Cards 2.0: A Look at the Near Field Communication Payments Landscape

| Point of View

Cards have been the dominant mode of payment, but with the evolution and proliferation of smartphones, there is a growing demand from customers for mechanisms to replace plastic cards. The mobile proximity payments using Near Field Communication (NFC) can fill the gap. While mobile payment schemes such as M-Pesa have become popular, there have been very few mobile payment initiatives based on NFC. This paper explores the role of NFC payments in the overall payments landscape. It also looks at various business models, challenges, and stakeholder responses to this evolving payment mechanism.