Where Chat Meets Transactions: Embracing a New Era of of Conversational Payments
In this day and age, where we all want comfort and ease, there is an interesting trend in how we manage our funds. Imagine the following situation: You and a friend are chilling around chatting about your weekend plans when you decide to divide the price of tickets for a movie. Instead of switching to a banking app or dealing with complicated websites, you simply say, “Pay Rs. 1000 for the tickets” using your payment app’s voice command. Just like that, the payment happens while you keep chatting.
Welcome to the world of conversational payments!
Recently, on August 10, 2023, the Reserve Bank of India (RBI) proposed something quite revolutionary. They want to use AI technology in India’s instant payments system, called UPI. What’s exciting is that this would allow people to talk to an AI (like a computer talking back to you) to make payments. It’s like having a chat with your virtual assistant to pay bills. The newly developed payment method will begin by being available in two languages: Hindi and English, with options to add more later.
The intention of these conversational payments is to simplify transactions for all users, not just those with smartphones; any phone can utilise them. You won’t require a different payment app because it will be seamlessly incorporated into your chat app. The financial industry may take notice of this shift favourably.
Conversational payments are a cool way of making financial transactions while having a regular conversation. They work because we use messaging apps, chatbots, and voice assistants so much in our daily lives. It’s not just for splitting bills; you can buy things, pay debts, and do much more, all without switching between different apps or websites.
The History of Conversational Payments
Let’s swiftly revisit the facts to learn how we got here.
Online shopping started gaining popularity in the 1990s. We could shop online from the comfort of our homes thanks to the internet. Digital wallets and mobile banking apps became commonplace in the 2000s. Using our mobile devices, we could send funds, pay, and monitor our bank account balance. One of the earliest companies to assist with internet money transfers was PayPal, an idea that originated in the mind of Elon Musk.
Messaging applications like WhatsApp and Facebook Messenger became more popular in the 2010s. Some of these apps now allow users to send money while chatting with pals. By 2015, chatbots and smart virtual assistants got really good at understanding and using our language. This made it possible for banks and businesses to use chatbots for customer support and even simple transactions.
In 2016, people started talking about “conversational commerce,” where you could shop and pay through messaging apps with the help of chatbots. By 2018, voice assistants like Amazon’s Alexa joined the game, letting you make payments using your voice. As we entered the 2020s, conversational payments got better and safer. They became popular in many industries, from retail to food delivery. Presently in 2023, these payments keep improving with better AI and security. More companies and banks started using conversational payments, making it a more competitive space.
Making Transactions Easy Through Conversation
The best thing about conversational payments is how easy they make transactions. You don’t need to stop your chat to use complicated apps or remember lots of passwords. Just say or type what you want to do, and it’s done.
Chatbots and AI helpers are like your personal assistants. They understand what you say and help you make payments 24/7.
What about safety, though? That is definitely a major worry when discussing money. Developers have made sure these systems are super secure. They use things like special codes and fingerprint scans, and they have smart tools to catch any suspicious activity.
It’s not just about paying friends; businesses are using this technology to make shopping super easy. Imagine talking to a virtual shop assistant who knows exactly what you like and helps you buy things, all in the same chat.
In Conclusion: A New Way to Handle Money
In the simplest terms, an age of change in finance is just getting started. Conversational payments aren’t just about convenience; they’re about making money accessible to everyone.
As we move into this era, let’s stay aware of new developments and security measures. But let’s also be open to the exciting possibilities this technology brings. Whether you’re a tech enthusiast from Gen Z or any generation, this is an exciting time. We’re watching the worlds of conversation and commerce come together, one chat at a time.