Little Known Ways To How Micropayments Can Drive The Future Of The Nigerian Economy
One important part of micropayments is the fact that its definition varies from person to person. Generally, micropayments are regarded as financial transactions involving tiny sums of money. Globally, micropayments make reference to transactions of less than 12 USD. According to techtarget.com, a micropayment is definitely an e-commerce transaction involving a tiny amount of money as a swap for something made available online, such as for instance a software download, a service or Web-based content.
Micropayments are too small to be feasible for processing through the traditional credit card/debit card system. Amir Herzberg of IBM recounts "Micropayments are for anything that is too inexpensive to pay by charge card ".The major challenge facing the feasible application of micropayments is the need to keep costs for processing individual transactions low which can be impractical when transacting tiny sums of money typical of the nature of the 소액결제 현금화 system. Several attempts have already been made to create such systems financially feasible to the providers including the bill to phone model that companies like Zong and Boku have employed. The bill to phone ensures that consumers can charge low value transactions for their mobile phone and are sent a transaction code by SMS to perform the transaction. However, the sharing formula that exists involving the providers of the micropayment platform and the Mobile Network Operators (MNOs) is largely not in favour of the providers, this has been the key reason for the slow adoption globally.
Largely, have already been useful for online transactions in the social community space on websites like Facebook where users can buy virtual items in games like mobwars, premier football and Farmville to mention a few. It's foray into the print media for pay per view content has been very discouraging as users would simply navigate to some other website where they could get the information for free.
Micropayments has already established its share of attempts at standardization notable among these attempts could be the micropayments per fee specification of the W3C (World Wide Web Consortium) which include a Common Markup for 소액결제 현금화 Pay-Per-Fee Links along with a description of a budget handler that serves all requests for the per-fee service. However since vendors implement disparate proprietary micropayment infrastructure this has prevented the adoption of W3C's specification.
As an emerging area, it's undergone some metamorphosis that has been clearly described by Robert Parhonyi of the University of Twente in the Netherlands in his paper "Second Generation micropayment systems: Lessons Learned ".He predicted that the market for low value products such as for instance online music and videos and the role of micropayment systems for selling such goods are expected to cultivate substantially. He classified micropayments into 2 generations where the initial generation appeared around 1994, with systems like Millicent, eCash and cyber coin of unable to achieve market share and disappeared slowly in the late 1990s. The next generation appeared around 1999-2000 and are still operational.