Connecting To The Possibilities Of A Contactless Future
Girish Nanda, U.A.E. & Oman Country Manager at Mastercard, explores how contactless technology has transformed consumer experiences and why this innovation is here to stay in the post-COVID-19 era.
Acontactless, touchless, and frictionless world has brought with it a sense of renewal. Disruptions can bring about a new order of rejuvenation and innovation, which is especially relevant as we find ourselves in a new year that is still delivering disruption by the bucketload.
The need for social distancing has changed behaviors in such a way that we must step out of past comfort zones to find new ones— from navigating the elbow-greeting to getting used to virtual offices. We now have more opportunities than ever before to engage with touch-free experiences and get “in touch” with a future that minimizes contact for dayto-day activities.
Contactless technologies are unlocking the forcefield of a vast virtual landscape that is in many respects our generation’s version of the New World. What awaits us in our own Age of Discovery? How will this world be different from the one we’ve left behind?
Many of the things we used to do, we will continue to do. Only, with far fewer touch points along the way and offering much more convenience.
Let’s take travel. At Abu Dhabi International Airport, 53 touchless elevators use infrared sensors to detect fingers three centimeters away. Etihad Airways has trialed self-service check-in body scanners that can also check vital signs by using motion sensors and voice recognition. Hotel groups like Marriott,
“With contactless transactions, regardless of payment method—a contactless card, a mobile device or a wearable—we are advancing consumer choice, fuelling the future of commerce by making checkout safe, seamless and straightforward.”
Hilton, IHG and Hyatt have installed mobile access solutions that use Bluetooth to provide keyless room entry via a guest’s smartphone.
In the entertainment industry, digital options are stepping confidently onto the virtual stage. The world’s biggest virtual rock concert is planned as part of Global Village’s reopening, and e-sports are scoring big as more people turn to their screens to engage and connect while apart. The 2020 Indian Premier League, which was hosted in the U.A.E., enjoyed record viewership while promoting the country as an exciting tourist destination for cricket fans worldwide. It’s a win-win.
The appetite for contactless is also flourishing in the food and beverage industry. Restaurant menus are increasingly accessible on mobile devices through simple QR codes. Delivery Hero recently partnered with Mastercard to offer contactless payment-on-delivery for Talabat, HungerStation and Zomato orders. Burger King also revealed the touchless experiences it envisions as part of its “Restaurant of the Future”, including ordering ahead on the app, pick up lockers and conveyor belt deliveries for drive-through orders.
The rapid acceleration of contactless payments continues to shape the future of consumer experience, and it is a trend that is here to stay. Whilst originally driven by convenience, public health and hygiene have accelerated the transition to contactless at a previously unimaginable pace.
Today, nearly 40% of instore transactions globally are contactless. The figure is growing because contactless payments are easier, cleaner, and faster. In fact, Mastercard data for March 2020 found over 100% year-on-year growth in the U.A.E. In a consumer sentiment survey conducted by Mastercard, eight in 10 regional respondents said they would continue to use contactless post-pandemic.
Much of our world is becoming touchless, fueled by contactless payments. This transition also offers exceptional security for peace of mind.
As a founding partner of the industry standards EMVco, Mastercard has been pioneering and driving security in the payment card industry. With our unique multi-layered approach to security, we go above and beyond what is required, having mandated the support of Combined Data Authentication on all of our contactless cards and terminals since 2011. This is one of the things that makes us different.
With contactless transactions, regardless of payment method—a contactless card, a mobile device or a wearable—we are advancing consumer choice, fueling the future of commerce by making checkout safe, seamless and straightforward. For merchants, the increased speed can save thousands of hours at checkout and reduce operational costs.
Governments, businesses, communities, and societies find ways to make contactless payments more accessible and play a crucial part in recovery efforts. The economic impact of cash payments is estimated at 1.5% of GDP and while economies tip into recession, the savings that digital and contactless commerce bring can be critical.
It’s a digital transformation journey that Mastercard has spearheaded for the past 15 years, working with industry partners and across sectors to increase the use of electronic payments and make “security by design” central to its development of contactless technology.
Touchless is not out of touch. It’s about being connected in a different way to safe and secure financial transactions. This brave new world of touchless digitization, embedded machine learning, digital analytics, connected devices, and contactless payments connects us to a future of priceless possibilities.