If you pay attention to the big movers and shakers in social networking, you may have heard recently that Facebook is about to get involved in the rapidly growing world of mobile payments. For those unfamiliar with the idea, check out the Infograph below!
Facebook is awaiting approval from the Central Bank of Ireland to begin offering this new service to their users. If the Bank approves, Facebookers will be able to directly exchange funds through the site and the social networking monster will have yet another edge on its competition. The revenue possibilities are endless once Facebook makes this move.
The use of E-money has been sort of hit or miss since it emerged in the e-commerce world. It seems consumers are a bit wary of placing their trust solely in digital money and online-only banking entities. Personally, I have only used Google Wallet (another Mobile Payment Platform) a handful of times for that same reason. It’s easy to spend out of control when all you have to do is tap your screen or push a button. The process of handing paper money over to a cashier makes the transaction seem more tangible, and this keeps me from going over my budget.
On the other hand, when you think about how much simpler mobile payments could make your life, it appears that there are enough benefits to outweigh my old-fashioned sensibilities. Imagine this scenario: you owe an old buddy from college a couple hundred bucks for some favor they did you years ago. You keep in touch sporadically, via Facebook, because you live on the other side of the globe. One day, you decide to finally pay off that debt you owe, so instead of writing a check, wiring the money overseas, or doing something nutty like mailing cash, you simply make a quick transaction on Facebook and send it directly to your friend’s mobile wallet. How awesome is that?!
With global mobile transactions projected to increase “at an average 35 percent per year between 2012 and 2017″ (Yahoo! Article), and a user base of over 1 Billion people globally, Facebook is making big moves to corner this up-and-coming trend in the marketspace. I guess we’ll just have to sit back and watch to find out whether or not 1/7 of the world’s population is going to say “Sayonara” to physical cash.