Mobile Payment – When Will it Really Happen?

The end of 2010 and start of 2011 was the beginning of huge growth in the technology industry. Smartphone usage soared, as did qr codes and mobile commerce. In fact, eBay reported that in the 2010 holiday shopping season, their mobile sales in the US grew by over 134% compared to the same time last year.

As mobile commerce continues to expand on phones
and tablets, I’m also wondering about mobile payments.

Consumers seem to have gotten comfortable with the idea of using their mobile device as part of the shopping experience—to buy, compare prices and get deals—yet, mobile payments have yet to really catch on. Earlier this summer, we discussed that mobile payments will really take off by 2013 on a national level, but do we really have to wait that long?

I’m hoping that the 2011 holiday shopping season marks the beginning of common retailers offering the service, either via NFC and/or barcodes, but the holiday season will be here before we know it and there are still a lot of concerns.

One concern for retailers and marketers is that a lot of smartphones will still not be NFC enabled, meaning they will have to come up with a hybrid solution using both barcode and NFC technologies. A major concern for consumers is privacy. How will this new form of mobile payment protect our identities, particularly if an all NFC-based solution is used? The video below details how easy it would be to steal someone’s credit card number or worse, their identy:

What are your predictions for the 2011 holiday season and mobile payment—will it take off or not even launch? And how concerned should we be about security? Share your thoughts by commenting below, or on our Facebook or twitter pages.