Tag: mobile commerce news

Consumers still wary of mobile commerce

| March 19, 2015

Consumers are not completely comfortable with mobile payments yet

Consumers may be somewhat uneasy about making a mobile purchase, according to a recent survey from Baird Equity Research. Though mobile commerce has been gaining more attention, consumers still prefer to use more conventional forms of commerce when making purchases, especially in physical stores. Consumers may still be wary of the security issues that exist in the mobile commerce space, though many people have been growing more comfortable with the concept of making purchases with a mobile device.

Young consumers seem to be the most comfortable with the idea of mobile commerce and shopping online with smartphones

According to the survey from Baird Equity Research, four in 10 consumers in the United States have participated in mobile commerce. Approximately 10% of consumers said that they make an in-store purchase with their smartphones at least once a month. Three in 10 consumers said that they make a mobile payment online once a month or less. Those between the ages of 18 and 24 are the most likely to participate in mobile commerce as they are the demographic most comfortable with mobile technology.

Many people are concerned about security and lack of retail support

Consumers wary about mobile commerceThe majority of consumers are not convinced that mobile payments are better than more conventional forms of commerce. Using a credit or debit card or paying with cash is often considered simpler. Cash is also considered a safer way to pay for products by consumers that are not interested in mobile commerce. Some consumers do not participate in mobile commerce because retailers do not support in-store mobile payments, while others are concerned about their financial information being stolen and exploited by malicious groups.

Mobile payments will continue to grow in the future

Mobile payments are expected to gain more momentum in the coming years. New services are being released regularly and these platforms are becoming more secure. Retailers are also showing more support for the mobile space, where they see a great many opportunities to engage consumers that are eager to shop for and purchase products with their mobile devices.

Wal-Mart grows more focused on mobile payments

| March 18, 2015

Retailer aims to preserve the convenience and security of mobile shopping

Wal-Mart has been experimenting with mobile payments for some time now and the company is beginning to focus more of its efforts on the mobile space. According to Charles Holley, Chief Financial Officer of Wal-Mart, convenience has become one of the most important aspects of mobile commerce, and ensuring that this convenience remains intact as mobile payments become more prominent is becoming a priority. Security and eliminating the costs associated with mobile payments is also becoming important.

Retail is changing to become more mobile-centric

The retail space is beginning to shift and more consumers are beginning to rely on their mobile devices to shop for and purchase products. Finding ways to make the mobile shopping experience enjoyable is important, but Wal-Mart is not yet sure what role mobile payments will play in its overarching business. This may involve exploring new payment options in order to ensure that the company remains on the cutting edge of mobile commerce.

CurrentC may not be the solution that retailers need for the mobile space

Walmart Store - Mobile PaymentsWal-Mart is currently part of the Merchant Consumer Exchange, a consortium of retailers that has its own mobile payments system called CurrentC. The system makes use of QR codes in order to process mobile transactions and boasts of a “secure cloud-hosted network,” which provides extra security for those making payments. CurrentC is currently in a private testing phase and the Merchant Consumer Exchange is beginning to feel pressure to release a comprehensive mobile payments solution in order to compete with other options that are available.

Without an effective solution, retailers may opt to use other mobile payments platforms not developed by the Merchant Consumer Exchange

If such a solution does not come soon, Wal-Mart and other retailers may opt to use other mobile payments platforms, such as Apple Pay. Those involved in the Merchant Consumer Exchange cannot use other payment solutions at this time, which has limited their ability to engage mobile consumers in effective ways. With mobile shopping growing in prominence, this may no longer be a sustainable practice.