Tag: mobile commerce news

Visa has high hopes for mobile payments in Asia

Visa has been showing a great deal of attention to the emerging mobile payments scene in Asia. The region has become one of the most active places in the world when it comes to mobile commerce, largely due to the aggressive steps that retailers are taking and the growing proliferation of smartphones and tablets. Visa is one among several financial service firms that have been working to establish a strong presence in the mobile payments sector of Asia and the company sees a great deal of promise in several of the markets located within this region.

Asian Pacific sees a great deal of mobile commerce activity

According to Visa, mobile payments are likely to thrive in markets where card payments are already very common. The company anticipates that mobile payments will see the most aggressive growth in Australia, Hong Kong, and Taiwan, which are quickly establishing themselves as hubs for ambitious mobile commerce projects located in the Asian Pacific. The company notes that Japan is also a likely place to see strong growth in mobile payments, due to the fact that many consumers in the country already use their mobile devices to purchase transit tickets.

Security remains a problematic issue

Consumers that regularly use their mobile devices have shown a great deal of comfort when it comes to mobile commerce. These people have been able to acclimate to the idea of mobile payments more easily than those that do not use their smartphones and tablets on a regular basis. There are universal concerns that exist within this sector, of course, the most prominent of which happens to be security. The threat of financial information being stolen and exploited has proven to be a prohibitive issue to many consumers throughout the world.

Asia could present lucrative opportunities to mobile commerce firms

Visa is not solely focused on Asia with its mobile payments endeavors. The company is currently involved in various projects that are taking place around the world. Visa’s primary interest is to make consumers comfortable with mobile payments, but notes that there is a great deal of promise in Asian markets that could prove lucrative to those that manage to provide comprehensive mobile commerce services to the consumers that are demanding them.

A recent analysis has shown that different groups of people prefer different applications.

Onavo Insights has just released some of the results from a data analysis that it conducted on the use of mobile commerce and payments apps, which has helped to show how some of these digital products are doing, and who uses them the most.

There are already hundreds of millions of smartphones owned by Americans, but only a small percentage are used for mobile commerce.

Even fewer are used for payments. Mobile commerce is still primarily used for price comparisons as opposed to actually using the apps to purchase products or pay for goods while in store. This, despite massive efforts from industry giants that range from Google to PayPal, as well as telecom joint ventures like Isis.

As hard as these companies have been trying, mobile commerce and payments have yet to take off as seen in other nations.

According to the app usage data collected by Onavo Insights, from several million Android and iOS users, there are certain trends that are forming. The company published some of those findings in a report that has indicated that mobile commerce and payments apps and their platforms have been growing in the United States over the last twelve months, despite the fact that other countries – particularly in Asia – are seeing much larger growth levels.

Although the company does not claim that this provides a complete image of the mobile commerce situation in the country, it does help to provide a sense of how the apps are being used across the United States.

Among the notable findings about the mobile commerce apps includes the following:

• Starbucks is by far the clear leader when it comes to mobile commerce apps as it is used the most out of any payments app but it is also used for the free download of songs and apps, to locate shop locations and to view the menus at those cafes.
• As slow as the uptake may have been in the U.S., it is happening and millions of dollars in transactions are being completed through mobile payments apps. That said, among the estimated $500 million in transactions over mobile commerce apps last year in the United States, the “vast majority” occurred by way of the Starbucks offerings. This according to Berg Insights data.
• Venmo is starting to show a strong growth even though it remains a small product, as this mobile commerce app’s young audience doubled its use in June. Its primary use is in a much younger crowd, which is different from Starbucks and PayPal where the average age is 25 to 34.
• Men use mobile payments more as a whole, but the mobile commerce app at Starbucks was an exception, where women made up 54 percent of users. The lowest percentage of females was at Square Wallet, at 21 percent.