Mobile Payment Systems in Malaysia: Its Potentials and Consumers’ Adoption Strategies

Mobile payment is new and rapidly adoption alternative payment method in Asia and Europe. There are instead of paying with cash, check or credit cards. For example, consumer use mobile phone to pay for wide range od services or hard goods such as :
>Music, videos, ringtones

>Transportion fare, packing meters and other services

>Books, magazines , ticket

Nowadays, Malaysian have convenient way to conduct mobile commerce using a GSM cellular phone. Telemoney is the mobile payment service via multi-channel access internet and wireless transaction and it is fully opetational in the first quarter of 2002. It is a free service provided by banks and telco dependence which customer with a credit card or debit card with a cellular phone register for this phone. GSM phone and telemoney personal identify number are connecting to credit card, debit card, stored valued card, bank account or phone account.

Nokia company have provided credit card users in Malaysia a chance to buy items using mobile phones. Nokia company using Vise’s Wave readers. This is a system that deduct a payment from credit card when an Near-Feild Communication (NFC) mobile is pressed against it. Besides that, only Nokia 3220 can support the Visa Wave service.

There is some advantages for using mobilem payment system :

For users: an opportunity to become engaged in the formal banking sector, to facilitate and reduce the costs of remittances, and to enable financial transactions without the costs and risks associated with the use of cash, including theft and travel to pay in person;
For operators: a significant increase in text messaging revenues and a large drop in customer churn
For consumers: m-commerce is more secure and flexible than cash, allowing consumers to make payments remotely
For banks: an increase in their customer reach and the added cash float available to the bank
For retailers: added business opportunities through the sale of prepaid account credits
For micro-finance institutions: the ability to advance funds into remote areas and have regular repayments that do not significantly inconvenience the user
For service industries and utilities: the ability to get payments electronically from a significant portion of the overall population

Refernce Links :

http://premium-mobile.com/content/malaysia-to-trial-mobile-payment-from-visa/
http://en.wikipedia.org/wiki/Mobile_Payment
http://www.zdnetasia.com/news/communications/0,39044192,39001884,00.htm