Appstore could add momentum behind growth of mobile commerce
Early last month, Amazon announced plans to expand its Android Appstore to some 200 countries around the world. China, however, was not on the list of countries that Amazon had plans to expand into. These plans seemed to have changed in just under a month, as Amazon has announced that it has opened its Appstore in China, offering a bevy of applications to Kindle users and those with Android devices. Amazon’s apparent change of heart may be due to the promising mobile commerce opportunities that exist in China.
China proves to be favorable market for Amazon
China is home to a bustling e-commerce sector. According to Internet Retailer, a market research firm, Amazon’s e-commerce sales in China came in at $8.8 billion in 2012, approximately 5% of the company’s total online sales. Many of these sales came from mobile devices. Mobile commerce has been gaining a great deal of support from Chinese consumers, many of whom have shown strong favor for more convenient ways to pay for products that they are interested in.
Appstore expected to boost brand recognition and loyalty
By opening up its Appstore in China, Amazon is likely to find more traction among the mobile crowd. Consumers will have more access to the company’s products, particularly those designed for Kindle devices. The Appstore is also likely to drive brand recognition and consumer engagement, further solidifying Amazon as the dominating force in online retail in China.
Mobile commerce continues to gain traction around the world
China is just one of Amazon’s favored markets. The company has been showing a growing interest in mobile commerce as consumers around the world become more mobile. This can be seen in Europe and the U.S., as well as China. These markets have served to propel Amazon’s interest in the mobile commerce field, encouraging the company to engage a new generation of mobile-centric business that has begun a strong emergence around the world.
Companies may holds significant sway over the future of mobile payments
Commerce is changing as mobile technology begins to play a bigger role in the lives of people around the world. Traditional payments are becoming more cumbersome to consumers, causing many to look for more convenient ways to purchase goods and services. Mobile has become the answer to this problem, with consumers flocking to the concept of mobile payments. As with many other aspects of commerce, a handful of companies and organizations are expected to have a major influence on this sector. Amazon and Apple are among those companies.
Amazon begins breaking into mobile commerce
Amazon has shown strong interest in mobile payments for some time, given that much of the company’s business is firmly within the online world. The company is consider an e-commerce giant, putting it in a position to establish itself as a leading power in the mobile commerce field. Indeed, Amazon has been working on its own mobile payments platform that is being designed with security in mind. Apple, on the other hand, has been very cautious of mobile payments, showing serious concern for mobile security.
Apple showing interest in taking mobile payments to a new level
It had been anticipated that Apple would break into the mobile commerce field with the release of the iPhone 5. This, however, was not the case, as the iPhone 5 did not end up supporting NFC technology as had been expected. While Apple had adopted a slow and steady approach to mobile payments, the company may soon be ramping up its efforts. Those involved in the mobile commerce industry suggest that it would be difficult for the company to break into a sector they do not specialize in, largely due to the various issues involved in general commerce.
Apple may serve as a platform for third party services
Apple has been showing signs that it is interested in service as a platform for mobile payments conducted through third parties rather than developing its own mobile commerce platform. To this end, Apple is likely to have significant sway over the industry, as it will play a role in determining which mobile payments services are viable and which could be considered insignificant.
