers จำนวนมหาศาล
adoption - starting to use a new system
mass adoption - when large numbers of people start using a system
units in service - here: mobile phones that people are using (connected to the network)
make up at least 20-30% of the units in service
topping up a SIM card - adding money to your SIM card (that you can use to buy things)
sending an SMS - sending a text message with your mobile phone
initially - at first, at the beginning ในเบื้องต้น ในระยะต้น
focus - the main thing it is concerned with ให้ความสำคัญ
niche - a small specialized area
market segment - one group of customers with special needs that ads and marketing is directed towards (See Wikipedia)
niche segment - niche market segment
initially focus on niche segments - at first try hard to win customers who have very special needs (niche market segments)
transit - the act of moving from one place to another การเดินทางผ่าน
mass transit fare - the money you pay to take a trip on the bus, subway or skytrain
telecom - telecommunications, dealing with telephones การโทรคมนาคม หมายถึง การสื่อสารทางไกลโดยใช้โทรศัพท์ เคเบิล โทรทัศน์ วิทยุและโทรเลข
generation - a group of people in society who are born and live around the same time รุ่น (คนรุ่นต่างๆ)