retail news in context, analysis with attitude

MorningNewsUSA reports that as the debate unfolds about the benefits of Apple Pay vs. CurrentC, two rival mobile payment systems, the reality is that Starbucks - which has a payment system that resembles CurrentC - "already handling about 7 million mobile payment transactions each week in all its locations across the US.

"That accounts for about 16% of overall transactions at its nationwide stores. It also accounts for up to 90% of total mobile payments in the country in 2013 … Starbucks expects growth of mobile payments to further grow by up to 50% per year."

The story goes on to say that "Starbucks CEO Howard Schultz said that consumers should expect rapid acceleration of mobile payments and transactions in the coming years. He added that mobile customers now represent a significant market portion for both retailers and financial service providers.

"Schultz reiterated that financial services and technology companies are now chasing after mobile payment opportunities. Even if Starbucks does not hold hardware as well as software expertise unlike many of its rivals, the company has been continuously enjoying success when it comes to changing consumer behavior, which is something that the competition is yet to accomplish."
KC's View:
The mobile payments industry only is going to grow, with the only limits I can see coming from data breaches that inhibit consumers from making changes. In the end, I think that both Apple Pay and CurrentC can survive and thrive … different consumers will want different things, and retailers will be well advised to offer both options.