As the single largest retailer in the world, if any store can use their own payment system, it is Walmart. But even if it’s a retail giant, is it really worth it for a store to launch their own payment app?
Walmart’s mobile payment system would allow customers to make their purchases through a smartphone app. The app could take major credit or debit cards, or the company’s own gift card.
Walmart began testing this payment system last week at locations in Arkansas. By early next year, Walmart is set to begin using the app — called Walmart Pay — in all of its American stores.
Walmart Pay will join Apple’s tap and pay system, as well as Google’s Android Pay and Samsung Pay. Apple Pay will be available in American Cinnabon locations next year, and Apple will also be starting a pilot program with Starbucks as well. Domino’s pizza stores will see Apple Pay in their locations by the end of this year, and KFC will receive it next year.
It remains to be seen how Walmart Pay will fare in comparison to its competitors. So far, Walmart’s app attracts 22 million monthly customers. After customers download the app, they choose a payment option that they plan on using at the register. Once they are ready to purchase their items, they open the app and turn on its camera. The camera will scan a QR code, and connects the phone to the items that they wish to check out. An e-receipt will then be sent to the app.
Many shoppers might be wary of using the Walmart app and have security concerns about their payment information. However, Walmart says that they do not store card information on one’s actual phone — rather, the card number information is still at what the company calls a secure data centre.
For more on this story, please visit The Globe & Mail.
Featured image source: AgileBits Blog