The PAYTECH Book

PIN on Mobile – A Pivotal Moment for Payments

By Nigel Dean

Head of Marketing, MYPINPAD

In this chapter, we introduce a new technology which removes barriers to entry for smaller merchants wishing to accept card payments that fully satisfy today’s increasingly mobile consumers, while also providing a platform for larger merchants to enrich the purchasing experience.

The Transforming Payments Landscape

2018 was a tumultuous year for the UK payments industry, with new regulations such as the second Payment Services Directive (PSD2) driving innovation and changing the way we pay for goods and services. Customers’ search for a seamless, personalized, yet secure payment experience has been a dominant feature of the payments scene over the last few years, and it is certain to drive a significant transformation in how the check-outs in bricks-and-mortar shops across the UK work in the future.

A good example of this is the boom in the use of contactless payments in the UK since their launch by Barclaycard in 2007. Some 63% of consumers across the country used contactless as their preferred payment method in 2018 – attracted, no doubt, by a seamless, convenient and fast experience. The adoption of this method of payment shows no sign of slowing down any time soon – in fact, in-store contactless payments are projected to reach US$2 trillion by 2020.

The rise of contactless has also led to a breakthrough for alternative payments like mobile wallets. More and more younger consumers are ...