So far, mobile payment software has been the world of hardware and software manufacturers like Apple, Google and Samsung. Now, a major credit card issue is about to step into the ring.
JP Morgan Chase announced recently that it will introduce Chase Pay in 2016. Chase enters a market that has yet to catch on in a large extent, but may just have the means to compete where Apple Pay, Android Pay and Samsung Pay fall flat.
As manufacturers, Apple's, Google's and Samsung's mobile payment applications are only available on the devices they produce. This immediately limits their range, as Apple Pay really can't compete with Android or Samsung Pay because the consumer's only choice is limited by what phone he or she has. Chase, as a third party, can come in and offer an alternative on both platforms.
Chase also has another advantage. As one of the largest issuers of credit cards, they can ensure that their cards will only be compatible with Chase Pay, helping drive customers to the platform.
As part of the announcement, Chase will enter the Merchant Customer Exchange, which includes major retailers such as Walmart, Target and Best Buy. As part of the change, the companies will promote Chase Pay by placing its logo on their website and mobile applications, informing customers that the they accept the platform.
Chase chief executive of consumer business Gordon Smith told Reuters that his company may even drop transaction fees for specific retailers based on the number of purchases made with through the application. "As merchants give us more business, we will give them better pricing."
If your company is in need of a new credit card payment processor, be sure to shop with 911.