Paylib Mobile Payments System Set to Add P2P
A steadily-growing number of mobile payments options means that those in play have to work that much harder to differentiate themselves from the glut. Paylib—the mobile wallet system that was built by a group of French banks—may just be on to something thanks to its latest development: peer-to-peer (P2P) payments using nothing but a phone number for identification.
The first bank to try this concept out is BNP Paribas, who will offer its customers the ability to transfer cash from one user to another just by punching in a phone number. Other banks involved will follow after, including Credit Agricole, Societe Generale, and La Banque Postal. All are expected to have the system in place before autumn. The group might even expand as Credit Mutuel-CIC is setting up to join in as well. That would boost the group’s reach to 90 percent of the entire French consumer market.
Paylib has done a good job so far of growing organically, reports note, as it currently has 1.2 million users. If that Credit Mutuel-CIC expansion kicks in, growth will likely go still further as most of the market will be in play. Though users will have to contend with a daily limit of 500 euros per transaction, it’s still moving briskly. Best of all, the system will be able to get in on instant payments at the end of this year when France launches its real-time payment network.
The sheer number of platforms out there ensures that any mobile payment platform coming in will need to have some kind of competitive advantage to get anywhere. It has to; people are already in their platform of choice, for the most part, so if Paylib—or anyone else—wants to get more customers in, they’re going to have to get those customers away from other platforms. To do that, the platform needs an advantage, and peer-to-peer payments with nothing but a phone number is a pretty compelling advantage. It allows for rapid payment of everything from bar tabs to bar bets, so younger users will likely take an interest. It won’t stop there either, as other users find a way to get in.
Paylib’s plan might be enough to help ramp up its user count, but only time will tell for sure.