GiftCard Partners Blog

A Boston area start up may have a breakthrough in the very slow adopting mobile payments market. Loop is an e-wallet that not only attaches to your phone like a case, but actually works with your retailer's existing POS system. Mobile payments were predicted to have taken off by now, and adoption is still occurring but at a much slower rate. Mobile payments that aren't compatible with existing retail POS systems are tough for retailers because a change to a national chain's POS, involves a large scale hardware upgrades which cost money and take a long time. Bringing mobile payments to retailers existing systems is taking a new approach to this mobile payments puzzle. It puts the investment on the consumer, who is choosing to use the system, rather than force retailers to provide a system that they don't have guaranteed ROI from. Since Loop is set to hit the market this winter, we will see soon if this alternate approach catches on. The adoption has been slow but the potential could be high.
For more information on mobile payments check out this article from the Boston Globe.

Google announced earlier this month that as of August 21st it would suspend support on Google Wallet for gift cards and loyalty cards (often utlizing point systems). This seems like it could be a blow to the gift card industry, like for those who sell bulk gift cards, as it limits the ways gift cards can be distributed and redeemed. However I am scratching my head to figure out if we, the gift card industry should even care that much.

Mobile payments are going to reach $1 billion in transactions by the end of 2013. That sounds like great growth and revenue, until you find out that in October 2012 mobile payments were expected to reach $20 billion by 2015, and are now on track to reach that milestone in 2016. A fragmented market, and many dependent and critical keys to success have stifled the mobile payments market. Hardware and infrastructure impediments, combined with competing technologies like mobile wallet solutions have slowed merchant and consumer adoption to mobile payments.
What do you use mobile payments for? Have you used your mobile POS for more than the morning cup of joe? Most consumers use mobile payment technology for small purchases only, and are slow to transition larger purchases to mobile. This is an indicator that many merchants and consumers are also hesitant to use eGift Cards, and make the necessary POS upgrades to even be able to process them. Have you ever give an eGift? These numbers tend to suggest that employers and gifters across the board would be hesitant to give an eGift given limited market adoption. The market indicators are inconsistent for mobile payments, there is growth but possibly not to the rate originally forecast. What do you think about mobile payments?
See the eMarketer Mobile Payments Forceast for 2011-2017, and
check out this article from eMarketer on further impediments affecting the mobile payments market adoption.

Social media has made a big BOOM in the workforce. If you don’t believe it just ask any one of your employees using Facebook and LinkedIn, or, check their Tweets. As employees dive headfirst into the social media pool, it’s time for their employers to take the leap too. You can join the 40% of U.S. employers that have a social media at work policy, or you or you can join the
workplace socialization movement. This has led to the  development of a “Facebook for work” type of forum, where projects and goals can be shared and discussed publicly and workers are able to participate in the conversation by “liking” or “commenting”. Incentive Magazine’s, Jennifer Lumba, discusses some helpful tips on how to best use these popular social networks to leverage the most out of social recognition in the workplace:
Name names, and name them often- Leveraging social networks is a great way to praise and acknowledge those that go above and beyond on a company-wide scale.
Allow recognition to go beyond just employer to employee- By adding voting or ‘liking’ to status updates you can give the opportunity for peers and managers alike to acknowledge a job well done.
Make the goal clear- Defining and publishing goals that team members can then sign up for creates a public forum for praise and recognition when workers succeed in making progress towards those goal.
Check out more tips on how to take your recognition program social.

As smartphones become more prevalent in the daily lives of consumers, retailers are constantly coming up with ways to reach these consumers in the space where they are spending an increasing amount of time……….on their mobile devices. While systems like Square and PayPal previously targeted small to medium sized businesses, they have moved into the top tier retail space. This will allow consumers to make payments using their mobile device, instead of having to carry around a wallet full of plastic. Due to the increased importance and usage of smartphones, retailers are also making gift cards available through a mobile device more and more frequently. Not only is it easier for the person recieving the gift card to redeem their gift, but it also revolutionizes the way a friend, or employer delivers the gift. There is added convenience on both sides of the gift card. Imagine giving rewards to employees on a rolling basis through a spot rewards program. The employer can deliver rewards witha click of a button to any number of employees in any number of locations. Mobile gift cards are also revolutionizing the mobile retail space and transforming the way people give and receive gifts.
For more information check out this article and interview with Ken Paull, Executive Vice President of ROAM Data, from PYMNTS.com.