Discussions about mobile payments often veer off quickly into technology discussions, for all sorts of logical reasons. There’s a lot of underlying technology involved, and contestants do not completely agree about which approaches make most sense, or which implementations of the approaches.
Sam ShraugerPayPal VP, says the community spends way too much time talking about technology, instead of user experience. He’s right, of course. He’s also arguing from PayPal’s approach to the business, which is to support multiple technology approaches.
“The entire debate raging before us is completely missing the point,” he says. Unless we can uncover some clear value proposition for end users, the whole discussion is pointless. Mobile Payments Not About Technology
There’s a reason for PayPal to take this position. It is a payment processor, by some surveys ranked right up there with Visa, MasterCard and American Express in terms of trust. A payment processor does best to support all payment front ends, since it makes money from the volume of transactions.
When Ogilvy Mather asked 500 online Americans that brands they would certitude with their mobile payments, recognizable payment brands were at the top of the list.
Respondents indicated they would trust the top financial brands such as Visa (39.6 percent), Mastercard (35.9 percent), American Express (35.8 percent) and PayPal (34.3 percent).
Meanwhile other well-noted brands not related with financial services, such as Apple (22.9 percent), Microsoft (22.3 percent) and Google (19.5 percent), were relatively less “trusted.”
Those polled for the survey were also more likely to trust the United States Postal Service with mobile payments than Apple, Microsoft or Google. Among iPhone owners, Apple scored much higher, but still doesn’t exceed their trust in credit-card companies.
Survey respondents selected Facebook as the least-trusted brand on the set list, with only 12 percent expressing trust. While eBay scored low, its PayPal payments brand wasn’t far behind the credit-card companies, with 34 percent of respondents expressing trust.