SMS payments may be used to pay for digital goods and services, merchandise in retails stores and to transfer funds from one bank account to another individual or a business account. According to Mobile Transaction, as of 2013, the use of mobile phones to make SMS payments is growing rapidly among businesses and consumers.Continue Reading
As technology continues to make the process of mobile payment transactions easier and more secure, businesses are creating new ways in which to offer SMS services to the public. The Mobile Transaction website shares some examples of SMS payment systems that several large corporations have implemented.
Starbucks launched a system that allows customers to purchase their coffee using a mobile phone. After purchasing a prepaid Starbucks card, the customer downloads an application that he may use to make a coffee selection. The selected coffee then displays a 2D barcode on the mobile phone that the cashier scans. The purchase price of the coffee is deducted from the customer's Starbucks account.
The French government helped launch a citywide project in Nice, France that allows consumers to use their mobile phones to pay for various goods, services and public transportation. Stores also use the technology to offer coupons and discounts to customers who are using the mobile payment option.Learn more about Personal Banking