The global digital revolution is in full swing. As technology advances at an incredible rate, the way we handle our money is also evolving. We can now tap our cards, phones, and even smartwatches to make payments.
While these new payment technologies are great for the consumer, there was still a need to make life simpler for the merchant. In response to the market demand, tech wizards in the financial sector came up with a simple solution. One that takes full advantage of the almost-magical capabilities of modern smartphones.
Tap on Phone is a new way for service providers to accept payments from their customers. Instead of receiving payments on a card machine, by EFT, or any other type of contactless payment method, now your customers can simply tap and pay directly on your phone.
Access to this groundbreaking technology is bound to change how small businesses receive payments across the country, and we’re here to tell you why tap-on-phone is South Africa’s next payment revolution.
Tap On Phone - Changing the SME Payment Landscape
When it comes to mobile phones revolutionising the payment landscape, NFC is the real game-changer. And no, we’re not talking about digitally collected art or those people that fight in a cage. We’re talking about near field communication.
Near field communication (NFC) technology allows seamless two-way communication between two devices that are close to each other. NFC chips use electromagnetic induction and can be found on most bank cards and card machines. Now smartphones have thrown themselves into the mix with built-in NFC chips of their own.
How it Works
The first thing you’ll need to do is download the right software onto your phone. This software will turn your smartphone into an active point of sale (POS) device. In the past, you needed dedicated POS hardware in order to complete payment transactions. Now, the NFC chip has nullified the need for bulky equipment and you can receive card payments on your phone after one simple download.
Once your software has been downloaded and you have completed the necessary registrations, customers will be able to pay you by directly tapping their cards, phones, and smartwatches on your phone.
Here’s the process:
See, it’s literally as simple as 1, 2, 3!
Why it Matters
Early adopters of Tap on Phone have already seen how it’s changed the way they do business. While South Africans still rely on the use of cash, the ease of contactless and remote payments is seeing the country shift more and more towards a cashless society.
Tap on Phone will allow local business owners to easily accept digital payments. That means their customers can travel safer as they won’t have to carry huge amounts of cash to make their desired purchases. In South Africa specifically, that is a huge win.
While mobile card machines are becoming more mainstream, Tap on Phone makes it even simpler for mobile business owners to carry out their work. Firstly, you won’t have the added expense of paying for a card machine. Secondly, there is no need to worry about a card device being connected to WiFi or a mobile network. Your phone will provide all the juice so that you can operate in whichever area code you choose.
Having your smartphone as a POS also means that you have an adequate backup. So when the electricity inevitably cuts or you run out of battery on your card machine or your usual POS loses signal, your smartphone and your iKhokha App will be there, ready and waiting to save the day.
Sound intriguing? Read more about how to turn your phone into a card machine here!
There is now more reason than ever before to start your very own small business. Not only will you be able to easily pay your service providers and suppliers, you will also be capable of comfortably receiving payments wherever you may be.
If you’re still looking to beef up your business knowledge, check out Online Business Courses for South African Small Business Owners. And don’t forget your number one ecommerce essential: The Hitchhiker’s Guide to Making Money Online.