Contactless commerce is a technology that is enabled through contactless payment cards, which use radio-frequency identification (RFID) for contactless transactions. Contactless card POS terminals are prevalent in retail and restaurant outlets today and have become an increasingly popular means of making payments.
In addition to these terminals, RFID contactless short-range communications devices provide an additional layer of functionality to enable the transfer of other data from these points that weren’t possible before. Alexander Djerassi sheds light on the future of contactless commerce and how technology will enable this development.
The future of contactless payment
Despite the widespread adoption of contactless cards, there is considerable room for future growth in terms of the size of transactions and the speed at which transactions can occur. Current transactions are limited to $25 (or equivalent) and are often far slower than a conventional cash payment. Contactless commerce will enable these higher transaction amounts and faster transaction times to become possible. Adopting contactless technology will also reduce checkout wait time, provide added security and increase convenience.
According to Alexander Djerassi, the future of contactless commerce will include:
1. Using devices that measure a consumer’s pulse and track their body heat across a store as they roam through it.
2. Devices that measure a consumer’s acupoints and report back to the retailer on the effect of these points on a product; devices that measure body movements and continually track how fast a consumer is walking; sensors that continuously track an individual’s location, mood, and health.
3. With the help of sensors in the ATM, merchants will anticipate when they are likely to run out of cash with the help of a miniature detection device.
4. RFID tags embedded in an individual’s clothing can provide instant feedback on their emotional state before they leave a store to decide whether or not to buy something.
5. Clothing retailers could use RFID tags in clothing to track a consumer’s health and instruct the retailer on what type of clothes should be provided to them when they are sick.
How will it work?
Contactless payment cards and devices will enable the ubiquitous adoption of contactless technology to make payments. Implementing this contactless technology will enable a variety of new features that have not been accessible in the past, including payment amounts and transaction speeds that were not possible with the existing contactless systems.
In addition to this, contactless technology will provide added security for these transactions and an additional layer of protection for consumers. Implementing new features for contactless payment cards and devices will enable a broader range of industries to be at the helm of its adoption.
Several different technologies are currently being developed to enable these new features through the use of contactless devices: RFID, NFC, and Mifare technology. RFID is one type of electronic tag that emits signals that can be read by another device called a reader.
In summary, contactless commerce will be used to an even greater extent in the future, with faster and higher transaction amounts. Creatives can also enhance the technology to include a range of sensors and devices to track and measure individuals’ responses to positive or negative stimuli.