First, we saw people moving out of traditional norms of paying in cash into paying through internet banking and credit and debit cards. Then, again, due to the constant revolution in technology, we saw a new player’s emergence: mobile wallet apps.
Today, mobile wallet apps seem to be dominating the online payments market.
While there is no precise definition of what a mobile wallet is, a mobile wallet stores cashless money and card information digitally in the simplest terms — just like how a physical wallet stores cash and cards.
It is a digital solution that allows individuals and businesses to send or receive money through their smartphones without accessing the physical card.
However, this does not mean that because mobile wallet apps are mainly connected with money, they’re only helping the finance industry grow. Many industries are leveraging mobile payments technology.
Which industries can benefit from a mobile wallet app?
As mentioned above, mobile wallet apps are helping various industries it including:
- E-commerce and retail
Nowadays, e-commerce, as well as retail businesses, are using mobile wallet payment to its fullest. Most businesses allow making payments through loyalty cards, coupons, bonuses, and much more.
On the other hand, retail businesses offer QR codes to let users pay their bills using mobile wallets. Global mobile retail spending amounted to $1.36 billion in 2017, and it is expected to reach $3.5 billion in 2021 worldwide.
Today, most telecommunication companies have integrated in-app payments to allow their customers to pay bills within their mobile app. Some telcos also allow users to send or receive money through a mobile app.
- Event, food, and grocery
From ordering food to paying for movie tickets and shopping in a supermarket, mobile wallet apps have made customers’ life a lot easier in today’s hectic and busy world. Most food, event-booking, and supermarkets provide mobile payment services for cashless transactions.
Mobile wallet regulatory requirements
Before you start building your mobile wallet app, you first need to assemble a good legal team that knows mobile wallet regulations. Now, these regulations vary extensively from country to country. Therefore, you’ll have to be up to date about all the regulations in your country.
For example, you live in the US, and you want to launch a mobile wallet app. You can start by reading this article on mobile payments in the United States by the Washington Journal of Law.
Similarly, if you’re from the UK, you can go through the UK finance website to determine their mobile wallet regulations.
For any other country, please seek the help of a local legal team.
In a nutshell, you must be prepared to meet the PCI (Payment Card Industry) Security Standards in whatever way they may apply in your chosen country. To learn more about these standards, please visit the PCI Security Standards Council Website.