Thanks to smartphone penetration and access to high-speed internet, the digital payment scenario has seen various new technologies and QR code is one of them.
from product packaging to payment acceptance, the marketplace has welcomed and adopted QR codes pretty quickly.
Payment acceptance by QR codes has been proved as a low-cost alternative. Merchants can easily create and display customized QR codes eliminating the need for expensive POS infrastructure.
QR or Quick Response codes are similar to the bar codes but unlike the bar codes, QR codes can store a huge amount of data.
This data is stored in the form of horizontal and vertical black chunks of patterns on the white background.
The information can be encrypted when the code gets scanned by the QR code scanner. Nowadays almost all mobile devices come with an inbuilt QR scanner.
One of the advantages of using QR codes is that they have inbuilt integrity checks. Meaning, even if the part of the QR code is damaged, the scanner can still scan it to extract the information.
In the case of digital payments, the QR codes contain commands related to the transactions. Merchants can easily create static or dynamic QR code that supports POS scanning, mobile scanning, app to app payments, etc.
QR codes can be Static or Dynamic. QR codes displayed at checkout or printed on the stickers or bills are static codes.
They contain specific information that can’t be changed. On the other hand, static codes are generated during the transactions and they require the customer’s or merchant’s device screen to display.
They are generally valid for a short amount of time and contain some unique information.
QR codes can be processed in more than one way,
A customer can scan the QR code displayed on the product, at checkout, on the bill, etc. with the QR code scan application on the mobile device.
If the merchant is using a POS system, once the total amount is displayed on the POS, the customer opens the payment app.
This app displays the QR code incorporated with the customer’s card details. The merchant then scans this code and concludes the transaction. QR codes can also be processed with the app to app payments.
In this case, both merchant and customer use their applications. customer scans the QR code generated by the merchant’s application.
This QR code incorporates transaction details. After scanning the code, the customer confirms the transaction and completes the payment.
For online transactions using QR codes all you need is a smartphone (one with a QR code scanner).
QR codes enable a simple, easy, and cost-effective setup to accept real-time digital payments.
Merchant won’t need to buy expensive third-party add ons like POS machines. QR payments facilitate secure and on-the-spot payments.
Data transferred by the QR codes is encrypted and hence, QR code payment solutions minimize security breaches and data loss. QR codes comprise unique data and as no additional information is needed as an input it eliminates the probability of any kind of error.
Want to adopt QR code payments for your business?
Use Lyra’s EPOS
Lyra’s EPOS or Electronic Point of Sales Application enables secure and on-the-spot payment collections from the mobile device. It eliminates the need for bulky POS hardware and cates the need of the omnichannel business.