Walmart Enters the Mobile Payment Wars

Walmart is entering the crowded mobile payment landscape with its own solution.Dubbed Walmart Pay, the retailer’s platform is integrated into its mobile application. Users can register any credit, debit, prepaid or gift card, then complete transactions by scanning a QR code displayed at checkout. Receipts are delivered via email.There are currently multiple mobile payment and mobile wallet platforms competing for users from big name players including Apple, Android, Chase, Samsung and Visa. Additionally, the Walmart-backed Merchant Customer Exchange’s (MCX’s) CurrentC is still in the testing phase.None of the competitors have yet gained top traction with users as the next generation of shopper convenience. One obstacle is the slow adoption of both mobile devices and retailer’s POS systems that can support the payment platforms.“We made a strategic decision to design Walmart Pay to work with almost any smartphone and accept almost any payment type — even allowing for the integration of other mobile wallets in the future,” said Walmart’s senior vice president of service Daniel Eckert in a media release. “The result is an innovation that will make the ease of mobile payments a reality for millions of Americans.”Walmart Pay serves as a gateway to a variety of payment options that include credit cards and even other mobile payment systems. Where MCX vowed to bypass expensive swipe fees that retailers pay to credit card companies, Walmart seems to have struck a deal with those same companies. The retailer did not comment on terms, though analysts expect it probably negotiated better fees.The retailer has been heavily promoting its app throughout the holiday season. It is used by roughly 22 million shoppers each month, according to the company, and ranks in the top three retail apps in the Google and Apple app stores.“Walmart Pay is the latest example — and a powerful addition — of how we are transforming the shopping experience by seamlessly connecting online, mobile and stores for the 140 million customers who shop with us weekly,” chief executive officer of Walmart global e-commerce Neil Ashe said in the media release.The retailer’s mobile payment platform is rolling out to select stores this month, with a nationwide launch to be completed by the first half of 2016.

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