Wireless payment means easier consumer expenditure and greater revenues, according to a mobile payment technology executive.
Daniel Lavecky, the 26-year-old CEO of Sydney-based wireless payment technology company Pure Commerce, has a pragmatic approach to retail. "Another way of contacting the customer can only be good," he said. "Wireless is not hype."
Lavecky said Pure Commerce provides businesses with the technology to receive payments made via WAP (wireless application protocol)-enabled mobile phones, receiving licence fees, monthly fees and transaction fees for the service. He said that by using Pure Commerce technology, a retailer could transfer money from a customer's bank account into the retailer's account with a typical transaction approval time of 10 seconds per transaction.
However, these fees are flexible, and depend on the size and frequency of the transaction, he said.
Lavecky said that 95 per cent of Pure Commerce's revenues came from overseas business. However, the relatively small contribution from the local market into the Sydney-based company's kitty did not represent any reluctance in Australia's uptake of new technologies, he said.
Rather, the global nature of the Pure Commerce technology meant that businesses across the world were just as likely to use the product as businesses in Australia. In fact, Pure Commerce is able to handle transactions in 150 different currencies, he said.
The self-funded and still privately owned company drew revenues of $1 million in its first year of operating. Lavecky explained that company revenues to date had been achieved through partnerships with telcos. In Australia, the company is partnered with Optus, whose network it uses to transmit secure payment data.
Lavecky said he believes revenues will grow tenfold in less than three years.
He said his company was considering further equity-raising strategies, including a public listing, although no final decisions had yet been made.