cibc signs on for mobile payment app backed by big wireless carriers - credit card case wallet
CIBC has become the first major bank to participate in suretap, a mobile payment system supported by wireless carriers Bell, Rogers, Telus, Koodo and Virgin.
In an agreement announced on Monday, the bank said it will allow consumers to store any CIBC Visa or MasterCard credit cards on the suretap app so they can use their smartphones
In 2015, Deloitte predicted that smartphones are changing the way you pay stuff. Rogers launched the suretap app 8 months ago, initially for gift cards from Rogers Prepaid MasterCard or a range of merchants such as Swiss cabins, milestone barbecues and bars, Harvey, indigo or Ardene.
Now, Telecom has persuaded other carriers to adopt the same app and split the Suretap wallet into a separate company.
Consumers can use the app to pay up to $100 for purchases with any Android or BlackBerry smartphone.
Todd Roberts, head of payments innovation at CIBC, said that all telecom companies are involved in a system, which is important for CIBC to choose suretap.
"Customers don't have to worry about whether it's Rogers and Telus," he said . ".
The mobile payment tipping point predicts a tipping point where more and more payments will be made through mobile payments and says that the CIBC will enter the market in the new mobile system
"Our goal is to make sure that we provide choices for our customers," he said . ".
CIBC launched a mobile banking app in 2010, and launched its own-brand mobile payment app in 2012.
Jeppe Dolph ofSuretap said the point of use of the appof-
Many large Canadian retailers have adopted sales infrastructure such as Loblaws, Starbucks and Tim Hortons.
"About retailers in Canada have this infrastructure, which is the biggest part of all transactions today, so the actual use of this facility by consumers should not be a problem anywhere they go today, he said.
Dorff expects further deals with other Canadian banks later this year.
"The approach we take is that today we will copy anything in your physical wallet in the virtual world," Dorff said . ".
He won't say how many users suretap has, but he says it plans to launch some promotions to attract smartphones --
The mobile payment market is becoming more and more crowded, with multiple applications available, and the potential dominance of Apple payments will still be available in Canada.
For merchants and consumers, there is a series of confusing options
Should they choose one of the apps on the market right now or wait until there is a clear leader that is widely accepted.
Suretap is a password protected by encryption technology, and Roberts says encryption technology is the same as security on any credit card.
Robert Smythe, IDC's mobile payment expert, says it won't really explode until mobile payments are combined with loyalty programs.
"There must be a reason why I want to use my phone instead of plastic?
The reason is that the phone will allow you to integrate loyalty payments with the mobile payment process.
"Then you have something worth it," he said . "
"So when you go to the store and they ask you for loyalty cards, you say on" I forgot to be at home ", in this case, this is because the product card will be integrated with the payment process.