Mpos Tracker | August 2016

a report mPOS tracker | August 2016 A Monthly Update of the State of the Mobile Point-of-Sales Ecosystem Moving On Up To The Evolution Of Rent Payments TouchBistro POS solution offers integration with QuickBooks MOBI724 Global Solutions Inc. proposes $5M senior secured con- vertible debenture financing Wincor Noxdorf to deliver products, services to 149 SOCAR service stations in Switzerland C M Y CM MY CY CMY Table of Contents K 3 What’s Inside 4 Cover Story 8 Methodology 12 Top 25 Rankings 18 Watch List – New Additions 19 News and Trends 22 Scorecard 140 About mPOS © 2016 PYMNTS.com all rights reserved 2 tracker C M Y CM MY CY CMY What’s Inside K While some mobile point of sale (mPOS) providers are focusing their attention on generating revenue on more of a localized front, others are charting a different course with an eye toward international expansion. Multiple mPOS players have made it known that they plan to test new global markets, and in some cases have sought out partnerships to bolster that cause. August’s Tracker features more than 230 provider profiles, including several new additions, plus news headlines from throughout the mPOS industry. In addition to the news highlights and updated scorecard, the August edition of the mPOS tracker features an interview with Jonathan Eppers, founder and CEO of RadPad, about the slow rise of mobile payments in the rental industry. Here’s a snapshot of some recent, notable mPOS news items: Square, the payments company operated by Twitter CEO Jack Dorsey, has submitted paperwork that indicates it’s intending to expand into Europe. Online documents posted to Britain’s Financial Conduct Authority’s website show Square is incorporating a business called Squareup Europe Ltd., which would be able to provide payment services with or without credit lines in Britain. The company was also given permission to provide transactional services in the European economic area, which includes European Union member states, Norway and two other countries. It’s unclear what effect Brexit will have on this since Squareup Europe is based in the U.K. Meanwhile, mPOS provider Mosambee has announced plans to widen their international net by tapping the U.S. market. The Indian-based company also has intentions of establishing a larger footprint in Africa. In a bid to expand into European markets, Feitian Technologies has signed an agreement with Spanish software developer Vintegris, which already has a strong presence in Europe. The Beijing, China-based company, which provides digital security and user authentication solutions, will jointly market their technologies. The duo signed the pact at Infosecurity Europe 2016. GoSwiff, a global financial solutions company, has teamed up with Mastercard and UniCredit to launch mobile payments in Romania. The partnership enables Allianz-Tiriac Asigurari agents to accept card payments with mobile point of sale for their insurance policies. Keep tabs on all of the latest products, solutions and trends in the mPOS Tracker News section. August Tracker Updates In this issue, 232 global mPOS providers are featured in the Scorecard, which highlights players from around the space. Five companies have been added to the growing list of providers: Mobeewave, PagCom, Russian Standard Bank, Spectra Technologies and thumbzup. Additionally, profiles for five existing players (Cartwheel, Clover, goSwiff, Pogo and Square) were updated based on partnerships and other announcements. mPOS © 2016 PYMNTS.com all rights reserved 3 tracker ... we wanted to build something that enabled renters to “ very easily and quickly sign up and start making credit or debit card rent payments to landlords.” Moving On Up To The Evolution Of Rent Payments Checks are becoming less and less a part of consumers’ lives each day. According to data from the U.S. Federal Reserve, the number of checks in use declined by more than 50 percent over a 12-year period beginning in 2000. In that same span, payment with cards, mobile wallets, and direct deposit tripled, and the trend is not expected to reverse itself anytime soon. Young people especially have stopped using checks, with a study from WePay reporting that 52 percent of millennials never use checks at all. When it comes to rent payments, however, checks still reign supreme. The Fed study indicated that consumers are still using checks to pay for larger transactions, such as their monthly rent, despite the inconvenience of writing a check. In fact, checks are still used despite evidence from the Association for Financial Professionals 2015 Payments Fraud and Control Survey that they “continue to lead as the payment type most susceptible to fraudulent attacks, even as their overall use continues to decline.” As founder and CEO of RadPad, Jonathan Eppers is trying to make paying rent easier and safer. The company aims to eliminate the hassles and risks of paper checks for renters and landlords with a mobile payment app. PYMNTS recently caught up with Eppers to discuss why mobile payments are taking so long to catch on in the rental industry and what’s coming up next. More services, more customers RadPad was founded in 2012 as a search engine designed to help connect renters to landlords looking for new tenants, but Eppers and his team quickly realized that their customers were not remaining on the app for long enough. After successfully using RadPad to find an apartment, most customers would delete the app until it was once again time to find a new place to live, he said, meaning they were losing out on potential profits. Eppers and his team wanted to find a way to keep their customers on the app for a longer period of time and increase their profits. Enter mobile payments. mPOS © 2016 PYMNTS.com all rights reserved 4 tracker C M Y CM MY CY CMY Cover Story K Moving On Up To The Evolution Of Rent Payments “It was obvious to us that payments was the next big thing to tackle because once you move into an apartment, most landlords in the U.S. only accept check or cash rent payments,” he said. “And most people that are renting don’t even have a checkbook, or if they do, it’s only to pay the rent. So we wanted to build something that enabled renters to very easily and quickly sign up and start making credit or debit card rent payments to landlords.” So, the company added mobile payments to the app, allowing any tenant to use RadPad to pay any landlord their monthly rent through the app. Renters ...the number of use their credit or debit cards or mobile wallets to pay the rent, and RadPad uses those funds to write a check to the landlord. That means there’s no need checks in use for the landlord to register to use to the platform, making it easier for renters declined by more to adopt the solution. “ than 50 percent Eppers said that the service also offers users perks and benefits that they could not access simply by paying rent via an e-check from their bank. For now, over a 12-year renters pay no fees for debit card transactions (they do pay a 3.49 percent fee period beginning on credit card payments), can earn miles and cash back for paying their rent in 2000.” with a credit card, and can use RadPad payments to build their payment history and credit score. The company also guarantees that all rent payments will be delivered on time as long as users make the payment at least four days before their rent is due. So far, the solution has worked well, Eppers said, noting that young renters, mostly people between the ages of 24 and 34, have flocked to the app since the mobile payments service was introduced 16 months ago. Eppers reported that the company is seeing 15 percent growth month over month, and is sending checks to landlords in all 50 states. All told, tenants have sent more than $120 million in rent through RadPad so far. Finding a solution for landlords and tenants While Eppers believes RadPad can help bring mobile payments to the renting industry, he said there is still some work to be done to make them more mainstream. Eppers said that he thinks there are two reasons so many tenants who may not use checks in their day-to-day life still write one on the first of every month to cover the rent. “I think, for one, it’s been within really the past three years that people have gotten comfortable paying anything on their phone,” he said. However, even as mobile payments became a more accepted and trusted currency, there was another problem to solve. mPOS © 2016 PYMNTS.com all rights reserved 5 tracker C M Y CM MY CY CMY Cover Story K Moving On Up To The Evolution Of Rent Payments “If you wanted to sign up on one of these rent payment products, both the landlord and the renter had to use the platform,” Eppers said, explaining that most landlords had no incentive to receive mobile payments. “They’d been getting checks for as long as checks had been around, and they’re not begging for something new.” So Eppers and his team worked to find a solution that would make receiving payments even simpler for landlords, who were wary of changing the way they made their money. “Your landlord does not have to use our platform in order to use our product as a renter,” Eppers explained, noting that RadPad partners with Plaid, a company that enables applications to connect with users’ bank accounts, to help landlords easily collect rent without needing to use a routing or account number.

Load more