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Are you ready for the future of payments? Say goodbye to debit cards and payment terminals

Which payment method does your customer prefer? The answer to this question varies significantly per customer and per country. The common denominator is that payments can always be safer, easier and cheaper. And they must, if you want to meet the expectations of your customers.

future of payments

Mobile: the new standard for payments

Withdrawing money with your debit card and paying via a payment terminal is no longer the standard in payments. New developments in payments have opened up new possibilities. Noor Pierik (Portfolio Manager Payments) explains:

"The customer no longer needs to have a physical card to pay. Why would they, if they can use their mobile phone they have on hand? In addition, the mobile phone offers much more options than a debit card, such as identifying customers, creating customer profiles, in-app payments and payment before the customer walk into the store."

If you sell something - whether it is in the retail or in the catering industry – it’s important to keep one thing in mind. Noor: "The customer is in control. He determines how and with what he pays. Payments are also initiated and completed by himself."

This concerns 'convenience' and 'experience'. Payments can not only be made easier and safer; you can also use it as a strategy to bind customers to you with a unique experience. Let’s illustrate this with some examples.

Starbucks: order system, loyalty program and payments in one app

Coffee chain Starbucks is known as a front runner in customer loyalty through their mobile app. Not only do they offer a large number of payment methods to make it as easy as possible for the customer, they’ve also developed their own payments app. And it has more users than the payment systems from Apple or Google.

The mobile app Starbucks allows guests to pay via their mobile phone at checkout. Moreover, in some locations, guests can order and pay via Mobile Order & Pay. Through the linked account the customer will still receive loyalty points. You can order and pay for your coffee and favorite cookie before you even step into the Starbucks store.

The app shows you previous orders, with endless possibilities to adjust these to your style. In addition, the app shows which store is closest. Place your order with a couple clicks or order your coffee using a voice message. Payment will be automatically done via your linked bank account. Enter the store, and your order will be ready for you as soon as you step in. Paid and ready to go!

Albert Heijn: Tap to go - invisible payments

Also in Dutch retail, invisible payments and mobile only purchases are increasingly being adopted by both the customer and the retailer. Albert Heijn is the biggest supermarket chain in the Netherlands, both offline and online and the market leader for many years in e-commerce. At the To Go stores of Albert Heijn you can buy your groceries without having to take your wallet out of your pocket. The mobile phone or the Tap card with NFC technology allows the customer to scan the digital bar-codes, take the products they need and walk out of the store.

Standing in line before checkout is simply no longer necessary at AH to go. After 10 minutes of inactivity of the app, the balance is automatically debited from the linked and verified bank account.

And because the customer has to create an account first, AH To go has the possibility to build rich customer profiles. This way, AH to go can provide the customer with even better suggestions and loyalty campaigns.

Hema – Alibaba’s New Retail superstore

At Alibaba's Hema supermarket you can do everything with your smartphone. Customers select the products they want to buy and in what quantity via their mobile phone. In the meantime, the products are packed by the employees and will be delivered at your doorstep as quickly as possible. Slogging around with groceries is no longer needed for Hema's customers.

Payment is also made very easy with the AliPay app from Alibaba or with facial recognition directly in the store. The customer doesn’t have to take any action, except choosing what he wants to eat. Can it get any easier then that?

These are just a few examples of smart mobile applications for payments and customer loyalty. The possibilities of mobile are certainly not limited to large chains such as Albert Heijn and Starbucks. Do you want to know what mobile payments offer for your business? Feel free to contact us for tailor-made advice.

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