Hand Over Your Wallet…to Google?
Posted by Steve Kleber on May 27, 2011
Welcome to the Kleber & Associates blog! Hand Over Your Wallet…to Google? .Here’s the latest.
First we bartered, then we used cash, now plastic. What’s the next big change in commerce? How about your phone? If Google has its way, in just a few short years we’ll all be using smartphones to pay for everything from clothes and food to furniture and homes.
Google recently announced the latest installment in its long line of innovations and applications. Google Wallet promises to revolutionize the way we do business by putting our debit and credit cards, coupons, and loyalty cards all in one place, easily used with just one tap of your phone. Google’s vision? To eventually replace wallets with phones. In the future, the company hopes that Google Wallet will store not only all your credit cards, but your gift cards, receipts, boarding passes, tickets, and keys as well! When you’re ready to purchase something with your Google Wallet, simply tap your phone on the payment receiver at checkout. Google Wallet will automatically apply any saved offers you have for the retailer as well as loyalty points.
Google Wallet is designed to make the checkout experience easier and faster for customers, but what does it mean to merchants? Along with Google Wallet, Google is releasing Google Offers, which will allow businesses to send discounts and coupons directly to customers’ phones.
On its initial release, Google Wallet will utilize the MasterCard PayPass system, but Google is working to develop its own SingleTap checkout system. Initially available on certain Android phones, you can be sure Google is working to bring Wallet to every mobile device. And while the digital wallet currently will only use Citi MasterCard and Google Prepaid cards, Google expects to eventually support all cards.
Retailers like Macy’s, Subway, American Eagle, and Walgreens have already signed on to accept Google Wallet, and retailers who currently accept MasterCard PayPass (including Home Depot, CVS, BP, and Office Depot) will also be capable of using Google Wallet.
As more home improvement companies begin to accept Google Wallet, advertising opportunities for home products will rapidly increase. And who knows, someday you could be paying your plumber, electrician, and even your contractor through the convenience of your phone!
Are you ready to trade in your leather wallet for a shiny smartphone? Do you think offers and discounts on smartphones will be an effective way to engage customers?