Pay for goods ‘with your face’: PayPal launches new app

For the first time in the UK, shoppers will be able to make payments on their mobile phone and be recognised by their first name and picture. The new PayPal app called check in, highlights nearby shops and restaurants that accept PayPal, the customer can then check in to the shop by clicking on the retailer and pays by sliding a PIN down in the app.

Shops in Richmond, London, have begun trialling mobile payments technology from PayPal which lets customers verify themselves at the checkout using a photo and their first name. Once a user has checked in, their name and photo appears on the shop’s payment system, and when they agree the amount to be paid, the cashier charges them by clicking on the image. The customer gets an alert on their phone to let them know how much they’ve paid, as well as PayPal’s usual e-mail receipt.

BBC Business Correspondent Emma Simpson has been trying it out – see the video below.

A dozen businesses in Richmond high street, including cafes, restaurants and shops, have become the first to pilot the technology, which aims to consign wallets, cards and PINs to history.

Richard Garcia, owner of one participant, Cook and Garcia café, says: „We’ve been using PayPal’s check in service within the business for several months, and have found it really efficient. Customers don’t have to worry about having cards, cash or change, just their phones – it is the quickest transaction through the till, which means less queues and we never have to turn down a sale, both of which are great for business.”

Rob Harper, head, retail services, PayPal, adds: „This is another step on the journey towards a wallet-less high street, where customers will be able to leave their wallet or purse at home and pay using their phone or tablet. We predict that by 2016 this will become a reality.”

Take a look at the video below to see what the pilot PayPal participants (merchants) are saying.

Commenting this new PayPal app, Andrew Smith from CloudZync London says: “We aren’t actually paying with our face with this, rather just a user (from the business) is confirming you are you using a picture of your face. The technology is not at all ground breaking, nor anything new”.

„I fear this is another example of PayPal trying yet another strategy re mobile payments and, well not hitting the mark. I think this demonstrates really really well, but if it was to ever see mass adoption, then the experience for the business will be horrific and not that great for the consumer.

„Imagine a busy store with lets say just 20 people checking-in this way. Thats quite a few pictures to wade through to quickly find the right person to charge. Now think of a Tesco who could have hundreds of people checking in. From the consumers point of view, do we really expect consumers to check in to every store they enter?”
Source: BBC news & Finextra