Wednesday, June 27, 2018

Near Field Communication: Unstoppable Rise Market Outlook: Ken Research

Remittance Market Research Reports that Analyst over the years on the confidence of their experience and advancement have speculated that plastic cards would be ditched by our phone that is they would use a radio frequency called Near Field Communication (NFC) to send payments data to compatible store registers. Active devices are able to both send and receive data, and can communicate with each others as well as passive devices. Smartphone are the most common form of active NFC device

Modes of Operation of NFC
NFC devices support three modes of operation reader/writer, peer to peer, and card emulation.
                    Reader/writer Mode: NFC devices are capable of reading NFC forum-mandated tag such as contactless smartcard. This mode is used to get information or initiate an action.
                    Peer-to- Peer Mode: It is used to establish two-way communication to exchange data. They can initiate communication as equals or peers.
                    Card Emulation Mode: This enables contactless payment and ticketing, access control, transit, tollgates without changing the existing infrastructure.

Technology Enabler
NFC has proved to be blessing in disguise for customers and business due to its inherent characteristics such as:

ü  Intuitive: NFC interactions is one touch simple setup and can replace the pairing of Bluetooth enabled devices, or the configuration of Wi-Fi network through PINs and keys

ü  Open and standards based: NFC technology follow universally implemented ISO, ECMA and ETSI standards.

ü  Interoperable: NFC has ability to support secure application, its transmission are short ranging from touch to four centimeters and exists with contactless card technologies.

Remittance Industry Analysis Reports that in 2017, Apple opened up IOS 11 to support NFC application on the iphone. They had NFC integrated in their phones, it’s no longer limited to Apple Pay but even third party developers can take advantage. Even the android phones who are dominant market leaders globally they have already inculcated native NFC support on the phones ranging from Samsung galaxy S9 to the new Google pixel 2. In fact there are already over 2 billion NFC enabled devices in the world across every major mobile operating system. According to industry veterans NFC market will continue to grow 17.9 percent over the next decade, reaching nearly $50 billion by 2025.

Tostitos’ launched an alcoholic- detecting chip bag that allows those who had a little much to drink to call an uber by tapping the NFC- enabled bag. NIKE’s NFC enabled basketball fan jerseys unlock premium content like game highlights, playlists and products. Compari and skyy vodka’s fridge magnet let you order alcohol with the tap of your phone. Even L’Oreal introduced a UV sensor to test how much sun you’ve taken in the day.

Promising Future of NFC
All Developing countries for instance Mexico still has large chunk of the population that is still not in the reach of banks and financial institutions due to lack of infrastructure and information to the customers. This makes the usage of mobile banking a prime source to reach the rural customers who would ideally take years to become a part of the banking and financial services sector. This trend is likely to be continued in future with the proliferation of smart phones that makes online transfers more convenient and cheaper. However in India the market is bit different as people are not comfortable with NFC they are still depends on cash transactions.

Android, Apple, and Samsung Pay are notable users of NFC technology which promote safe and secure payment between customer and POS system with just one tap. In new age of globalization and technology advancement NFC is prophesized to be knight in shining armor by collaborating with POS and MPOS systems and even give his share of contribution in healthcare sector by detecting problem just by touch. NFC would become a major factor for discarding debit card in the future.

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Contact Us:
Ken Research
Ankur Gupta, Head Marketing & Communications
0124-4230204

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