Near-field communication (NFC) technology, which allows shoppers to make transactions, exchange digital content and connect electronic devices with a touch of their screen, is striking a chord with American consumers.
Mobile phone users prefer NFC technology to competing alternatives, such as Bluetooth Beacons, Quick Reference (QR) codes and browsers. In fact, a recent NFC Forum survey found among those polled, 76 percent were happy with their NFC experience. That’s compared to a 53-percent satisfaction rate for QR codes. Fifty percent preferred using NFC to retrieve information on related products compared to QR codes with 23 percent and Bluetooth beacons with 10 percent.
The survey also offers insight into the importance of providing more relevant, convenient and enhanced in-store shopping experiences, as well as a better understanding of the potential for in-store engagement. According to NFC Forum, 5 value-added features available through NFC technology include:
- Store deals, store Wi-Fi and rewards accounts
- Multimedia content and real-time store inventory (More than 75 percent of respondents indicated an interest in viewing additional product information, including inventory and availability via NFC.)
- Information about related products
- A digital, NFC-enabled shopping cart app (More than 60 percent indicated an interest in this capability.)
- Product information for large purchases
With consumers’ interest in using NFC technology continuing to grow, community financial institutions (FIs) looking to engage in the NFC payment space should make a point to incorporate these sought-after features into their digital payment and banking platforms. Taking the time to understand how NFC users want to be engaged offers a competitive edge to FIs developing apps with this new technology.