2Take Me to Your Leader
Google Wallet is led by Stephanie Tilenius, vice president of commerce and payments at Google. Google poached Tilenius from eBay, where she last served as senior vice president of eBay North America and Global Product. Prior to that, she served as general manager and vice president of PayPal Merchant Services.
Citi and MasterCard are providing credit card and prepaid card services for Google Wallet. Verifone Systems is making the checkout terminals. VIVOtech is supplying the NFC readers. Google hopes additional banks, payment networks, mobile carriers, handset manufacturers, point of sale systems companies and merchants will join the initiative.
Security of such a service is an essential factor. To wit, Google Wallet requires an app-specific PIN. Initially, all payment card credentials will be encrypted and stored on a chip, called the secure element, which is separate from the Android device memory and is only accessible by authorized programs.
Google is also building a SingleTap service that lets shoppers pay for goods using a credit card or gift card, redeem promotions, and earn loyalty points with one tap of their phone. Google is working with VeriFone, Hypercom, Ingenico, VIVOTech and others to develop these point of sale systems. Retailers participating in the new SingleTap experience include American Eagle Outfitters, Bloomingdale’s, Champs Sports, The Container Store, Duane Reade, Einstein Bros. Bagels, Foot Locker, Guess, Jamba Juice, Macy’s, Noah’s Bagels, Peet’s Coffee & Tea, RadioShack, Subway, Toys “R” Us and Walgreens.
Google Offers, the local deals service and Groupon rival, also was launched to complement Google Wallet. Whenever a shopper buys or saves an offer, it will automatically sync to Google Wallet. The Google Offers service has been in serious testing in California, New York and Portland, Ore., for a few months.
11Revenue from Ads
12From Sports Tickets to Restaurant Deals
16At the Point of Sale
Eventually, users will be able to use the NFC capabilities in their Android phones to scan posters to pick up Google Offers from Macy’s and other providers.