Tag: mobile payment

IDC Financial Insights report forecasts promising growth for mobile commerce

IDC Financial Insights, a leading analytical research firm, has released a new report that presents a global forecast concerning spending over mobile networks. The report, which is titled “Technology Selection: Worldwide Mobile Payments 2012-2017 Forecast,” sheds some insight on the growth of mobile commerce and what that could mean for the businesses within that burgeoning industry. More consumers and businesses are becoming enthralled over the concept of mobile commerce, and that is expected to have major financial implications for companies deeply involved therein.

Global payments to exceed $1 trillion

According to the report from IDC Financial Insights, global purchase volume through mobile devices will exceed $1 trillion by the end of 2017. The majority of this purchase volume will occur through mobile commerce and e-commerce platforms. Both platforms have proven popular amongst consumers who are interested in paying for products over the Internet and with their mobile device. NFC technology will also experienced robust growth during this period, especially as the retail industry begins to grow more inclusive of mobile commerce.

NFC technology seeing uptick in popularity

The growth of mobile commerce has been held back somewhat due to the lack of NFC-enabled mobile devices. Currently, these devices are in short supply, which is a problem because most mobile commerce platforms rely on the technology to facilitate mobile payments. Mobile payments can still be made through websites, such as Amazon and eBay, but purchases of physical goods with a mobile device remain limited. IDC Financial Insights notes that this is likely to change by 2017, due to the rate at which businesses are adopting NFC technology.

Growth has yet to meet actual potential

The report shows that mobile commerce is poised to see major growth by 2017, but IDC Financial Insights suggests that the gains the industry will see pale in comparison to its actual potential. IDC Financial Insights claims that the $1 trillion in purchase volume from mobile devices that is forecast for 2017 accounts for only 2.5% of the global potential of mobile commerce.

Deloitte, a professional services and consulting firm, has released the results a new survey concerning mobile commerce and the 2012 holiday season. Mobile commerce has been growing in popularity amongst consumers who are deeply involved in mobile technology. More consumers around the world are beginning to rely on their smart phones and tablets for more than just connectivity with friends, family, and the Internet. These consumers are turning to the mobile devices to make purchases for goods, a trend that retailers are beginning to respond to.

Survey predicts mobile consumers will have a large role to play during holiday season

According to the Deloitte survey, more than half the consumers that own and use a smart phone regularly are expected to use these devices for their holiday shopping this year. More than 5,000 consumers were surveyed by Deloitte over a 10-day period. The survey found that mobile commerce is, indeed, becoming a major part of the life of consumers, especially those that rely on their mobile device for a wide variety of services.

Majority of mobile consumers willing to spend more money

The survey predicts that 62% of shoppers using their mobile devices will do so at physical store locations. Approximately 58% of consumers will use their mobile devices to compare prices or look for more information on products. While this may be becoming a more common aspect of the retail industry, mobile commerce has significant economic implications that may be great news for this industry. According to Deloitte, 72% of mobile consumers are expected to pay more overall during their shopping than consumers that do not participate in mobile commerce. Each of these consumers is expected to spend more than $1,400 during the holiday season.

Mobile commerce expected to impact future holiday seasons

Mobile commerce is expected to translate into major gains for the retail industry, and especially for companies that are putting a strong focus on appealing to mobile consumers. The trend is expected to grow in the coming years, according to Deloitte, with the 2013 holiday season likely to see higher engagement throughout mobile commerce platforms than in previous years.