U.S. Faster Payments Council Releases Report on QR Codes’ Role in Last Mile Adoption of Faster Payments at the Point-of-Sale

For Immediate Release

April 19, 2024 – The U.S. Faster Payments Council (FPC), a membership organization devoted to advancing safe, easy-to-use faster payments in the United States, is pleased to announce the release of its latest report, How QR Codes Address 'the Last Mile' Adoption of Faster Payments at the Point-of-Sale. Authored by the FPC QR Code Interface Work Group, this in-depth study provides valuable insights into the pivotal role of QR codes in accelerating faster payments adoption, particularly at the point-of-sale.

“What struck me about our work is that while we started with a relatively narrow question, we found that answering it meant we needed to explore several domains,” said Scott Green, Manager, Product Innovation at SHAZAM and FPC QR Code Interface Work Group Chair. “During the process, we benefited from the diverse backgrounds of our work group team members, who came from many different perspectives, roles, and regions. While we identified challenges for the U.S. to achieve widespread adoption of QR code for payments, we were able to frame questions around them that will influence our continued work.”

The report offers a comprehensive analysis of QR code adoption, focusing on five critical factors:

  • Oversight: A single QR code standard with robust oversight is essential for promoting interoperability and consumer confidence, facilitating QR code usage across different payment networks and devices.
  • Payment Schemes Supported: QR codes should support various payment schemes, including open-loop and closed-loop, to provide consumers with greater choice and flexibility.
  • Functionality: Beyond retail purchases, QR codes must support a range of use cases such as bill payments and person-to-person transfers, enhancing versatility and appeal.
  • Usability: Ensuring QR codes are easy to use for both consumers and merchants is crucial for widespread adoption, including factors like size, placement, and scanning process.
  • Security: QR code payments must be secure from fraud and other risks, requiring robust encryption, authentication methods, and oversight.

"The FPC is a unique collaboration of companies from across the payment ecosystem,” said Steve Mott, Principal of BetterBuyDesign and Vice Chair of the QR Code Work Group. “We in the QR Code Work Group are eager to tap reactions from FPC members and beyond to our latest report, while fielding ideas for how the U.S. Point-of-Sale system could adapt to harness the ease, power, and security of QR code payments to achieve the last mile of merchant acceptance and financial inclusion."  

The report delves into international and U.S. payment solutions using QR codes, exploring key market drivers for implementation. It highlights successful QR code implementations from around the globe, identifying commonalities and best practices for QR code adoption. Furthermore, the report addresses challenges and opportunities for QR code adoption in the United States, delivering valuable insights for stakeholders.

"QR codes represent a vital tool in bridging the gap to faster payments adoption at the point-of-sale," said FPC Executive Director Reed Luhtanen. "This new report underscores the importance of collaboration and standardization in advancing payment innovation, and provides essential guidance for all participants in the payments ecosystem."

The FPC remains committed to driving QR code adoption forward, addressing challenges such as fragmented payment landscapes and the absence of a single QR code standard. Looking ahead, the FPC and its members will continue to engage industry stakeholders and develop strategies to help accelerate QR code-based payment solutions.

For more information on the FPC, its current work efforts or to join, visit FasterPaymentsCouncil.org.

Elizabeth Grice 
U.S. Faster Payments Council                             
About the U.S. Faster Payments Council (FPC)
The FPC is an industry-led membership organization whose vision is a world-class payment system where Americans can safely and securely pay anyone, anywhere, at any time and with near-immediate funds availability. By design, the FPC encourages a diverse range of perspectives and is open to all stakeholders in the U.S. payment system. Guided by principles of fairness, inclusiveness, flexibility and transparency, the FPC uses collaborative, problem-solving approaches to resolve the issues that are inhibiting broad faster payments adoption in this country. For more information, please visit FasterPaymentsCouncil.org.

Go Back