CIBC Mobile Payment App breathes life into Canadian mobile commerce
Rogers Communication, one of the largest communications companies in Canada, has teamed with the Canadian Imperial Bank of Commerce (CIBC) to introduce a new mobile commerce platform to consumers in Canada. Early this month, the two parties revealed the new CIBC Mobile Payment App, which can be used to make purchases for goods and services. The first payment using the new mobile wallet was made by Olympic gold medalist Simon Whitfield, who purchased a coffee at a Tim Hortons shop.
Mobile commerce beginning to gain ground in Canada
The CIBC Mobile Payment App is meant to expand mobile commerce throughout Canada. Consumers have been growing more interested in the concept of making payments for goods and services using nothing more than their mobile device. As such, the CIBC has been growing more accommodating to this demand, looking for ways to enable consumers to do what they want. In teaming with Rogers, the CIBC has taken the first step toward making mobile commerce a larger part of the Canadian economy.
App available only to those with NFC-enabled devices
As with other applications of this kind, the CIBC Mobile Payment App can only be used with smart phones and other mobile devices that are equipped with NFC technology. This immediately reduces the reach of the platform to a niche market. The availability of NFC-enabled devices is currently low, with the recently released Samsung Galaxy S III being the most popular of these devices currently on the market. Telecommunications companies have been working to boost the availability of NFC-enabled devices, but consumers have yet to show their full support of NFC technology.
Consumers leery of NFC technology
Many consumers are supportive of the concept of mobile commerce, but NFC technology has had a less welcoming reception. Concerns regarding the security of NFC technology have made consumers leery and disinclined to support its use in mobile commerce. If the CIBC and Rogers can deliver a pleasurable experience with the CIBC Mobile Payment App, the duo may be able to placate some of these concerns and get consumers to accept NFC technology.