To promote mobile credit card processing technology, Google has adopted a system that includes travel cards, gift tokens, loyalty schemes, gift cards and prepaid cards, according to The Register.
With these value-added services, Google could move ahead of the competition to deploy the first and best mobile wallet system, according to Seeking Alpha. The company’s partnership with a mobile payments technology company also brings a number of established accounts to the network, which will boost the system’s users.
This move also means that Google’s platform would have the ability to combine loyalty programs and virtual custom gift cards, bringing extra convenience to users. They would only need to carry one device that contains that information from all of their cards for more seamless transactions. This synthesis of payment methods could put the digital wallet one step ahead of near field communication (NFC) technology as the lead contender in mobile payments since NFC only transmits credit account information to a card reader.
Offering virtual gift cards could yield strong sales for the company. E-gift cards are an emerging market, representing 4 percent of all current revenue, according to a study by First Data. By next year, the market is expected to surge to $8 billion and by 2014, it could reach as high as $11 billion.Back To Blog