Mastercard is developing mobile point-of-sale and digital inclusion solutions - Business Insider

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Mastercard is piloting an mPOS solution as the race to provide affordable and simple tools for merchants heats up

Several payments firms may be racing to be the first to widely roll out an mPOS system that doesn't require additional hardware in the hopes of attracting small merchants. Fiserv, PayCore, Samsung, and Visa have also Their offering is being piloted in Poland, with plans to expand the trial to the Europe, Middle East, and Africa and Asia Pacific regions.

Mastercard has also introduced a digital inclusion initiative that could help merchants gain access to devices that could be used as mPOS terminals. platform that aims to help consumers and merchants gain financing for devices as well as other services. The platform is meant to boost financial inclusion and give consumers and merchants access to digital commerce.

It includes a lending marketplace to help consumers and small businesses access financing for devices, security for data and transactions, tools to analyze credit histories, and virtual card numbers to pay for devices and make transactions within Mastercard's network. Many of these offerings appear to be geared toward consumers and helping them gain the ability to make digital payments, but they could hold benefits for merchants, too.

Helping small businesses access devices would increase the addressable market for Mastercard's mPOS solution. Some small merchants may not have the funds to purchase new POS tools, making it harder for Mastercard to roll out its mPOS solution. But if the card network helps small merchants get devices with financing, more businesses may be able to adopt its offering, and it could try to leverage that relationship so that merchants choose its mPOS solution over competitors'.

 

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