Tag: mobile commerce

Mobile commerce continues to have a dubious track record on the security front

Security in the mobile commerce space may be more serious than previously thought. Like other computer systems, smartphones and tablets are susceptible to malware, viruses, and malicious attacks that seek to exploit the personal information of a user. Over the years, nearly every facet of mobile technology has been compromised in some form or another, calling for more robust security features to be introduced in every succeeding generation of smartphones and tablets. SIM cards have long remained resilient against conventional attacks, providing mobile devices with some degree of security that had not yet been overcome. That has changed.

Major security flaw uncovered with millions of SIM cards

German cryptographer Karsten Nohl has announced that he has successfully discovered encryption and software flaws that put millions upon millions of SIM cards in danger of hacking and other such attacks. Notably, these flaws could have a major impact on the mobile commerce space, much of which is based on NFC technology, which itself has been criticized for having lackluster security features. Nohl suggests that millions of mobile devices could be at risk of exploitation because of the flaw in SIM cards.

More information on vulnerability to be provided at security event

Nohl is expected to demonstrate his findings at an upcoming security event that will be help in Las Vegas, Nevada, later this month. During the event, Nohl will showcase the discoveries he has made over his three years of research into the matter. The event may shed some light on how SIM card vulnerabilities could affect the mobile commerce sector. Given that security continues to gain somewhat dubious attention in this sector, more consumers are becoming wary of participating in mobile commerce lest they fall victim to malicious attacks.

Mobile commerce may avoid disaster if companies take aggressive security measures

While the SIM vulnerability could prove very problematic for consumers, Nohl notes that two large telecommunications companies have already reached out to him for information on the issue. These companies are using this information to develop a security fix for the issue in an attempt to protect consumers. If more companies take similar steps, the SIM card vulnerability may have only a modest impact on the mobile commerce space.

The report on an index has indicated that the sales over smartphones and tablets have massively risen.

The IMRG Capgemini eRetail Sales Index data has now been released and it has indicated that the growth that has been experienced over the last year in mobile commerce has been tremendous.

The data compared the sales that were made this June with those that were achieved in June 2012.

What the Index noted was that the sales over mobile commerce had increased by 136 percent this June in comparison to those from last year at the same time. The index as a whole had increased by 8 percent in May 2013.

The research also indicated that there was growth in the mobile commerce conversion rates.

What the data from the index showed was that mobile commerce conversion rates grew from having been 1.3 percent in June 2012, to this year’s much more promising 2.0 percent. This is a tremendous increase in the conversion rate and will be a meaningful one for people who are selling over the channel.

A great deal of the credit for the increase in mobile commerce conversion rates was handed to tablets, which are becoming increasingly popular and are used more frequently by online shoppers.

According to the Capgemini head of retail consulting and technology, Chris Webster, “The mCommerce Index remains strong as consumer confidence in purchasing goods and services via smartphones and tablets continue to grow.” He also went on to explain that “The findings provide further evidence of the value mobile technologies have brought to the retail sector as consumers continue to shop via this channel.”

This is a strong indication that retailers who are not placing a notable focus on mobile commerce would be advised to do so or risk falling behind their competition who are becoming more appealing and convenient to consumers who are using their smartphones for a growing number of purposes every day.

At the same time that mobile commerce was excelling, overall online retail sales also saw a massive year over year increase, with current levels being 20 percent higher than they were last year. This is the largest growth that has been recorded in two years. The monthly increase from May to June this year was 2.4 percent and represented the first time in five years that there was a growth between those two months.