BROOKFIELD, Wis. (8/19/14)--Credit unions and other financial institutions can dive into the mobile payments world right now by offering members the four most-frequently used mobile payment services, according to a white paper from Fiserv, a Wisconsin-based financial technology solutions firm.
By building a mobile-payments strategy that focuses on "The Four Pillars of Mobile Payments," the paper's namesake, financial institutions can position themselves to attract, retain and strengthen relationships with current and prospective members and consumers who already use the mobile channel, including Gen Yers, the paper argues.
The pillars, or popular services are:
- Paying Self: Mobile deposit and funds transfer capabilities;
- Paying Other People: Person-to-person payments to individuals and groups;
- Paying Billers: Payments to a biller either through a financial institution or biller; and
- Paying Merchants/Retailers: Purchases via mobile proximity payments, cloud or online with apps and mobile websites.
"Due to their trusted relationship with consumers, financial institutions have a distinct advantage over non-bank competitors as the mobile banking and mobile payments user experiences converge," said Ginger Schmeltzer, Fiserv senior vice president of emerging payments.
"Banks and credit unions that offer mobile deposits and transfers, and that facilitate mobile payments to billers and individuals, will position themselves successfully as the provider of choice for mobile retail payments," Schmeltzer added.
The paper also argues that credit unions and others should invest in the mobile payments industry now, so that it can capitalize on advancements in technology in the future, especially when point-of-sale mobile payments mature.
To download the paper, use the link.