Welcome!

Blog Feed Post

Research reveals only 2% of UK micro-businesses use an mPOS solution

  • Cash flow identified as the biggest barrier to growth for micro-businesses
  • Existing mPOS solutions fail to tackle this challenge
  • Kalixa launches Kalixa Pro, offering the fastest settlement on the market to address merchants' needs

London - 26th June 2014 - 'mPOS attitudes and adoption', carried out by research firm MobileSquared on behalf of Kalixa Group, reveals that only 2% of micro-businesses in the UK use a Mobile Point-of-Sale (mPOS) to accept payments. It also identifies the number one barrier to business growth is cash flow. mPOS solutions enable businesses to accept a card payment using a smartphone instead of a traditional fixed point-of-sale terminal.

The research is based on responses from more than 1,000 UK micro-businesses (businesses of between one and nine employees in size) including market traders, fast food outlets, independent retailers, and mobile caterers. The announcement corresponds with the launch of Kalixa Pro, a low cost small business payment solution that includes a mPOS product.

The need for mPOS
The research reveals that many micro-businesses identify cash flow (45%) as the number one barrier to growth. In addition, nearly half (48%) of micro-businesses surveyed miss sales or face delayed settlement, with one in ten saying they miss sales because they don't have the required payment capability. And more than half of respondents believe multi-channel payments will be important in the future.

Micro-businesses are looking to mPOS technology to help solve these challenges. 19% believe mPOS will help with cash flow and 17% expect it to remove payment issues. An encouraging 38% of respondents say they will adopt mPOS in the near future as long as their concerns are addressed. Given mPOS is a relatively new technology and micro-businesses are typically hard to reach, it is surprising that 47% of respondents correctly identified the actual definition of an mPOS.

Market adoption
Despite clear interest, understanding and awareness of mPOS, adoption remains exceptionally low. Just 2% of respondents currently use mPOS technology. One major reason is that current mPOS and POS offerings are too slow to settle payments and help businesses' improve cash flow. The majority of existing mPOS services takes between 7-10 days to settle payments.

The research also reveals that mPOS security (56%) and connectivity (29%) are major concerns among micro-businesses.

Kalixa Pro
Kalixa Pro is unique in that it overcomes the cash flow barrier challenge faced by micro-businesses by offering settlement in three business days - less than half the time of the majority of competitors. To truly disrupt the mPOS market, later this year Kalixa will extend its service to offer a fully integrated small business payments account. The account will enable micro-businesses to accept multi-channel payments using the mPOS and Kalixa's online payments gateway, as well as access and make payments across all their settled funds using a prepaid MasterCard®.

"Micro-businesses are missing sales and face delayed settlement, with many citing current payment technology as the culprit and mobile as part of the solution. Yet market adoption simply isn't there," said Colin Swain, Global Head of Product at Kalixa Group. "We listened to what small businesses needed and have launched a unique service proposition that addresses these needs. We're focused on helping to solve the cash flow challenge and provide merchants with an integrated service that takes care of all their payment needs - whether it's making or accepting payments via mobile, online or on the high street.

"However, services can only go so far in solving the adoption problem. According to the research, with the right education 38% of businesses will adopt mPOS in the near future. The UK payments industry needs to tackle the issues of security and connectivity by educating consumers about how safe it is to accept cards using an mPOS, and educating businesses about how next generation networks are delivering near-ubiquitous connectivity. Kalixa is committed to working with the industry to educating consumers and businesses," Swain added.

"Our extensive research talking to micro-businesses revealed that investment in an mPOS device is a major consideration for the majority of these companies that can often take 12-18 months to make, even though there is a marked increase in sales once that decision has been made," said Nick Lane, Chief Analyst at mobilesquared. "It is clear from the research that education is key to addressing micro-business concerns around settlement speed, security and connectivity, but also to educate micro businesses and their customers that the 'calculator-like' device is as trustworthy and safe as every other POS device."

Notes to editors:
For an executive summary of 'mPOS attitudes and adoption', the infographic, or images of Kalixa Pro please visit: http://goo.gl/g4tzJW

Kalixa Pro is a pay as you go service with no monthly contract or annual fees. Card fees are set at 1.99% for every transaction, and the device costs £59.99 + VAT.

Methodology

  • mobilesquared surveyed 1,005 micro-businesses from across the UK
  • Micro-businesses were classed as having between one and nine employees
  • The research was conducted in January and February 2014

-Ends-

About Kalixa Group
Kalixa Group is one of the world's top five payment services providers, based on capability and range of payment options.

With its single payments platform, the Kalixa Group provides merchants of all sizes with omni-channel payments from one supplier. It delivers value to customers by reducing costs, eliminating complexity, boosting operational efficiencies, creating new revenue streams and delivering a seamless, intelligent and frictionless payments experience across multiple channels.

Kalixa's four core products are Kalixa Pay, a prepaid e-wallet with 200,000 users across Europe, Kalixa Pro, an mPOS for small businesses and sole traders, Kalixa Accept, which allows merchants to accept more than 200 payment methods and the PXP Payment Gateway with customers including Urban Outfitters, Intercontinental Hotel Group, bwin.party and MasterCard.

Kalixa Group has an addressable market of more than 100 countries worldwide. It has over 200 employees internationally and offices in London, Gibraltar, Cologne, Vienna and New York.

For more information visit: www.kalixa.com

Media contacts
Sarah Wilson, CCgroup
Tel +44 20 7535 7217
[email protected]

Charlotte Abbott, CCgroup
Tel +44 20 7535 7208
[email protected]

Source: RealWire

Read the original blog entry...

More Stories By RealWire News Distribution

RealWire is a global news release distribution service specialising in the online media. The RealWire approach focuses on delivering relevant content to the receivers of our client's news releases. As we know that it is only through delivering relevance, that influence can ever be achieved.

Latest Stories
NHK, Japan Broadcasting, will feature the upcoming @ThingsExpo Silicon Valley in a special 'Internet of Things' and smart technology documentary that will be filmed on the expo floor between November 3 to 5, 2015, in Santa Clara. NHK is the sole public TV network in Japan equivalent to the BBC in the UK and the largest in Asia with many award-winning science and technology programs. Japanese TV is producing a documentary about IoT and Smart technology and will be covering @ThingsExpo Silicon Val...
The Internet of Things is clearly many things: data collection and analytics, wearables, Smart Grids and Smart Cities, the Industrial Internet, and more. Cool platforms like Arduino, Raspberry Pi, Intel's Galileo and Edison, and a diverse world of sensors are making the IoT a great toy box for developers in all these areas. In this Power Panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists discussed what things are the most important, which will have the most profound e...
SYS-CON Events announced today that Twistlock, the leading provider of cloud container security solutions, will exhibit at SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Twistlock is the industry's first enterprise security suite for container security. Twistlock's technology addresses risks on the host and within the application of the container, enabling enterprises to consistently enforce security policies, monitor...
Multiple data types are pouring into IoT deployments. Data is coming in small packages as well as enormous files and data streams of many sizes. Widespread use of mobile devices adds to the total. In this power panel at @ThingsExpo, moderated by Conference Chair Roger Strukhoff, panelists will look at the tools and environments that are being put to use in IoT deployments, as well as the team skills a modern enterprise IT shop needs to keep things running, get a handle on all this data, and deli...
Automation is enabling enterprises to design, deploy, and manage more complex, hybrid cloud environments. Yet the people who manage these environments must be trained in and understanding these environments better than ever before. A new era of analytics and cognitive computing is adding intelligence, but also more complexity, to these cloud environments. How smart is your cloud? How smart should it be? In this power panel at 20th Cloud Expo, moderated by Conference Chair Roger Strukhoff, pane...
With billions of sensors deployed worldwide, the amount of machine-generated data will soon exceed what our networks can handle. But consumers and businesses will expect seamless experiences and real-time responsiveness. What does this mean for IoT devices and the infrastructure that supports them? More of the data will need to be handled at - or closer to - the devices themselves.
Building a cross-cloud operational model can be a daunting task. Per-cloud silos are not the answer, but neither is a fully generic abstraction plane that strips out capabilities unique to a particular provider. In his session at 20th Cloud Expo, Chris Wolf, VP & Chief Technology Officer, Global Field & Industry at VMware, will discuss how successful organizations approach cloud operations and management, with insights into where operations should be centralized and when it’s best to decentraliz...
In recent years, containers have taken the world by storm. Companies of all sizes and industries have realized the massive benefits of containers, such as unprecedented mobility, higher hardware utilization, and increased flexibility and agility; however, many containers today are non-persistent. Containers without persistence miss out on many benefits, and in many cases simply pass the responsibility of persistence onto other infrastructure, adding additional complexity.
SYS-CON Events announced today that Grape Up will exhibit at SYS-CON's 21st International Cloud Expo®, which will take place on Oct. 31 – Nov 2, 2017, at the Santa Clara Convention Center in Santa Clara, CA. Grape Up is a software company specializing in cloud native application development and professional services related to Cloud Foundry PaaS. With five expert teams that operate in various sectors of the market across the U.S. and Europe, Grape Up works with a variety of customers from emergi...
@ThingsExpo has been named the Most Influential ‘Smart Cities - IIoT' Account and @BigDataExpo has been named fourteenth by Right Relevance (RR), which provides curated information and intelligence on approximately 50,000 topics. In addition, Right Relevance provides an Insights offering that combines the above Topics and Influencers information with real time conversations to provide actionable intelligence with visualizations to enable decision making. The Insights service is applicable to eve...
DevOps is often described as a combination of technology and culture. Without both, DevOps isn't complete. However, applying the culture to outdated technology is a recipe for disaster; as response times grow and connections between teams are delayed by technology, the culture will die. A Nutanix Enterprise Cloud has many benefits that provide the needed base for a true DevOps paradigm.
Back in February of 2017, Andrew Clay Schafer of Pivotal tweeted the following: “seriously tho, the whole software industry is stuck on deployment when we desperately need architecture and telemetry.” Intrigue in a 140 characters. For me, I hear Andrew saying, “we’re jumping to step 5 before we’ve successfully completed steps 1-4.”
All organizations that did not originate this moment have a pre-existing culture as well as legacy technology and processes that can be more or less amenable to DevOps implementation. That organizational culture is influenced by the personalities and management styles of Executive Management, the wider culture in which the organization is situated, and the personalities of key team members at all levels of the organization. This culture and entrenched interests usually throw a wrench in the work...
Bert Loomis was a visionary. This general session will highlight how Bert Loomis and people like him inspire us to build great things with small inventions. In their general session at 19th Cloud Expo, Harold Hannon, Architect at IBM Bluemix, and Michael O'Neill, Strategic Business Development at Nvidia, discussed the accelerating pace of AI development and how IBM Cloud and NVIDIA are partnering to bring AI capabilities to "every day," on-demand. They also reviewed two "free infrastructure" pr...
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...