One way of making mobile payments in-store is by using QR codes. All you need is a mobile phone with a camera, and a mobile app that can scan, store, and share QR codes.
Here are the three main payment types you can make using QR codes, and how they work:
1. Paying retailers with QR scanners.
At the check-out, the cashier will enter the amount to pay. You will then open your QR scanning app and display your unique QR code to the retailer. The retailer will scan the QR code to identify you and deduct the money from your mobile wallet, using a compatible mobile payment app.
2. Paying retailers without QR scanners.
In this scenario, the retailer will display a QR code and you will scan it using the QR scanning app on your mobile device. The app will identify the retailer. Then you can enter the payable amount and complete the payment. One example of this in action is the system used by US department store, Kohl’s. Kohl’s Charge cardholders can now make payments via their mobile app by scanning a QR code at the check-out.
There are many benefits of using QR codes to make payments:
1. No special equipment needed.
One of the challenges of mobile payments is finding a solution that works with different devices. QR codes help overcome this challenge, as all you need to scan a QR code is a camera on your mobile phone.
2. Quick and easy to use.
You don’t need to enter the details of the person you are paying, just scanning the QR code will identify them instantly.
3. More convenience.
You can make payments using QR codes from any location with only a few taps on the mobile device.
4. Increased safety.
Storing your payment details in your mobile phone and carrying it around is much safer than bringing your entire wallet full of cash and credit cards everywhere you go. The chances of theft and fraudulent purchases using your payment details are much less with QR codes.