Mobile payment is a new and rapidly-adopting alternative payment method – especially in Asia and Europe. Instead of paying with cash, cheque or credit cards, a consumer can use a mobile phone to pay for a wide range of services and digital or hard goods such as:
- Music, videos, ringtones, online game subscription or items, wallapers and other digital goods.
- Transportation fare (bus, subway or train), parking meters and other services
- Books, magazines, tickets and other hard goods.
There are four primary models for mobile payments supporting mobile commerce:
- Premium SMS based transactional payments
- Direct Mobile Billing
- Mobile web payments (WAP)
- Contactless NFC (Near Field Communication)