US retailer Target has become the latest large merchant to offer its own mobile payment option for in-store transactions with the introduction of a new Wallet feature within the brand’s mobile app.
The functionality, which will be included in the retailer’s iOS and Android apps, will allow customers with Target-branded REDcard credit and debit cards to add these to the wallet and then pay at the checkout by scanning a QR code.
It also offers integration with Target’s Cartwheel offers and Weekly Ad coupons, so users can access discounts by scanning a barcode.
The move follows in the footsteps of other major retailers such as Walmart and CVS, which have also introduced their own mobile payments systems.
This illustrates how fragmented the mobile payments sector in the US is at the moment, with retailers, banks and technology providers all promoting competing offerings that may have varying degrees of acceptance.
For instance, while Target customers with store-branded payment cards customers will now be able to use these to complete in-store mobile payments, the store still does not allow users of Apple Pay to complete transactions in-store – though Apple’s mobile wallet can be used for online orders made via Target’s app.
However, Target is highlighting the convenience of the app as a key positive for its own mobile offering. It claims that using the mobile wallet app makes checkout processes up to four times faster than other payment methods, as well as making it easier to apply discounts.
“Wallet in the Target app makes checkout easier and faster than ever,” said Mike McNamara, Target’s chief information and digital officer. “Guests are going to love the convenience of having payment, Cartwheel offers, Weekly Ad coupons and GiftCards all in one place with Wallet.”