PayPal debuted its Beacon technology on Monday, which will allow consumers to pay for products and services hands-free, making the shopping experience faster and simpler while providing retailers the ability to offer the most advanced payment capabilities.
“PayPal Beacon opens the door to a fundamentally different way to use technology to make shopping more valuable and more personal for consumers and retailers,” PayPal President David Marcus said. “We challenged ourselves to find a better experience than swiping a credit card. We figured the only better way to pay would be to do nothing. Just walk in a store, and, like magic, when you’re ready to pay, money is transferred securely. No wallet. No card. Nothing to do. Not even touching your phone.”
Beacon, which is provided to merchants and retailers, leverages Bluetooth low energy, a technology that enables connected devices to communicate with each other while keeping energy consumption low. BLE technology will allow transactions to occur without the use of an app, GPS or phone signal.
When customers enter a store, they will have the ability to check in and confirm payment at a selected retailer. Beacon does not constantly track a user’s location, and if a customer declines to check in or ignores the prompt, no information is transmitted to PayPal or the merchant.
Any store running PayPal-compatible point-of-sale systems, including Booker, Erply, Leaf, Leapset, Micros, NCR, PayPal Here, Revel, ShopKeep, TouchBistro and Vend, will be able to use the Beacon technology.