The service can be used with iPhones, iPads and Android phones, and sends receipts to both customer and merchant.
CBA executive general manager for business products development Kelly Bayer Rosmarin told the Australian Financial Review that the service is an extension of its eVolve eCommerce platform, which is accessed by about 4,500 mobile devices each month.
CommBank's website hosting service is about $50 per month.
Andrew Cheeseman, general manager of merchant solutions at CBA, said the service is targeted at SMEs who want to be mobile and deal with a small number of transactions.
Sam Yip, senior research manager at Telsyte, said the growing popularity of smartphones and the increased usage of eCommerce transaction services by SMEs suggest the market is heading in the right direction.
Stressing it's still early days, Yip expects other major banks to come on board with rival mobile payment products. CBA is believed to be the only major bank offering the service.
But Yip says Google Wallet, which is being trialled overseas, will be a major competitor to CBA's five-month-old service.
"When that comes to Australia, that could be a game-changer."
Yip adds that while all new forms of technology can have glitches, the cashed-up and consumer-sensitive CBA has most likely covered its bases when it comes to security.
Another potential competitor for CBA's mobile payments service is Square, the US mobile payments founded by ex-Twitter chief executive Jack Dorsey.
The service, which allows users to take credit card payments by attaching a card reader through the audio port of an iPhone or Pad, is only available in the US but is examining overseas expansion.
The company is now processing $2 million in payments a day.
Related Items :
written by iCCPay, June 16, 2011
