Amazon halts diaper production, discontinues Wallet

After just six weeks on the market, Amazon (NASDAQ:AMZN) announced it would temporarily pull its brand of diapers. In addition, the company is pulling the plug on its payment platform Amazon Wallet.

Under the newly-formed Amazon Elements brand, the design needed to be improved, according to customer feedback. The e-commerce giant informed consumers by email that it had removed the diapers from its website.

Those that received the email about the cancelled subscription were also given a $25 promotional credit to be used on Amazon, reported GigaOm.

Similarly, less than a year after it first began testing the platform, Amazon announced it would discontinue its Wallet, reported PYMNTS. Going forward, customers will still be able to use any gift cart, loyalty card or membership card stored on the app, but wallet balances will not be updated moving forward.

Whether Wallet could stage a return is unclear. It allowed users to store and manage loyalty and gift cards, but did not allow for credit card payments. Still, contactless mobile payments are gaining traction.

According to a new report by Deloitte Global, by the end of 2015 the industry could reach a tipping point for the use of mobile phones for in-store payments, by which point roughly 10 percent of smartphones worldwide are expected to be used for in-store mobile payments. As many as 84 percent of U.S. consumers say they would use a smartphone to make an in-store purchase.

For more:
-See this PYMTS article
-See this GigaOm article

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