Rubean’s new mobile point of sale (mPOS) solution was originally designed for small and/or mobile merchants (eg. street vendors, fast food stands, café’s, hair salons, taxi drivers, trades people) although, in reality, it can be used by merchants of any size (eg. large retailers, restaurants). PhonePOS takes the form of a mobile App which will enable a suitable smartphone to accept contactless card payments as if it were a Chip & PIN device at retailer’s point of sale. A vendor can simply download the app to their phone and start taking payments : This is a “software-only” solution where no further hardware or peripheral devices are required.
This lean acceptance solution has special relevance in countries with a high percentage of contactless EMV cards (like UK: 70%, France: 69%, Poland: 90%, Czech Republic: 80%, Spain: 75%, Switzerland: 50%, Australia: 70%) and/or EMV enabled phones (like in Japan, South Korea, Singapore and Taiwan).
Smaller merchants and Traders stand to benefit : Many Merchants still only accept cash payments, citing the prohibitive cost of leasing POS hardware as the main reason.
- We’re all carrying less cash these days and the ability for a (hitherto cash-only) merchant to accept card payments with their own smartphone will increase their customer conversion rate.
- Street vendors, food outlets and the like also benefit since they won’t be forced to carry large sums of cash which makes them a target for criminals.
- Trades people won’t be forced to chase cash payments from their customers (often several trips) if they can take card payments on the spot.
Larger merchants and Retailers also stand to gain : Valuable retail floor-space is devoted to fixed POS functions – “check-outs” by any other name.
- By enabling more shop assistants to take card payments out on the shop-floor, the retailer can devote MORE floor-space to revenue-generating activities.
- Customers can buy their items on the shop-floor without having to queue at POS – Hugely important for busy periods like Lunch-hours and Christmas
- This customer-focused initiative would be genuinely appreciated by shoppers and improve retail operational efficiencies across the board.
How it works
The card acceptance workflow:
- Customer holds their contactless EMV bank card on merchant’s smartphone, which is equipped with the PhonePOS app. Phone reads PAN number from card
- Phone sends payment order to PSP
- Merchant finally receives the payment authorization result
If the customer requests a digital receipt, they are asked to enter their name and mobile phone number and then receive the receipt via SMS. Recurring customers, who once have already entered their name and phone number, may just verbally confirm their name to the merchant. The merchant can then enter the name into the app and initiate the receipt dispatch as well as the award of loyalty points, if applicable.
- Over alternative mPOS solutions :
PhonePOS just requires the merchant to download an app to their own smartphone and thus is …
- more cost-effective and easier to handle, especially for a mobile merchant