Android Pay has long offered NFC contactless payments (something the iPhone only started to do in Australia last year). Now Google's payment platform is upping the ante with in-app payments.

Pay to play

Now Android Pay lets you buy physical items and digital content directly from your apps.

This will streamline the purchasing process to one simple press of the shiny Android Pay button.

App-etite for more?

However not all apps will offer the feature straight away. They must have signed up for the update, with early adopters including Instacart and Fancy. Google says it's expecting more retailers to sign up this year.

With Apple Pay limping along in Australia and currently only available for American Express customers, Android Pay's latest update gives the service a bigger headstart over its iOS rival.

Don't be surprised if Facebook throws its hat into the mobile payments ring before the year's out.