Google has entered the tap to pay market with Android Pay, a new service enabling users to pay with their Android phones.
The latest service from the tech giant allows users to unlock their phone in order to pay by placing it near a merchant’s contactless terminal, which puts Google directly in competition with services such as Apple Pay and Samsung Pay.
While it is somewhat similar to Google’s Google Wallet, the new system functions without the need for an app and pin.
“Android Pay does all the heavy lifting. You don’t even need to open an app—just tap and go. You’ll also see a payment confirmation and get transaction details right on your phone,” Pali Bhat, Google Director of Product Management, said in an official blog entry.
“Also, with select retailers, your loyalty programs and special offers will be automatically applied at checkout. For example, when you tap to buy a Coke at a vending machine, your MyCokeRewards will be automatically applied. With Android Pay the contactless terminal not only receives your payment info, but also your loyalty programs and offers.”
The service will also allow users to make purchases within apps. Instead of having to enter details like credit card numbers and shipping addresses, a “Buy with Android Pay” tap will make it easier to fork out those dollars in-app. Developers are also being encouraged to integrate their apps with the service, which has been designed “to work with any payment processor”.
As of now, the U.S. is the targeted market for the service, but a wider reach is expected to be announced soon. Android Pay already has over 700,000 U.S. store locations supporting the platform, including Coca-Cola, McDonald’s, Subway, and Domino’s.
“Android Pay will be available on Google Play for download soon,” Mr Bhat said.
“And when your bank integrates, you could also activate Android Pay directly from your bank app. We are also working with major US mobile carriers (AT&T, T-Mobile, Verizon) to help ensure that when you buy a new Android phone, you can walk out the door ready to use Android Pay.”