Visa Europe is increasing its presence in the mobile money market by acquiring a 15 per cent stake in the Mobile Money Network (MMN), a company that provides m-commerce and m-payments services for retailers.
MMN, which is a joint venture between Monitise, retailer Best Buy Europe and Carphone Warehouse founder Charles Dunstone, launched its Simply Pay checkout technology with UK retailers late last year. The service enables consumers to use their handsets to purchase items via adverts, direct marketing and Web sites.
"This agreement is another step in the delivery of our mobile payments strategy," Peter Ayliffe, CEO of Visa Europe, said in a statement. "We are working with partners and organisations across the mobile ecosystem to make the future of payments a reality for consumers, for retailers and for financial institutions."
Consumers can access Simply Pay by downloading an iPhone or Android app. After registering and providing their card details and delivery address, users can make purchases at participating stores by entering the Simply Pay codes placed by the firms in stores, print advertising and on Web sites.
Visa Europe, which recently acquired a stake in Monitise, says it will now use its presence in the UK, where £1 in every £3 is spent on one of its cards, to bring Simply Pay to the mass market. Visa Europe also said it will also work with MMN to implement a number of unspecified m-commerce initiatives this year.
Ayliffe added: "Our investment in the MMN will support our aim to deliver a wide range of secure and reliable mobile payment services that help our members tap into the potential of m-commerce. By 2020, we predict that more than half of all our transactions will be carried out on a mobile device."
For more:
- see this Visa Europe release
- see this Finextra article
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