Another home run for the Australian Venture Evosystem with “Waave” being acquired by “Banked “

A technology called  “ Pay by Bank” that uses QR codes,  and widely used for payments in Asia, including China and Thailand and is coming to Australia and USA with Waave which has just been acquired by Banked led by CEO  Brad Goodall.

This acquisition is another home run for the Australian fintech startup ecosystem and a great exit by founders Ben Zyl Peter Traianou Mark C.,  who has been guided and seeded  by the legendary Paul Geeenberg.

The deal was oiled with the opportunity of Chemist Warehouse adopting this Waave technology. Chairman Jack Gance says that it will reduce card fees by up to $15m per annum , that they can pass on to their customers 

Harris Farm Markets and Baby Bunting are also Waave. Woolworths is working with another fintech, Zepto, to use the PayTo system to connect to customer bank accounts.

NAB is also onboard with a view to making Pay By Bank available to all its business customers. 

James Eyers of AFR headlines Chemist Warehouse goes to war with card fees – using QR codes

How do customers use Waave? 

Setup takes around 30 seconds.

Customers photograph a QR code for the first time are directed to a Waave webpage on their phone, to set up the “mandate” that links the bank account to the retailer’s. 

Once enabled, customers won’t need a card, just their mobile phone. There’s no need to create an account or use another app. Rather, purchasers will take a picture of a QR code displayed on the payment terminal and authorise the payment by tapping a button on their handset.

“The job now is to get the best consumer experience Cx , so you can let the customer open the mandate.” Says Brad

Is this payment gateway the way of the future? 

Johan Westh, a NAB executive for transaction banking, described Pay By Bank as a “cost-effective payment option that can improve cash flow and reduce fraud risk for businesses while providing a faster, more secure and enhanced payment experience for consumers.”

Brad Goodall’s  prediction - which I think he is on the money 

“If we can nail the onboarding CX (consumer experience) Pay by Bank will overtake other payment methods in the coming years globally. It will be seen as a low-cost option over time, and won’t be more expensive than debit,”