Amazon.com, Inc. (AMZN)’s Local Register Will Eat Into Mobile Payment Market

Amazon.com, Inc. (NASDAQ:AMZN) is all set to take on the burgeoning market of offline payments with its latest offering, the Amazon Local Register. This is a $10 dollar card reader which can be plugged into a mobile device or tablet. It comes with a free app that allows merchants to accept both credit and debit cards. Neil Doshi, Managing Director of CRT Capital Group and Christina Warren, Mashable’s Senior Tech Analyst discusses the online retailer’s foray into the mobile checkout market with Trish Regan on Bloomberg’s Street Smart.

Amazon.com, Inc. (NASDAQ:AMZN)

With the Local Register, Amazon.com, Inc. (NASDAQ:AMZN) is entering into a market in which Square and eBay Inc (NASDAQ:EBAY)’s PayPal are already established players. But Doshi said that there is a big opportunity for Amazon by undercutting competition.

“[...] They have 240 million customers. 40 % of goods on Amazon are sold by third party merchants. So the next big step for them is to move payments offline,” he added.

Amazon.com, Inc. (NASDAQ:AMZN) might win over Square by dint of its sheer volume, the latter being just a startup and might not have enough capital to compete with a giant like Amazon. Most of its customers save credit card information on the Amazon website. So, when the same card is used in an offline purchase using Local Register, Amazon.com, Inc. (NASDAQ:AMZN) might be able to use this information to suggest products related to the purchase.

Warren noted that brand factor might not really matter in selecting the method of payment process as long as it is secure.“It really doesn’t matter to the proprietor what they’re using. They want to get the best deal that they can and customers want to pay with their credit card ideally. They don’t necessarily want to pay with their Amazon account,” she explained. So, ultimately, what matters the most is if the deal is good enough for the merchant.

Disclosure: none

blog comments powered by Disqus
Insider Monkey Headlines
Insider Monkey Small Cap Strategy
Insider Monkey Small Cap Strategy

Insider Monkey beat the market by 52 percentage points in 24 months Click to see monthly returns in table format!

Lists

10 Cities with High Demand for Nurses

6 of the Worst Greeting Card Messages Ever Crafted

6 Ways to Make Money in ArcheAge and Build Your Empire

10 Foods To Eat To Lower Cholesterol Levels

The 10 Most Hated Television Characters of All Time

The 30 Worst Halloween Costume Ideas Ever Brought to Horrible Life

10 Vocational Skills in Demand Today with Jobs Waiting to be Filled

10 Best Places to Visit in Central and South America

The 10 Greatest Empires in History Which Nearly Conquered the World

The 6 Cheapest Boarding Schools In America 2015

5 Clear Reasons LoL is Better than DotA, Continues to Rule MOBAs

The Only 9 Teams with a Chance to Win the Super Bowl

The 15 Most Common Phobias in America that Induce Fits of Panic

Top 6 Least Expensive Tourist Destinations in 2014

Jim Goetz, Peter Fenton, Jim Breyer: Top 6 Venture Investors for 2014

Top 15 Billionaires in 2014

5 Pitfalls To Avoid When Buying a Franchise

Top 20 Medical Schools in the US – 2014 Rankings

4 Business Strategies that Turned Jamie Oliver into the World’s Richest Chef

6 Qualities That Make You A Good Team Player

10 High Paying Seasonal Jobs in America this Holiday Season

The 10 Busiest Shipping Lanes in the World

5 Most Valuable Brands in China

The 10 States with Highest Substance Abuse Rates Crippling Their Populace

The Top 10 Things to Do Before You Die That Will Echo for Eternity

The 10 Best Selling Items on Etsy

Top 10 Things to Do in Tokyo, the Greatest City in the World

10 Mistakes on Social Media that Can Harm You and Will Probably Get You Canned

The 10 Best Cities to Find Jobs in 2014

The 10 Most Controversial Songs Of All Time to Hit (and get Banned from) the Airwaves

The 20 Biggest IPOs in US History

The 10 Best Places to Visit in Mexico that Are Beautiful and Safe

7 Bad Habits that Age You Beyond Your Years

The 40 Best Fortune Cookie Sayings That Will Leave You Bemused, Befuddled, or Beguiled

10 Foods to Eat Before a Workout to Make Every Drop of Sweat Count

The 5 Best Documentaries On Netflix You Must See

The Most Heartwarming and Inspirational Story Of This Halloween Season, It Will Make You Cry and Jump For Joy

10 Best Party Songs of All Time to Bring the House Down With

5 New World Order Conspiracy Theories that Will Strangle the World

The 10 Highest Rated Movies of 2014

The 10 Largest Container Shipping Companies in the World

The 10 Largest Armies in the World: Who Should We Be Afraid Of?

Best Warren Buffett Quotes on Money You Need to Hear

The 10 Highest Suicide Rates by Profession

The 20 Most Underrated Movies of All Time

The 10 Fastest Growing Companies in America

The 10 Biggest Outlet Malls in USA

The 5 Most Popular Rap Songs of All Time

The 10 Countries that Eat the Most Meat

The10 Most Expensive Countries to Fly To

Subscribe

Enter your email:

Delivered by FeedBurner

X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 47.6% in its first year! Wondering How?

Download a complete edition of our newsletter for free!