• by Steve Smith  @popeyesm, August 9, 2013

In a select group of shops just west of London, PayPal users can purchase items simply by bringing their phone -- and their face -- with them. In a pilot program in the UK, iPhone and Android users can open the PayPal app to find merchants nearby that accept its payment system. When that user checks into a given store, his or her name and facial image show up in the payment system at checkout. The merchant simply matches the facial image with the customer to take payment.

According to a report in the Independent, PayPal believes that this helps bring smaller merchants a more personal connection with their clientele. "This is another step on the journey towards a wallet-less High Street, where customers will be able to leave their wallet or purse at home and pay using their phone or tablet. We predict that by 2016 this will become a reality," says Rob Harper, PayPal head of retail services.

The pilot program is testing the system with about a dozen locations in the London suburb. According to a promotional video from PayPal, the system allows merchants to address the customer by name, serve customers who don’t have enough cash with them, and take payment anywhere in the store from a clerk’s smartphone or tablet.