W. Frank Dell II, CMC

Smartphones Look to Replace Plastic as Payment

August 3, 2010

FROM RETAILWIRE:
Okay, so the gas-powered car killed the horse and buggy as a mode of transportation (excluding the Amish). Video apparently killed the radio star. So what's next to go? According to a Bloomberg report, plastic credit and debit cards may be doomed by smartphones. Will smartphones replace plastic credit and debit cards in the U.S.?      [more...]

Plastic has greatly reduced checks and online payment continues the trend. The Post Office raising the price of a stamp to forty-four cents has been the greatest benefit for online payment. Note, in some area of the world, checks never existed. The "Great Recession" has reduced the balance and use of credit cards.

Smartphones will become a viable payment method in some market segments. The more likely scenario is smartphones being an alternative for debt cards. The greatest obstacle will be security. I lose my phone and the charges keep on coming.