Zapp, the VocaLink controlled mobile payments provider, has announced it is to work with Fexco to offer mobile payments in store.

The partnership means that acquirers will be able to support Zapp transactions through Fexco’s Flashiz mobile payment platform on existing POS terminals.

Not having to upgrade hardware to support the mobile payments app means retailers will be more inclined to intergrate mobile payments through QR code and NFC.

Peter Keenan, chief executive at Zapp, said: "We’re delighted to welcome Fexco into the Zapp payment ecosystem. We’re committed to building the most open and inclusive alliance of any mobile payment initiative and this is another example of how the industry is getting behind Zapp, working together to make mobile payments a reality for millions of consumers.

"We know that for retailers, it’s important that any new payment service is technology agnostic and easily integrates with their existing in-store hardware. Today’s announcement – and others we will make in the coming months – helps makes this possible."

Fexco’s head of mobile payments, John McCarthy, said: "Today’s announcement is an important step towards our goal of supporting our acquiring partners in accepting mobile payments. Through our partnership with Zapp, acquirers will be able to seamlessly support Zapp transactions on existing Point of Sale hardware.

"This partnership highlights how acquirers can adopt this technology and best position their business to profit from the rapidly evolving world of mobile payments. At Fexco, we believe that mobile payments will play a key role in the future of retail and we are looking forward to working with Zapp to roll out new merchant locations on multiple integrated and standalone devices in 2014."

Research by the Cebr2, commissioned by Zapp, predicted that 20m adults will use their mobiles to pay for goods and services by the end of the decade, with the value of purchases tripling from current levels to £14.2bn in 2018. By 2020, Zapp expects mobile payments to represent 1.4% of total consumer spending.

Zapp announced in January 2014 that its online payment service will be open from the Autumn 2014 but that the mobile POS side will not be available until 2015.

Zapp has managed to sign up some big industry names as partners: HSBC; Nationwide; Metro Bank; Santander; WorldPay; Elavon; Sage Pay; Realex Payments and, Optimal Payments have joined.


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