Find the Best Mobile Payment Option for Your Smartphone
Mobile payments will more than triple in 2016, from $8.71 billion to $27.05 billion, eMarketer predicts. By the end of the year, one in five smartphone users will make mobile payments. Several factors are driving this rapid growth, including the increasing number of merchants who accept mobile payments and the growing number of smartphones that feature mobile wallets.If you're looking for the best mobile payments options for your next smartphone, here are some of the best options available today:
Apple commanded a leading 44.2 percent share of the U.S. smartphone market last year, according to comScore. Not surprisingly, Apple Pay maintains the strongest momentum among mobile payment options for American consumers.
Apple Pay is supported by the iPhone 6 and higher and the Apple Watch. It enables you to pay at NFC-supported terminals by waving or tapping your iPhone over the terminal and then approving the payment with your fingerprint. You also can wave your Apple Watch over the terminal. Apple Pay is supported by more than 2,500 banks and credit card issuers and accepted by more than 700,000 retail locations, including Whole Foods, McDonald's, Subway and Walgreens. It protects your financial information by using dynamic security codes for each transaction, and retailers and Apple cannot save your sensitive information.
Apple Pay's biggest drawback is its limited acceptance. Only about 10 percent of point-of-sale terminals currently use NFC, and Walmart, Target and Best Buy are resisting adoption in favor of their own preferred payment solution called "CurrentC," which works by reading a generated QR code.
Samsung If you're a Samsung user, the mobile wallet of choice is Samsung Pay. It is supported by the Galaxy Note5 and higher and the Galaxy S6 devices and higher, including the new Galaxy S7. Samsung Pay uses a tap-to-pay feature that is similar to Apple Pay, but it also can work at magnetic stripe terminals. This means it works at a majority of credit card-accepting retailers, making it usable at over 30 million locations in contrast to Apple Pay's 110,000 locations.
The most challenging part of using Samsung Pay is that the device needs to be positioned in a particular way for magnetic stripe machines to read it. Android Pay is a good alternate to Samsung Pay because it works on all Android-supported devices. Android Pay has a similar range to Apple Pay, but it lacks the magnetic stripe compatibility of Samsung Pay.
LG, Motorola and HTC
LG is delaying the release of LG Pay until the second quarter of 2016 when it will launch the G5, according to a DigitalDaily update. Details remain uncertain, but a leak from ETNews suggests that the new payment platform will use a payment card that combines the functions of credit and debit cards. An LCD display lets users select the credit card they want to use, and the card can also be used for ATM withdrawals. LG Pay is expected to have a range of acceptance similar to its competitors.
Its main drawbacks are that you have to carry the card and you need a special battery charger.
Meanwhile, Android Pay works on the LG G4 as well as the Motorola Moto X, Moto G, Moto E and HTC One M7.