ZAP,MPESA NOW NFC PAYMENTS

Trust Kenyans to change invent new ways of using stuff. Eunice my local grocer has just put up a new notice just at the door of her shop. For a while now she has been having a re-stocking problem due to the many unpaid bills that her close clients have accumulated.

 

So to avert a sudden closure of her business she has decided to turn to ICT for help.

All her clients have a mobile phone and most probably a mobile money transfer from Zain (ZAP) or Safaricom (M-PESA). So all she wants is to alert her customers that now payment can be done by either service.

 

So she called me to edit her new notice that was well written in caps and on an A4 white paper.

As I looked at it a few customers passed by and made good observation.

‘That is a good idea it will not feel like raiding the wallet soon we will not have to carry our wallets and stuff all information will be in these mobile devices’. Said one of them.

 

And that’s true a lot of interesting stuff is happening in this field especially with the SUV not the vehicles but the Stocked Up Value service that is being used in the Far East.

Since now banks offer mobile banking it becomes inevitable that the mobile device will soon be carrying some money which will allow you to pay for essentials or incidentals.

 

Even for Central banks, when more business and transactions are done by the mobile devices then the requirement of printing more paper money is reduced.

 

Also for the banks, the cumulative growth of credit or debit cards has been good but the uptake of the mobile money transfer has been impressive. Remember African consumers have a love hate relation with banks, but when they go to buy their devices, the ownership aspect comes in and if it can transfer money that’s a sale.

 

With many establishments accepting mobile money payments then the initial fear aspect have been removed. What needs to be done is for the mobile manufacturers to come up with devices that require only one touch (off course that is after security checks) the transfer of a Stock Up Value to a Point of Sale.

 

By using the much touted NFC Near Field Communication; a wireless communication technology over short distances.

Since it uses little energy to transfer small amounts of data that may be required for let say payments for a bus tickets or a few groceries, it can be cheap way to conduct business.

A device that supports NFC can work in active or passive mode. What is interesting is that when it is in passive mode no energy is used when reading out data that is stored therefore meaning it can work when switched off. That is why VISA is mouthwatering when thinking of the possibilities in smartcard application.

 

As for which mobile companies that are investing in this includes SonyEricson, Sony, LG and Nokia.

So folks in just 15 to 18 months when all tests are done, expect to be pointing you device to a receivers and paying for a service.

 

As for Eunice for some reason she started receiving text messages informing her that she has received some money through ZAP or MPESA. Now what she is hoping was that phone had NFC. She would just point at the products and not have to carry a wad of bank notes.

 

 

 

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One Response

  1. The rate at which money transfer is evolving at this point is amazing. I think it is more amazing if you try to relate it to the Bible too.

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