CIBC and Rogers complete first mobile credit card transaction in Canada
TORONTO-- CIBC and Rogers have completed the first point-of-sale mobile credit card transaction in Canada using the secure SIM card inside an NFC-enabled smartphone. Simon Whitfield, Pan American Games and Olympic medalist, performed the credit card transaction, buying coffee at Tim Hortons using the CIBC Mobile Payment App on a BlackBerry smartphone from Rogers.
The payment option will be available to CIBC credit card clients using a Rogers smartphone, allowing them to pay for coffee, groceries, and other everyday purchases by holding their smartphone up to one of the tens of thousands of Visa payWave and MasterCard PayPass contactless terminals across Canada and around the world.
"We're pleased to make history in mobile commerce in Canada by completing the country's first mobile credit card transaction," said David Williamson, Senior Executive Vice-President and Group Head, Retail and Business Banking, CIBC. "Getting a coffee while you are on the go is just one example of the kind of transaction that's going to be made easier when you can pay in just seconds with a CIBC credit card on your smartphone, and we're excited about the possibilities this offers our clients."
The new CIBC Mobile Payment App will initially be available on two smartphones on the Rogers wireless network - the BlackBerry Bold 9900 and BlackBerry Curve 9360, beginning November 16th 2012. As of today, NFC SIM cards required to access the solution on Rogers suretap™ ready devices can be ordered online. Additional suretap-ready devices will support the solution in 2013, including Android and Windows Phone 8 platforms, broadening the offer to more Canadians.
The initiative represents the first time a bank and a wireless carrier have joined forces to offer a commercially available mobile payments solution to Canadians that leverages the secure SIM card inside an NFC-enabled device. The solution aligns to guidelines announced earlier this year by the Canadian Bankers Association for mobile payments in Canada.
"We've seen firsthand how quickly demand can build in other aspects of mobile financial services such as mobile banking, and based on the feedback from our clients we see mobile payments growing rapidly in Canada in the coming years," noted Mr. Williamson.
Forecasts for mobile commerce suggest that it will become a significant method of payment in the next few years. By 2016, Technology Strategy International forecasts that almost 80 per cent of the smartphones in Canada will be NFC-enabled, and IE Market Research forecasts total mobile payments in Canada will reach $14.2B.
"In a few years, a mobile wallet will be as common as a camera on a smartphone. The opportunity in mobile payments for our business is just getting started. Our vision is to take the millions of cards Canadians carry today and to make them instantly accessible and secured on the SIM card of a smartphone," noted Robinson.