Target has started testing a new app aimed at making it easier for customers to pay for products with their smartphones.
The app, called CurrentC, was created by the Merchant Customer Exchange (MCX), a group of retailers, of which Target is a member, according to The San Jose Mercury News. Other members include Best Buy, Wal-Mart and 7-Eleven.
MCX announced in September that it had started testing CurrentC privately, and that it is looking at a nationwide launch for the app in 2015. While the Minneapolis-based retailer has acknowledged its testing, the group has yet to reveal exactly which other stores are also testing the technology.
Target spokesman Eddie Baeb said the company has been experimenting with CurrentC at a couple of its stores, adding that the app is currently "in a very early test phase," San Jose Mercury News reported.
The app could serve as new competition for Apple's mobile payment service Apple Pay, which can be used at Macy's, McDonald's and over a dozen other major retailers. While members of MCX apparently don't accept Apple Pay, Target customers are allowed to use it when they buy items on the Target mobile app. However, the service isn't accepted at Target because the company doesn't have NFC (near field communication) technology in its registers.
Best Buy spokesman Jeff Shelman said there is a possibility that the company will allow customers to use Apple Pay in the future.
"While we don't accept Apple Pay, we continue to evaluate it along with other platforms," Shelman said.
Baeb said Target is currently looking to help customers make more secure credit card payments by installing chip-and-pin technology in its checkout lanes, The San Jose Mercury News reported.
An exact release date for CurrentC has yet to be revealed.