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How Digital Receipts Benefit Mobile Wallet Adoption

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For as long as people have commenced and completed financial transactions, buyers and sellers have documented these purchases in written records. Paper receipts are a relic of generations of mercantile custom. While these receipts are useful for personal record keeping or keeping the documentation required for tax purposes, hanging on to a piece of paper is an outdated way of maintaining records. A growing number of companies are offering digital alternatives for financial record keeping. But look a little deeper and you’ll see that the ability to store receipts electronically just scratches the surface of the benefits they bring to mobile wallet technology adoption.

It’s easy to take for granted now, but the smartphone is a relatively young technology. When these devices started to find their way into the pockets of consumers, it was only a matter of time before new mobile financial software would ease wallets out of consumer pockets altogether. One of the hurdles that’s keeping mobile wallets from taking off is the failure to take into account the desire, and to some, the need, to keep a receipt to document a transaction.

Receipts are useful for consumers, helping them track their purchases. But they’re also valuable to retailers. Receipts give merchants another way to communicate promotional information to consumers, David Salisbury explains in MobilePaymentsToday. Conveying that information in a digital receipt just makes it easier for the consumer to absorb.

Providing consumers with a way to keep digital records of their purchases should help speed up their adoption of mobile wallet technology, Salisbury says. The challenge for this technology is partly compatibility. There’s a lot of financial software out there and a growing number of merchant payment hardware that this software must work with. That’s where Netclearance can help. We’ve developed software called mBeaconPay that overcomes compatibility issues by working on all smartphones. The technology also easily integrates with the financial networks of all major payment processors. And for those consumers and retailers who value a way of keeping track of transactions, mBeaconPay also supports digital receipts. Don’t let receipts be a barrier to the adoption of new mobile financial technology. Contact us to learn more about what mBeaconPay can offer you. 

The benefits of mobile wallets and knowing the most appropriate one for you

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We all have several cards that we carry on a daily basis. These cards range from several credit and debit cards, loyalty or gift cards, a driver’s license to membership cards for such places as the library or the sports club. If we are to store all these cards in our wallets, they would be too bulky, even though we were to put them in our backpacks, they would still be a load for us.

With all these cards to carry, we all long for that day when we will be able to hold our phone and be able to access all the cards you need for that specific day. Through a mobile app, mobile wallets are taking us a step closer to the realization of that aspiration. The mobile app can consolidate the credit, debit, loyalty and gift cards onto the phone.

However, these mobile wallets have become so many such that choosing the one that fits you well is now becoming a hurdle. One of the ways of determining the mobile wallet that suits your needs is by considering its functionality for different card types as discussed below.

Credit & Debit Cards

Primarily, your mobile wallet should store your debit and credit cards securely. Storing is not enough, but the wallet should allow you to pay with these cards using your cell phone. A good mobile wallet should enable you to store a variety of cards, such as branded cards, national and local bank cards as well as major brands cards.

Loyalty Cards

Almost every store, restaurant, boutique or supermarket you frequently visit will offer you a loyalty card. You obviously want to earn discounts and freebies from these places, but if they all give you a physical loyalty card, you will end up having a hefty stack of these cards. For this reason, you should choose a mobile wallet that allows you to store all your loyalty cards and enable you to track the points in every card.

Gift Cards

According to an article by Robert Teitelman and Lawrence C. Strauss, close to $1 billion in gift card went unredeemed in 2015. Gift cards go unredeemed because some are lost, others are forgotten while in others, unused balances left on the cards after a purchase goes to waste. You want a digital wallet that will help you spend every coin on the cards.

At Netclearance we offer the mBeaconPay, a turn-key mobile payment smart terminal and software solution which is a perfect match for all your mobile wallet need.

Branded Mobile Wallets Help Banks Retain Their Customers’ Loyalty

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According to Pew Research Center, two-thirds of Americans now own smart phones. For 7% of Americans, that is the only way they access the Internet outside of work. And it's more true of younger adults, 15% of them, than for the older population, who use personal computers or laptops.

Therefore, it's only logical that major brands want smart phone users to use their mobile wallets. Starbucks is the clear winner and model for success that other companies wish to emulate. This article in Mobile Payments Today wonders whether discount stores such as Wal-Mart, Target and Kohl's can achieve the same success.

Starbucks launched its mobile wallet in late 2012, and now processes 21% of their orders through it. 16 million customers use it.

According to Financial Brand technology companies such as Google and Samsung want a piece of this huge market as well.

And banks and credit unions are not ready to yield the financial services sector either, especially since they are rolling out ATMs that use mobile phones instead of plastic cards to make transactions.

However, for consumer companies, using a tech company's mobile payment solution is not optimal. Wal-Mart wants its customers loyal to Wal-Mart Pay, not Apple Pay or Android Pay. Nor do they want customers to think of Bank of America or their local credit union.

Just settling up the branded mobile wallet app on their phone engages the customer with the brand name. Decades of advertising and marketing experience has proven the more consumers think or interact with a brand, the more loyal they become to it. It's the principle of consistency. After installing the Wal-Mart mobile wallet on their phone they're more likely to go there than to Target on their next shopping trip.

15% of American consumers used a mobile wallet in the last half of 2015. 22% expect to do so in the first half of 2016. Obviously, this market cannot be ignored.

The consumer brands have one advantage the banks and tech companies can't match. Like Starbucks, they can attach a loyalty rewards program to reward them for shopping at that store and for using the mobile wallet. Therefore, they can feel virtuous for saving money in the future.

It's also likely that in the future consumer brands will partner with technology companies and banks, as Starbucks has done with Chase Pay, because some consumers may prefer to use one wallet to handle all their payments.

Netclearance Systems Inc offers turnkey wireless sensor and mBeaconPay technologies that enable both merchants and banks to bring out their own mobile wallets for their customers. Because mobile wallets do help retain customer loyalty, consumer businesses and banks need to offer their own branded options before their customers begin using Google's Android Pay or Apple Pay.

Nordic Countries Becoming Cashless Societies?

Denmark and Sweden are on the way to becoming Cashless Societies in coming years. In another post this blog addressed recent news in Denmark, where they are considering legislation that would allow select benefits to refuse cash payments.

Now, Sweden has taken another step to make cash less of a necessity and more of a burden. Their banks are making it harder for Swedes to hold onto cash. 

The Sverige Riksbank, Sweden's central bank, recently decided to keep its benchmark interest rate at -0.35%. The banks they lend to actually lose out by holding onto the money. Retail banks have not yet imposed negative interest rates, but they might. The cost of that negative interest lending has to be soaked up or passed on to businesses and individuals. 

Swedish retail banks are encouraging people to move away from cash in other ways. Swedish banks have also started to remove cash ATMs in rural areas. If people aren't using much cash, they must not need the ATMs. This move roughly corresponds with a drop in the amount of cash in circulation. 

A Business Insider article reports that the value of paper Kronor in circulation has dropped, from about 100 billion in 2009 to around 80 billion in 2014.

In a relatively cash-free Sweden citizens will have to either spend money or let the bank take it, in the form of negative interest. They'll likely spend their money, electronically, spurring economic growth. 

In short, Sweden is using less and less cash in an environment. Negative interest rates are a reality for banks and a real possibility for businesses and individuals.

Smart Mobile Loyalty Strategies Boost Customer Engagement and Profits

One simple yet powerful strategy at the forefront of any successful business is that company's customer loyalty program.  With such a strategy returning customers are rewarded for their patronage, often with a tremendously discounted, or sometimes completely free, item of the customer's choosing.  Now companies can take that a step further and, with the aid of today's technology, implement a mobile loyaltyprogram.  Exactly what is that?  Let's find out now.

General Definition

A mobile rewards program is basically the same thing as a typical customer loyalty rewards program, the difference being the customer utilizes it through their SmartPhone or tablet.  Nowadays a high percentage of the public uses some form of mobile technology, including for payment methods and customer rewards programs. 

Why Use a Mobile Customer Rewards Program?

The biggest reason is that it is more convenient for the customer than carrying around a card in their wallet.  Instead that business' rewards system is used by something they carry anyhow - their mobile phone.  Rewards points are accumulated in the same manner as with a physical card but are stored on, and cashed in from, the person's mobile device.

Advantage for Businesses

Having a mobile customer rewards program is great for business because it makes it easy for customers to use it.  This is a huge incentive for them to keep returning time and time again.  They do not have to waste time searching for a physical card.  Instead they can pull out their phone and press an app button for that merchant.  Your business will be treating your customer's phone as a loyalty rewards card. 

How Does This Type of Program Work?

You set up an attractive-looking kiosk inside your business that invites your customers to come over.  When they do, a friendly employee will encourage them to participate in YOUR business' mobile customer loyalty program.  As an added bonus your business can offer them the option of receiving pertinent text messages that are related to your program. 

Netclearance offers a turn-key mobile loyalty program called  Bounty  that can kick-start your mobile loyalty initiatives with a low-entry cost and support for the major mobile platforms. Contact us and visit www.bountyusa.com to request more information.