HSBC Enables Contactless Payments for UK Small Businesses with Smartphone App
Eligible HSBC UK small business customers can now accept supported contactless payments via a compatible smartphone, eliminating the need for an additional card reader. Businesses can begin using their HSBC Business Banking app for this feature.
“Tap to Pay gives sole traders and businesses an additional, simple way to take payments using their phone, helping serve customers wherever business happens,” said Gavin Maclean, HSBC’s UK head of global payment solutions.
Marc Fryer, head of revenue and growth for Stripe’s UK and Ireland operations, noted that while small businesses play a crucial role in the UK economy, they are hindered by payment administration.
“We can take that hassle away and give them better ways to get paid so they can focus on growing,” Fryer stated.
Mobile Wallets Gain Ground, But Most Shoppers Still Prefer Tapping a Card
The new offering comes as consumers maintain their preference for familiar payment methods, even as mobile wallets gain traction, according to the October PYMNTS Intelligence report, “Apple Pay @12: Mobile Wallets Gain Ground, but Most Shoppers Still Tap a Card.”
The report revealed that the share of in-store shoppers who paid for their most recent purchase with a wallet increased to 8.2% from 4.3% in 2023.
“Wallets can become a favorite once shoppers use both options,” the report noted. “Among shoppers who used both a mobile wallet and a tap-to-pay card in the same week, about half used the wallet more often.”
Among wallet users, 54% save only one payment method in their most frequently used wallet, while 5% always use the default option. Approximately 40% switch between saved methods.
“For an issuer, that means a customer’s decision to add a card has consequences beyond a single purchase,” the report concluded. “Without another saved option, there is no competing card to select inside that wallet.”