Loop Insights Inc (CVE:MTRX) has introduced a near-field communication contactless payment verification platform to help support the shift of brick and mortar retail stores to curbside pick-up and delivery caused by restrictions imposed under the coronavirus (COVID-19) pandemic.
Even though options like curbside pick-up help improve social distancing, they still involve a manual process between retailers and consumers, the company said. Loops Insights' technology connects customers’ payment information with retailers’ online and offline store data in order to verify the shopper and validate the transaction.
The company noted that some major retailers making the shift to contactless pick-up run into difficulty at the point of sale. Target Corporation (NYSE:TGT), for one, found that its curbside pick-up still involved too much human contact and paused the effort on March 26, according to TechCrunch.
READ: Loop Insights makes key executive hire to help forge path in the multibillion dollar consumer electronics industry
The issue is compounded for people who receive benefits from the Supplemental Nutrition Assistance Program (SNAP), which Amazon and Walmart accept online, but only in certain states, according to CNBC. What’s more, benefits like SNAP often can’t be used to cover delivery fees.
"COVID-19 has created the perfect storm of relevancy for our platform,” CEO Rob Anson said in a statement. “Loop will provide a safe and secure experience for customers and employees. The need for a digital transformation is at the absolute forefront and our solution will play a large role in the transformational retail shift following this crisis."
Ultimately, the contactless payment market is expected to grow from US$10.3 billion in 2020 to US$18 billion by 2025 at a compound annual growth rate of 11.7%, according to the firm Markets & Markets. That puts Loop Insights in a favorable position, particularly as the coronavirus forces companies to establish contactless consumer interaction, the company said.
Contact Andrew Kessel at [email protected]
Follow him on Twitter @andrew_kessel