Despite being a $11.5 Billion market, smartwatches have till now been classified as a failure. In fact, 2015 has come and gone and the Year of the Wearable still hasn’t come to fruition. While one of the main deterrents holding back smartwatches from mass adoption is their high ASP considering they’re basically a smartphone accessory, the other is, of course, their limited functionality.
While the first point of contention can be shrugged off as RnD costs of a new generation of devices, the second one is a more pertinent problem in the sense that the success of any commercial electronic device depends on their ability to solve an everyday problem that humans have.
This is why any new avenues of development in the field of smartwatches are greeted with much enthusiasm, and the involvement of the banking sector in this budding technology is indeed great news!
Banking Apps and SmartWatches: A Match Made in Heaven?
With the advent of Apple Pay, contactless payments in smartphones have picked up pace, and now Android OEMs like Samsung and LG have joined in the fun as well. While using the phone is okay, in most situations, getting the phone out of the pocket while both your hands are occupied can be a bit of a hassle.
This where smartwatches come in! They make contactless payments many degrees easier by simply reducing the need of having to bring out your phone for every transaction. And as it is safely strapped to your wrist, it helps in maintaining your digital security as well. Like this, there are loads of ways we can use our smartwatches for our daily transactions, a few of which we have highlighted below.
#1. Restoring Privacy in Banking
One of the most important things that the denizens of the digital age are afraid of is being hacked. With our credit cards and bank accounts being linked to our phones, the wrong message in the wrong hands can lead to catastrophic results. As a result, smartwatches are perfect for receiving sensitive information. The small screen ensures that no peeping toms will get their eyes on private information and being tethered to the wrist guarantees that the message is for your eyes only.
#2. Replacing Credit and Debit Cards
While contactless NFC payments are already easier with the smartphone, smartwatches add the convenience of simply being able to reach across and tap the Payment Gateway to get the money transfer process completed. Not only does this guarantee that no tampering of the device is being done by the operator, but it also eliminates the need for you to hand over your phone to a stranger across the counter.
#3. Making Transactions Easier
One of the more unique uses of smartwatches in Banking could be to send a small amount of money to other users. One of the best use cases for this would be if your wife needed a few bucks in change at the grocery store and you could just swipe on your watch and send it over to them. For parents in the digital age, this could also turn out to be an excellent way to keep a tab on their children and how they spend money either in App Stores or for In-App Purchases.
Not only are our homes getting smarter, so are our wearables. With the help of the banking sector, smartwatches may help us make the leap to a truly cashless society.