QR Code for Payment: Road to a Cashless Society

Update:  August 18, 2023
QR Code for Payment: Road to a Cashless Society

Digital transactions embrace innovative approaches to improve how people do business online by including QR codes, making cashless transactions even more attractive.

QR codes for payments offer clients a simple, contact-free transaction alternative and are convenient and easy to adopt for businesses.

By 2025, up to 30% of all smartphone users will pay via QR codes.

67% of respondents to a MobileIron survey said that QR codes make life easier in a contactless world.

A range of payment alternatives is vital if you provide a user-friendly in-store or e-commerce checkout experience.

How does a QR code for payment work?

Unlike linear barcodes, which people can only scan from paper with a laser barcode scanner, you can scan QR codes in both print and digital display using only a smartphone device.

As a result, you can find QR codes in various online retailers and apps as they are easily accessible.

As long as your iPhone or Android smartphone runs the newest iOS or Android software, you can read QR codes directly from the primary camera app.

Open the camera and point it at the QR code, which your phone will recognize, and a push notification will appear, prompting you to tap it to complete the procedure.

People can make QR payments in a variety of ways:

Payments between apps

QR code payment

You and the recipient can both open the required apps, and then you use your app to scan the recipient’s unique QR code displayed in their app.

You confirm the payment amount and press to complete the transaction.

Other payment apps like Alipay and Clover are good examples, with customers scanning a dynamically generated QR code to activate the transaction QR code payment method.

It’s a well-liked point-of-sale system that combines stylish POS hardware with straightforward payment processing into a single package.

Smartphone scanning the QR code of the business.

Open the QR code payment app that you want to use.

Then, scan the code at the checkout counter, on individual products, on the website, or on a printed bill and, if necessary, confirm the pricing before pressing to complete the transaction.

You will almost always have to insert your credit card information to pay. If the app is a store-specific app, you may give discounts and reward points through it.

Retailers scanning a QR code on the user’s phone screen

Once the total transaction amount is confirmed in the retailer’s POS system at checkout, you can access some of the necessary company or payment apps enabling QR code transactions.

A unique QR code displayed by the app identifies your card information.

The rise of QR codes as a payment tool during the outbreak of the COVID-19 pandemic

Many people wonder what comes next — or if we even need something to replace a reincarnated piece of “outdated” character recognition equipment that appeared as a champion during the pandemic.

While vaccine passports and other applications for QR codes are investigated, the quick-service restaurant and larger dining sectors continue to be the most affected.

Payment QR code

Quick-service restaurant magazine, a restaurant news portal, recently claimed that:

“Industry experts had been wondering for months leading into summer 2021, when prevalent vaccinations were expected to drive a resurgence in on-premises dining, what the fate of all those QR codes would be.

But it quickly became clear that QR codes, a somewhat forced adaptation during the pandemic, had enough benefits for both restaurants and customers that they are here to stay.”

In addition, retailers and restaurants used QR codes for digital menus and contactless payment alternatives to reduce physical contact between staff and customers during the COVID-19 pandemic.

In recent years, prominent payment providers such as PayPal have begun to use QR codes at the point of sale as a touch-free, cash-free payment option.

Moreover, according to Juniper Research, the global spending on QR code payments would exceed $3 trillion by 2025, an up from $2.4 trillion last year.

The increased focus on enhancing financial inclusion in developing nations and giving alternatives to traditional payment methods will fuel the 25% increase.

Two ways how QR codes for payment work

We can use QR codes for various things, but how are they employed in payments? Are they significant?

It’s a contactless payment mechanism allows consumers to pay simply by scanning a QR code with their smartphone.

Here are examples of how to make payments with QR codes:

App-to-app payment method

With the utilization of QR codes, online payment or e-payment systems such as PayPal implement different initiatives to enhance the approach business is done online by incorporating QR codes, enabling cashless and contactless activities even more fascinating.

PayPal altered its online payment processing pricing a few years ago, affecting both new and existing merchants.

PayPal Zettle, PayPal’s mobile POS app, may be used to accept in-person PayPal and Venmo QR code payments at your business.

Because it immediately syncs with your business PayPal account, PayPal Here is a terrific mobile POS for PayPal merchants who also sell in person.

You don’t have to be a PayPal seller to take advantage of PayPal Here’s a convenient and user-friendly POS. It’s also free to use, with no monthly software fees; all transactions, including credit card and QR code payments, are charged a flat 2.7% fee.

“Zettle by PayPal is a Swedish financial technology company founded by Jacob de Geer and Magnus Nilsson in April, and is now owned by PayPal.”

URL QR Code for payment

Businesses can use payment links to sell a product or service, establish a subscription, or receive donations.

When a payment link is embedded in a URL QR code, it can be utilized as a gateway to contactless payment.

For example, you can create your own PayPal.Me link with your selected username, which you can send to your consumers by email, text message, or embed on your website and social media platforms.

You can then turn your Paypal.Me link into a QR code that will allow your customers to pay you via scanning the QR code.

Donation Point Go was also intended to make receiving donations faster and easier.

It uses QR code technology to provide immediate access to the online donation campaign for potential donors.

Real-life examples of a QR code being used as a payment method

Walmart Pay

QR code payment method

Image Source

One of the largest retailers was an early adopter of self-checkout technology, and they’ve been cranking it up ever since.

Customers can now scan and pack their goods at one of the store’s self-service registers, then pay by scanning the QR code provided with their smartphone using the Walmart barcode scanner at checkout and the Walmart Pay app.

Walmart also prints QR codes on receipts that price-match your purchases with those of other local companies, generating a cashback-like amount that may be redeemed at Walmart later for the thrifty shopper.

Customers can save 5% on purchases using their Capital OneTM Walmart RewardsTM card, which connects the QR code payment option to Walmart’s larger omnichannel strategy.

Donation Point Go

Donation Point Go was intended to make receiving donations faster and easier.

It uses QR code technology to provide immediate access to the online donation campaign for potential donors.

The one-of-a-kind QR code can be included in your campaign and used in various places, including mailers, posters, tickets, newspapers, magazines, billboards, and more.

When contributors come across your campaign, they can scan the QR code with their smartphone to be redirected to a campaign webpage tailored to your campaign’s needs.

Your donor can now make a payment to your campaign with a credit card or e-wallet that they already have on their phone with just one tap.

No additional apps are needed, and it works on all modern devices.

Amazon Go

Amazon go code

Image Source

Amazon Go is a convenience store business owned and operated by Amazon in the United States and the United Kingdom.

They employed QR codes to allow clients to get their purchases in-store without having to wait in long lineups.

Users can compare items and read reviews with a simple QR code scan on their smartphone devices.

Benefits of QR code for payment for a cashless transaction

You can make payments safer by using QR codes.

During the COVID-19 pandemic, everyone was concerned about their safety.

By avoiding touch, QR codes help to protect customers and employees.

Buyers can scan a code and pay their bills instantly from mobile devices.

Staff at restaurants and stores no longer have to handle credit cards or cash, and servers will receive contactless tips from customers.

It can be displayed in online settings like Livestream, social media, and websites.

People may now find QR codes almost anywhere. It can be uploaded to the internet, flashed during a Livestream, shared on social media, and even displayed on websites!

That being said, QR codes are adaptable because they may be used for various purposes other than payments.

Can be placed on print materials

Contactless payment method

Use QR codes in print adverts to run a successful printed marketing campaign.

You will give more information and exciting marketing materials to the audience by incorporating a QR code into your printed campaign.

QR codes were created as a digital tool to embed information and were generated using an online QR code generator.

Moreover, QR codes can be utilized for contactless payments, allowing scanners to order and pay using the QR code on your printed materials.

How to scan a QR code

A QR code can be scanned in a variety of ways. Stated below are some of the instructions on how.

QR codes can be scanned using your Android device.

QR codes are typically used to browse a website to learn more about a specific subject.

They need to scan the code with a QR code reader to be directed to a landing page that displays the data that the user has inserted.

In most cases, Android devices include a built-in QR code scanner. Android versions 8 and 9 can scan QR codes without using an app.

Some earlier Android versions, on the other hand, have yet to receive the most current update.

To see if your smartphone device can scan QR codes natively, follow these steps:

  • Open your camera program.
  • For 2–3 seconds, point it at the QR code.
  • Click the notification that displays to view the content.

Check the camera settings to see whether QR code scanning is possible if nothing else works. If you don’t see one, your Android phone doesn’t have a QR code option.

As a result, you’ll have to use third-party apps to read or decode QR codes.

If your Android device has a QR code scanner, pointing the camera at the code will cause a pop-up notification to appear on the screen.

By clicking on a QR code, you can view its contents.

Related: How to Scan a QR Code Android Without an App?

QR codes can be scanned on iOS devices as well.

iPhone users’ curiosity is piqued as new iOS versions are released to stay up with technological advancements.

QR Codes are printed and seen everywhere with progress.

Since iOS 11’s plethora of improvements, the QR Code scanning feature has been one of them.

This functionality is still available in the most recent iOS release version.

These are the simple procedures for using iOS 11 for QR code scanning.

Place the rearview camera towards the QR code when using the iOS camera app.

A notification will appear after the scanning is finished. This will usually take you to a link in the Safari app.

If you have trouble scanning QR codes, go to the Settings app and enable QR Code scanning.

The scanning capability of iPhone devices now allows you to scan QR codes on iOS.

Related: How to Scan QR Codes on iPhone Devices

QR code applications such as QR TIGER

Payment QR code scanner

While having a built-in QR code scanning feature is useful, not having one does not imply you’re out of options.

You can always download third-party software to read QR codes using an iOS or Android device.

QR TIGER’s QR code generator and scanner, for instance, may be downloaded for both iOS and Android smartphones.

Applications with QR code readers

There are other applications that can also be used to scan a QR code, such as:

  • LinkedIn
  • Instagram
  • Pinterest
  • Snapchat

The future of mobile payments with QR codes

When you go shopping, how often do you use contactless payment? Do you have any doubts about making transactions with your phone?

As a marketer, how can you satisfy your client’s shifting needs?

The way businesses and customers connect has evolved due to the changing economic situation.

In-store shopping experiences have been radically changed due to the global epidemic. Many people were recently hesitant to make a purchase using a smartphone.

However, consumers increasingly prefer contactless payment options such as QR codes and digital wallets to traditional methods.

Because of this, QR codes and other new technologies are being used more and more to make payments.

To learn more about online payments or cashless transactions using QR codes, visit us on our website.

PDF ViewerMenu Tiger