Contactless Payment – Why make use of it?

sNFC vs. RFID for contactless payment

Before the overwhelming effect of COVID-19, contactless payment accounted for a fraction of transactions done in modern retail stores. As businesses begin to reopen and adapt to a more germ-conscious environment, contactless payments would emerge an essential solution to have at hand.

The demand for contactless payments will continue to rise as customers look for flexibility in payment, there would be a need for more business owners to step up and own a point of sale (POS) solution that can comfortably incorporate contactless technology. Now, you might be wondering what contactless payment is and how it benefits your business. Let’s dive in!

What Is Contactless Payment

Contactless payment is a secure method for consumers to purchase products or services using a credit, debit, or smartcard that uses near field communication (NFC) technology. As the name suggests, it doesn’t require any physical contact between the customer’s smartphone or credit card and the POS.

How Does Contactless Payment Work?

Understanding the Universal Benefit of Contactless Payments

Contactless credit cards typically come with a chip in them that emits radio waves – a wireless radio antenna known as radio frequency identification (RFID). The chip is built into the plastic to secure the connection with a contactless reader. The RFID technology allows the card and compatible devices to communicate with the POS.

To make a contactless payment, all you need do is tap your card near a Point of sales terminal that has a contactless payment technology embedded in it. Contactless payments do not require a personal identification number hence transaction sizes on cards or devices are limited. The amount allowed per transaction varies by country and by the bank. Banks like UBA and First Bank have a tap-and-go system for customers. Example of non-debit card contactless payments includes Apple Pay, Samsung pay, google wallet, etc.

What are The Benefits Attached to Contact Payment?

To Businesses 

Competitions are always springing up in business. By adopting this payment technology, you are future-proofing your business. At the same time, you are meeting the demands of the digital-savvy customer. Contactless payment is a lot quicker than other traditional forms of payments. It helps keep lines shorter, processes more transactions, and overall ensure happy customers.

To customers 

It has become the norm to use apps for completing transactions. It is valid but here are reasons why you shouldn’t and instead turn to contactless payment:

1. for certain transactions you won’t spend time entering your PIN as your phone lets you pay for items without need for you to go through your wallet

2. there are security measures that limit the number of transactions you can make before having to enter your PIN.

3. Using contactless payment requires authentication which makes it hard to hack. In a contactless payment, the data associated with your credit card on file is encrypted and constantly changing. So even if fraudsters were to infiltrate a system, the data they will find there would be useless.

4. With everyone worried about safety, contactless payments reduce significantly the need to exchange cash and risk the spread of the virus.

Where can I use contactless payments?

Contactless technology is becoming more and more widespread, which means you’re able to use it in several places – restaurants, various shops, bars, cafes, and even automated services such as vending machines.

Some countries also allow contactless to be used on public transport – for example, in South Korea, you can use your phone or contactless card for buses, tubes, and more.

Are You Ready To Go Contactless?

Regardless of your business status post-COVID-19, if you want to drive traffic and adapt to customers evolving preferences in a world where health and safety have taken precedence, design your store to be inclusive of multiple transaction types, especially contactless. Improve the shopping experience of customers with Omega software contactless features. We can help you provide your customers with flexible, contact-free options. Contact us via pos@posshop-ng.com.