LAGOS, Nigeria (VOICE OF NAIJA)-E-commerce stakeholders are urging for the widespread use of SoftPOS, a payment solution that allows financial transactions to be conducted without the need for physical devices.
They highlighted its potential to address financial transfer challenges.
Bankers, fintech companies, and e-commerce platforms emphasised this point at a recent event in Lagos titled “Accelerating Contactless Adoption: A Collaborative Approach to Overcoming Adoption Barriers.”
The convener of the event and Chief Executive Officer of NetPlusDotCom, Wole Faroun, highlighted that SoftPOS has advanced in improving payment accessibility and convenience, though it has not yet reached widespread adoption.
Recognized as a financial innovation by stakeholders, SoftPOS utilizes Near Field Technology to enable contactless payments among users, eliminating the need for physical contact during transactions.
READ ALSO: NDIC: Account Name Discrepancies Delays Payment For Heritage Bank Depositors.
Faroun said, “SoftPOS technology transforms smartphones into payment terminals, eliminating the need for traditional Point of Sale hardware.”
The CEO of NetPlusDotCom also noted that their organization has been pioneering NFC innovation in Nigeria, forging partnerships with leading commercial banks such as Providus, Zenith, FCMB, Wema Bank, and First Bank.
Attendees at the event highlighted various challenges hindering contactless adoption in businesses and personal finances, citing issues like technology education gaps, poverty, and limited internet access in certain regions of the country.
The Group Head of e-business at Providus Bank, Kayode Sangoleye, emphasized the bank’s efforts in developing Providus SoftPOS, introduced in 2023 through collaboration with Mastercard.
He underscored that the motivation behind SoftPOS stemmed from a quest for a more profitable business model compared to traditional POS machines, which banks distribute to merchants for free despite their individual purchase cost of $100.
The Divisional Head of Payment and Solutions, FCMB, Frank Atat, pointed out that the high cost of NFC-enabled smartphones prevents many Nigerians from owning them.
The stakeholders unanimously agreed on the necessity for collaboration to develop a more profitable business model for SoftPOS, beneficial for both commercial banks and digital financial services providers.