Mobile Checkout


As Radio Frequency Identification (RFID) and Near Field Communication are developing, we will see a lot of new potential for these technologies. Radio Frequency Identification (RFID) is an automated identification technology that uses tags to transmit data upon RFID reader queries. Compared to barcodes identification technology, RFID tags provide a unique identifier, which raises concerns over user privacy, such as clandestine tracking and inventorying.


RFID seems to be a technology without limits for the number of areas it can be used in. In recent years, the amount of RFID tags has increased rapidly. The technology is cheap and relatively simple. Most RFID systems are used for logistic purposes, keeping track of products, vehicles and other material. Some are used for security purposes like anti theft systems. Tags are also placed in passports, containing biometric information about the pass holder. In its original version, a RFID tag responds to a reader query with its fixed unique serial number.


As Near Field communication (NFC) being integrated in most of the new Smartphones and most of stores will be 100-percent RFID (radio frequency identification) and Wi-Fi enabled. For example, one consumer electronics retailer designed their stores without traditional point-of-sale registers and queues; instead they equipped their associates with mobile devices designed to process checkout, accept payments and email electronic receipts to customers, right there on the sales floor.


Enter Mobile Checkout


Walmart began testing an iPhone application that could potentially expedite and streamline the self-checkout process. The “Scan & Go” app allows shoppers to do just that — scan their items while they shop and bag them as they go. Once they have finished, shoppers take their cart full of merchandise to a self-checkout kiosk and complete their purchase through traditional payment methods.


The mobile checkout app could save time for both customers and retailers. This will help in eliminating the POS personals and make customers happier. Customer will avoid waiting in line for the regular checkouts.


Walmart, along with Best Buy, Target and Lowe’s, are among the companies that have signed on with the Merchant Customer Exchange, which is developing a mobile application that would allow customers to pay for purchases at participating retailers with their mobile devices.  Walmart recently engaged in a trial involving a new checkout system that allows shoppers to use their mobile phones to scan items as they walk through stores and pay at self-service kiosks, skipping the cashiers’ lines.  Experts say that Wal-Mart can save up to $12 million a year for every second it can cut from the average check-out time at Walmart locations in the U.S.


IBM has developed a new mobile application as well to make shopping a lot easier. IBM’s new Mobile Shopper application is like a personal digital assistant tasked to help make shopping less of a chore and more of convenience. IBM has developed this one for Honeywell; the IBM Mobile Shopper software was designed to help retailers provide a more in-store shopping experience for users of Android and Apple iOS Smartphones.


We can see from the above analysis that Mobile Checkout will replace the traditional multi-line checkout.   Some key players are Google, Amazon, and PayPal


Google Checkout


Google refers to the advantages of mobile checkout as follows:


Expand your reach: Mobile devices are quickly becoming the world’s most popular gateway to the web. Every day, Google hosts millions of searches from users on mobile devices. Now these potential customers can buy from you using Google Wallet on their mobile devices, enabling you to increase your store’s reach, customers, and sales.


No additional work: Once you’ve integrated Google Checkout with your website, there’s no additional work required to allow customers to buy from you using their mobile devices. When a buyer clicks on the Google Wallet button on your site from their mobile phone, they are automatically directed to the mobile version.


Make your site mobile-friendly: Mobile phones display online content differently than computers do. If you navigate to your website with a mobile device and you are not pleased with the way your content appears, there are some things you can do to make your site mobile-friendly.


For more information about Google Checkout, see:


Amazon Checkout


Amazon refers to the advantages of mobile checkout as follows:


Conversion: Improve conversion on your mobile website or application by offering millions of Amazon customers a seamless, mobile-optimized payment experience that allows them to checkout on mobile devices without re-entering their shipping addresses and payment information.


Unique features: Enable customers to complete purchases quickly on mobile devices with unique features like Amazon’s 1-Click, further optimizing conversion.


Easy to integrate: Add Checkout by Amazon to your e-commerce website and mobile website in a single integration. The same back end settings and technology for shipping charges, sales tax, and, order management apply for both your e-commerce websites and mobile websites. If you already use Checkout by Amazon for your e-commerce website, then there is no additional integration work needed to take advantage of Checkout by Amazon Mobile.


Reduced bad debt: Amazon’s proven fraud detection capabilities, chargeback controls, and risk management processes reduce bad debt and lower your costs.


For more information about Amazon Checkout, see:


PayPal Checkout


PayPal refers to the advantages of mobile checkout as follows:


More and more consumers are using mobile devices to shop online, Mobile Express Checkout is easy to integrate and easy to use:


No need for customers to re-enter details with PayPal’s secure, quick and easy checkout service, optimised for smartphones.


Increase mobile adoption and conversion by simplifying checkout with a quick and easy payment option. It uses existing Express Checkout API, so it’s easy to integrate. When you have Express Checkout on your website, we automatically deliver the mobile checkout experience to your mobile customers.


For more information about Amazon Checkout, see:


The Mobile Checkout Impact


There will be a positive and negative impact on the industry when mobile checkout gets deployed. POS manufacturers will lose a great market share along with the credit card vendors. Retails will be using mobile payment more than credit card payments.


Most of the credit card vendors are already getting into the mobile payment area. Even Google introduced their mobile payment system “Google Wallet”. PayPal is also launching its own mobile payment system. These companies will be getting the most of the mobile checkouts.


For more information, see:

About Mind Commerce

Analysis of telecom and ICT infrastructure, technologies, and applications.
This entry was posted in Mobile Commerce and Marketing. Bookmark the permalink.

Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s