Commonwealth Bank racing away in the mobile payments game
Following its successful launch of NFC-capable iPhone app Kaching last year, and a follow up Android version last month, the Commonwealth Bank of Australia (CBA) has strengthened its intent on being first-to-market with mobile payments offerings.
Finextra is comparing the Australian bank to Apple following its latest play, which includes a new tablet device called Albert that acts as a merchant terminal, and the ability to add POS functionality to iPhones and iPod Touches. CBA is also creating an app store, allowing developers to design their own payment apps.
While Kaching and the upcoming Facebook banking mainly cater for consumer payments, these latest launches are also helping the bank take a stranglehold over mobile payments for business customers.
CBA’s Head of Cards, Payments and Retail Strategy, David Lindberg, sees small businesses and tradespeople as important stakeholders in mobile payments, according to the Financial Review. He also saw the role of banks as making mobile and social payments easier for merchants.
“You can expect more innovation to help make payments easier for merchants because it’s a real pain point for them,” he said.
Executive General Manager, Business Products & Development, Kelly Bayer Rosmarin (pictured), echoed that idea, telling The Age "we know businesses want to have richer relationships with their customers but have felt restricted in the ways they can do so."
It’s clear that Commonwealth Bank are spending a lot of money in order to win market share whilst the other banks baulk at their mobile payments strategies.
CBA have spent as much as $6 billion upgrading their core banking system, states The Age.
So how will the other banks respond? How will their respective core banking and payments transformation projects pan out?
More will be revealed at the 18th annual Cards & Payments Australasia event, which will be joined in 2013 by Future Bank Australasia. Enquire about speaking opportunities now by emailing firstname.lastname@example.org.