The smartphone has changed many markets and how they function. Online businesses, for example, have done their best to create Mobile Payments-accessible websites or even apps specifically for smartphone users. Land-based businesses have also begun to accommodate smartphone users in some ways. For example, many restaurants are moving away from physical menus and using QR codes, which you can scan to get to the menu.
Of course, a major change implemented by both land-based and online businesses is the inclusion of mobile payments. A rather popular example to give here would be online casinos. For example, some excellent UK-based online casinos allows you to make deposits at mobile slots using phone-based payments. But, the question many might ask is, how did mobile payments get to where they are today, particularly in the United Kingdom? That is what we are going to answer in this article.
Mobile Payments Evolution
Throughout the 20th century, cash and cheque-based payments were dominating, not just in the United Kingdom but worldwide. However, something began to change in the 1960s. Credit cards were first introduced to the United Kingdom. Of course, it took time before these thin pieces of plastic took off. In fact, it wouldn’t be until the end of the century that credit and debit cards would become the staple payment method, putting cheques completely out of style.
The card revolution was, and still is, a big deal in the United Kingdom. But, even cards cannot remain forever, especially with the introduction of contactless payments, which have already opened people’s minds to the idea of using alternative methods. In the 2020s, banks introduced bank apps that let you check your card status and even connect your phone to your card. Mobile payments that link directly to your funds were born in doing so.
However, mobile payments that use your debit or credit card are far from the only choices for mobile payments. Cash apps, digital wallets, and even cryptocurrency have all played a huge role in revolutionizing our transactions. Many might ask why mobile payments are growing in popularity now. The answer is surprisingly simple: mobile payments offer many advantages that many consumers enjoy.
The Advantages of Mobile Payments
The big advantage of mobile payments is convenience. There is the idea that men can’t leave the apartment without holding onto their phones, keys, and wallet. However, with mobile payments, the number of things men have to worry about is reduced to two, as you can make a transaction using your phone. Of course, many still prefer holding on to a wallet, just in case they need some cash in an emergency.
Mobile payments are also beneficial for women. Women’s wallets are often designed bigger and bulkier, taking up more space in their purses. With mobile payments, women can free up a lot of extra space in their bags, as all they need to make a payment is their phone. The problem of cash is also greatly reduced here, as a lady can just place a certain sum in her purse without much worry. Convenience is certainly a huge advantage of mobile transactions.
Speed is also a big benefit. Contactless payments significantly reduce checkout time in land-based shops. Not only that, but it is easier to pull up a phone than to take out the cards from your wallet and then slip them back in. Mobile payments are also much faster online, thanks to integrated features like autofill, which help you automatically fill out the pop-up windows requesting information. Not to mention mobile transactions usually process much faster than bank transfers.
Finally, safety and security are big benefits of using mobile payments. It is much easier to track your financial status using mobile apps than websites, as your phone is always readily available. Of course, it also beats going to the bank. As for security, payment apps often use the latest tech, specifically designed to bolster online security. In an era when cybercrime is on the rise, understanding encryption, tokenization, and biometric scanning are key, if you want to stay safe.
The Downsides of Mobile Payments
Where there are pros, there are always some cons worth discussing. No innovation is perfect, and we really can’t expect them to be. But, by understanding the flaws of the latest tech, we can also find the best uses for it. So, let us take a look at the mobile payments’ downsides, starting with the big one; reliance on technology.
As humans, we have a general repulsion towards relying on anything other than ourselves. Yet, paradoxically, we are also the only creatures on the planet capable of creating machines that can make our life better. This fear and repulsion towards technology can be seen in various novels by science fiction writers, like Arthur C. Clarke, William Gibson, and even Mary Shelley. Mobile payments, of course, rely exclusively on technology, which of course, would bother some people.
There are also some problems with accessibility. Not all businesses have jumped aboard the mobile payment train. Some companies don’t even accept credit or debit cards, let alone contactless transactions. So, putting all of your eggs in the mobile payment basket might be a mistake, at least right now. Of course, there is also one last downside, which is the most obvious. So, let us address the elephant in the room.
If you are using your phone solely for transactions, you always run the risk of losing everything if the phone gets stolen. Of course, plenty of people take precautions against pickpockets, but sometimes, one can find themselves in a situation where it is simply unavoidable. In that situation, a person who uses solely a mobile app to make transactions has lost their smartphone and their wallet, which is double the trouble.