In November 2015, Apple Pay officially launched in Canada and has since made significant inroads in changing the landscape of how Canadian consumers pay in their daily lives. The shift in payment preferences is consistent with changing behaviour in society as we now live in an era where our mobile phones are so much more than simply phones and are by our side 24/7. It is therefore a logical extension that Canadians are adapting to incorporating mobile wallets and payments into their lifestyles! Since the majority of Canadians actually utilize Android based mobile devices, many have been eagerly awaiting the availability of Android Pay and wondering when it would finally be released in Canada. We now have the answer as Android Pay officially launched in Canada on June 5, 2017.
What does Android Pay in Canada Entail?
Similar to Apple Pay, whereby users pay via their mobile device supported by their iOS system, Android Pay operates on the Google platform that uses Near Field Communications technology to transmit card information facilitating fund transfer to the retailer. Essentially Android Pay works the same way as Apple Pay, where major banking institutions in Canada cooperate with the manufacturer’s technology to enable payment. Early adopter banks to support Interac debit purchases via Android Pay include: CIBC, BMO, Scotiabank, and Desjardins. Visa and Mastercard are compatible, while Amex support is coming soon.
The Technology Behind Android Pay
Android Pay was made possible thanks to Near Field Communication (NFC) payment technology. NFC technology works by bringing together two electronic devices, typically a smartphone and a reader. NFC always involves one initiator (the reader) that generates an RF field to power a passive target (the smartphone containing the credit/debit card information).
The market potential for NFC payment technology is enormous because it is secure, easy and efficient! Furthermore, EMV security will help make NFC universal, because it offers a preferred mobile acceptance technology.
Android Pay vs. Apple Pay
The biggest difference between Android Pay and Apple Pay is that Google saves the encrypted financial and tokenized data in their cloud-based system and not on the customer’s mobile device, whereas Apple stores the information in a separate physical chip called Secure Element that is not accessible for any other purpose.
Some other minor differences between Apple Pay and Android Pay include acceptance in the market and biometric requirement for usage. Currently Android Pay may only be supported by select retailers in Canada whereas Apple Pay has already been widely integrated for POS compatibility in the market and is therefore accepted at a wider selection of retailers. For starters, Android Pay is accepted at Tim Hortons, Loblaws, Petro-Canada, Pizza Pizza, and McDonald’s…among others. Moreover, a key difference of Apple Pay is that it requires fingerprints to unlock the phone to pay, while Android Pay does not require that function as one can simply enter their PIN or password.
How Android Pay Works for Merchants and Customers
Android Pay for Customers
There are three simple steps to activate and use Android Pay:
- Install the Android Pay app from Google Play
- After downloading the app, add a Credit Card or Debit Card from participating banks onto the Android Pay app
- Approach a POS terminal that accepts Android Pay and tap your phone against it to pay
Android Pay for Merchants
To accept the Android Pay solution, all the merchant needs to do need is employ a contactless-enabled terminal from a merchant services provider that has successfully integrated Android Pay, like MONEXgroup. If your business already accepts the Android Pay solution, you can let your customers know by ordering a decal kit on the Android Pay website.
Benefits of Android Pay
In some ways, Android Pay is preferable and more convenient for customers than iPhone’s Apple Pay, here are three reasons why:
- It is more “rewarding”
Certain retailers offer Loyalty Programs that can be integrated into the Android Pay solution. This is a feature that iPhone’s Passbook app doesn’t fulfill quite as well, often turning to little-used and more cumbersome QR codes. iPhone users will often have to get out their Loyalty card in addition to their phone to pay and receive loyalty points.
- Unlocking won’t be a hindrance
Android Pay uses several options for ease of unlocking including password, pattern, pin or face unlock. Android phones are more user-friendly when it comes to their locking feature than Apple phones. Its tap and pay method of completing a transaction doesn’t require the hit-or-miss fingerprint on smartphones. This makes Android Pay a little bit faster with if the fingerprint unlocking system is malfunctioning.
- More compatible phones
Android Pay works with a lot more phones than Apple Pay because Apple Pay is only available to iPhone 6 and above. Android Pay on the other hand works with a variety of Android phones including: Android 4.4 KitKat phones, Nexus, Galaxy, HTC, Huawei, and LG.
MONEXgroup and Android Pay
MONEXgroup is a leading ISO with over 15 years of experience in the POS industry in Canada. With over 25,000 merchant in a wide variety of industries, you can trust your business in the hands of our professional and experienced Sales Agents and reliable technical support. MONEXgroup offers businesses in Canada with the latest credit and debit payment processing solutions for their everyday business needs. This includes the Vx810; a speedy Countertop that comes with versatile options, and the long-range iWL250 which operates on a 3G network connection for businesses operating on-the-road. The iWL250 with GPRS communication is a light and compact terminal with Long-Range Wireless connectivity for portable payment processing. It offers an economical yet highly reliable platform for merchants who are on the road and require fast processing of transactions. With integrated SIM card communication over the Rogers 3G Wireless network, the merchant can practically process transactions anywhere in Canada.
Needless to say, all of our POS terminals now accept and support Android Pay because we believe in providing the most cutting-edge technologies and payment solutions to our merchant partners. Moreover, our Contactless Unattended terminal systems are jumping on the bandwagon in supporting Android Pay too, so the next time you’re at a gas station pumping your tires and vacuuming your car, or hosing it down at a self-serve car wash, make sure you take out your phone and try Android Pay on our contactless tap readers!
When partnering with the number one Canadian merchant services in Canada; MONEXgroup will ensure you are equipped with the latest, safe and secure credit card machine payment systems with low cost. Request a Cost Comparison Analysis today.
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