Skip to main content

Savvy Retailers Deploy Mobile Checkout Technology

Major retailers can no longer solely rely upon their in-store point-of-sale (POS) terminals for transactions. They must quickly evolve their POS strategy to offer both online and mobile payment options to customers, that's according to the findings from the latest market study by Informa Telecoms & Media.

Retailers that offer multiple payment options -- including a mobile checkout facility -- will be able to serve more customers and reduce loss of sales due to the busy shopper's reluctance to wait in line, especially during the holiday season.

The use of mobile POS terminals can help retailers to serve more customers during busy times and issue paperless receipts to customer e-mail addresses, rather than making customers wait in long lines to pay at fixed POS terminals.

During the 2012 Christmas holidays, lifestyle brand Alex and Ani implemented mobile checkout technology in several of their U.S. stores and witnessed an impressive 318 percent increase in sales just from transactions processed by sales associates carrying mobile POS terminals.

"Many retailers have now deployed, or are in the process of deploying, mobile POS terminals," says Shailendra Pandey, a senior analyst at Informa Telecoms & Media.

Unlike a few years ago, many vendors are now offering mobile POS terminals and support services. These vendors are also offering attractive incentives to merchants and retailers to upgrade their old terminals with new mobile POS systems.

Retailers, especially the big supermarket chains, are eager to reduce POS staffing costs and are introducing self-service checkout counters. In the longer term, adoption of NFC- and cloud-based mobile payment services could reduce the retailer need to have many checkout counters.

Shoppers could scan the items they want to buy using their mobile phones and pay for their shopping by simply waving their phone in front of an NFC reader, or by using a cloud-based mobile payment service.

Other interesting alternatives to enable brick-and-mortar retail payments are now also available -- including services based on a plug-in card-reader such as Square, mPowa and Ezetap.

Mobile POS provider Payleven has launched a chip-and-PIN POS terminal in Europe that links to a smartphone or tablet using Bluetooth. The device has been certified by both Visa and MasterCard.

Informa estimates that by 2016, over a billion mobile subscribers will be remotely buying physical goods and services via their smartphones every month. Also by 2016, about 1.1 billion users will be actively using mobile local payments in retail stores and on public transportation networks.

Popular posts from this blog

The Billions Bet on Tentative AI Demand

Gartner's latest worldwide IT spending forecast exposes a trend every CIO has already felt in budget negotiations. Total spending will climb 14.2 percent in 2026, reaching $6.37 trillion. It seems that the IT infrastructure market is simply having a strong year. However, the more useful insight is how unevenly that growth is distributed. The Headline Number vs. The Real Story Data center systems and infrastructure as a service (IaaS) are absorbing capital at a pace several multiples faster than devices, communications services, and traditional IT services. This is not incremental growth spread across a healthy portfolio. It is a wholesale reallocation of enterprise technology budgets toward AI infrastructure, made on the expectation that demand for AI workloads will justify the outlay before that demand has been fully proven. Where the Money is Going Data center systems are forecast to grow 62.5 percent in 2026, that's up from 51.6 percent growth in 2025, reaching $822 billion....