Mobile payment technologies have been in development for many years now starting with the Square Card Reader and app to easily process credit card payments and even gaining a contract with Starbucks to process all of their payments. Paypal shortly followed suit, releasing their own card reader and app for processing payments which syncs seamlessly with the vendors Paypal account, but the goal isn’t just to process credit cards but to process complete transactions using your mobile phone.
Google has even released their own system called Google Wallet that is already in use in over 200,000 vendors. NFC and QR are two technologies that could make this possible. NFC communicates wirelessly with other devices to process transactions, transfer data or even for keyless entry of buildings or cars. QR is more traditional, it reads a barcode-like image to send users to a website or prompt a transaction which can then be completed on ones phone. These new technologies are not without drawbacks. There are security concerns with NFC —while thieves may not be able to steal your credit card physically, they may be able to steal your information electronically. To learn more, check out this infographic from Merchant Warehouse.