Tag: mobile consumers

Banks are falling behind on mobile commerce

Mobile payments are evolving and many banks may be in danger of getting left behind by consumers

The mobile payments space is evolving at a rapid pace and banks are struggling to keep up. Innovative mobile services appear to be launching on a daily basis and many of these services are changing the way people pay for products online and in the real world. Those finding the most success in this field are those outside of the financial service industry, but banks still have a chance to establish a stronger presence in the mobile commerce market.

Rapid adoption of mobile payment services highlights the slow progress banks have made

The rapid adoption of mobile commerce among consumers is pressuring banks to become more mobile-centric. Money transfers are becoming more common on mobile platforms and fewer people are relying on banks for their financial needs. Moreover, those participating in mobile commerce are making use of platforms developed by software firms and not those made by banks. Typically, the platforms developed by banks are seen as cumbersome and somewhat inconvenient to use regularly.

Many banks have an opportunity to engage mobile consumers through simple services

Banks falling behing in mobile commerceBanks have existed as the primary money service provider for years. As such, many people still look to banks for the financial institutions that they are and many have faith in their bank’s ability to provide attractive mobile services. Some banks have found success in engaging mobile consumers through the use of simple banking applications. These apps have served as a way for banks to expose themselves to the mobile spectrum and examine what mobile consumers are interested in and what types of services they do not like.

Some banks may have to emulate companies like PayPal that have had success in engaging a mobile audience

In order for traditional banks to remain relevant in a world where mobile technology is becoming a dominant force, they will have to find ways to mimic other financial service providers that have an overarching focus on the digital space. PayPal is a primary exemplar of what can be accomplished through an unconventional focus on the mobile space.

Report predicts promising year for mobile commerce platforms

Mobile commerce may find growth in 2014

Ovum, a leading market research firm, has released a new report concerning the potential growth of mobile commerce in 2014. Over the past few years, consumers and businesses alike have become quite serious when it comes to mobile shopping and payments in general. The past year has shown that retailers are becoming quite aggressive when it comes to engaging mobile consumers and consumers and becoming much more reliant on their smartphones and tablets than they were in the past. This has created a great deal of promise for 2014 in terms of mobile commerce.

Report highlights consumer support of platforms coming from banks

According to the firm’s report, consumers are becoming more likely to trust mobile commerce platforms that are associated with a financial institution. Banks and credit firms that release such platform tend to apply their own security standards to these services, thereby alleviating some o f the security concerns that consumers have regarding their financial information. According to Ovum, 43% of consumers prefer banks as their mobile payment service provider, with 13% favoring credit card companies.

2014 may be a big year for NFC technology

Mobile Commerce Platforms - Mobile ReportOvum’s report predicts that 2014 will be the year where NFC technology finally becomes mainstream. This technology has made up the backbone of many mobile commerce platforms, but has been losing popularity due to security concerns. NFC is quickly becoming a powerful marketing, entertainment, and data sharing tool, but Ovum suggests that its place in mobile commerce will begin to become more pronounced throughout the year as more NFC-enabled devices become available to consumers.

Bluetooth and location-based technologies may become more prominent in 2014

Apart from NFC, Bluetooth is expected to find its way to more mobile commerce platforms in the coming year. Many companies that have invested in the mobile commerce sector have opted to support Bluetooth as an alternative to NFC. Bluetooth has allowed more consumers to participate in mobile commerce because it is far more available to a wider range of mobile devices. Ovum’s report also suggests that location-based technologies will begin to play a much larger role in 2014 than they had in the past.