MasterCard Incorporated (MA) is collaborating with Samsung Electronics Australia and Commonwealth Bank of Australia to provide the Australian customers of Commonwealth Bank with MasterCard PayPass payment capacities.
PayPass represents a new-age payment technology for high-speed wireless payment transactions using a PayPass enabled device. MasterCard launched PayPass in 2012 to tap the latest technology and satisfy the market demand, while offering a wider, consumer-friendly and secure fund transfer platform through Near Field Communication (NFC) mobile devices.
As per the deal, customers of Commonwealth Bank of Australia who use MasterCard cards will be able to use the NFC enabled Samsung Galaxy S4 devices to load and store payment account details. The MasterCard PayPass payment capacities will be provided through the CommBank app in the Samsung Galaxy S4 device. Samsung Galaxy Note 3 and other Samsung smart phones and tablets are also certified by MasterCard as a part of the PayPass program.
There are more than 1.6 million MasterCard PayPass merchant locations worldwide, comprising retailers, grocery stores, pharmacies, taxis and more. The aforementioned deal will enable customers of Commonwealth Bank to make contact-less yet safe payments at all these locations easily. Thus through the deal MasterCard intends to secure fast hassle free payments thereby making way for gaining customer confidence.
This deal also marks the emergence of Commonwealth Bank of Australia as the first ever global bank to have partnered with MasterCard and Samsung. In fact, MasterCard in association with Samsung is now aiming to collaborate with other financial institutions and mobile operators as well, to reach out to customers worldwide and provide similar services particularly in Turkey, Russia and Ukraine by the first quarter of 2014.
In today’s technologically advanced world, customers are in need of a convenient, quick yet secure payment option. MasterCard’s MasterPass and contact-less technology thus attracts the technology-friendly crowd to a great extent. The new-age technologies of the company lend to the shopping experience, by allowing customers to make payments with just a tap on their mobile phones. Mobile network operators and financial institutions are also influenced by the provision of high-speed and safe transactions by MasterCard and are keen on partnering with the company on this front going forward.
MasterCard currently carries a Zacks Rank #3 (Hold). Some better-ranked stocks in the financial services sector include Qiwi plc (QIWI), Global Payments Inc. (GPN) and Xoom Corporation (XOOM). While Qiwi carries a Zacks Rank #1 (Strong Buy), Global Payments and Xoom carry a Zacks Rank #2 (Buy).