Swiss watch brand Swatch has introduced its contactless payment method Swatchpay in Germany and Austria. Swatchpay has a clear advantage over its competitors. While other smartwatches usually have to be recharged over and over again, Swatchpay can also be used to pay when the watch's battery is empty, because the watch uses an NFC radio chip.
When paying, the customer holds the watch to the payment terminal, the reader exchanges the payment information with the chip of the watch and the payment process is completed. The terminal supplies the necessary energy. The watch is also water-resistant (up to 30 meters deep). So far, Swatch has started with six models equipped with the chip, with more to come. The retail price of the watch is €75.
To activate Swatchpay, customers must download the mobile payment app Boon. from Wirecard as well as the Swatchpay app. Via Boon. a virtual prepaid Mastercard can be created, which is then integrated into the Swatchpay app as a method of payment. The virtual Boon. Prepaid Mastercard can be loaded by credit card or bank transfer. In the final step, the watch and the Swatchpay app are linked together on the customer's smartphone at every Swatch store using a bluetooth NFC box.
Thomas Schweizer, vice president of international sales at Swatch, says: "For us, this is a strategically important entry. We started in China and are now continuing in Switzerland, Germany and Austria. Even though contactless payment in Germany has not yet matured, we still see great potential. The exclusive partnership with Boon. is also running to our complete satisfaction."