German companies are working together to promote mobile commerce throughout the market
NFC-based mobile payments are receiving more attention in Germany. The country’s retailers and mobile carriers are beginning to promote NFC technology as a way to participate in mobile commerce. A growing number of consumers have been demanding new mobile services that allow them to purchase products with their mobile devices. Many of these services are based on NFC technology, but relatively few German companies have embraced this technology in order to engage mobile consumers.
2,000 NFC-enabled payment terminals to be deployed in Germany
Vodafone Germany, Deutsche Telekom, and Telefonica are working with six major retailers throughout Germany to introduce new mobile point-of-sale terminals. Some 2,000 of these terminals are being provided to retailers in Germany. These terminals are equipped with NFC technology that will allow them to accept transactions being made from mobile devices. In order for these transactions to be conducted, however, the devices themselves will also have to make use of NFC technology.
NFC technology continues to play a major role in the mobile payments space
NFC-enabled mobile devices had been rare in the past, but these devices are now quite common throughout several prominent markets. NFC technology currently makes up the majority of the mobile payments infrastructure, and devices that are equipped with the technology have little trouble participating in the mobile commerce space. Retailers have been somewhat slow to embrace the technology, however, due to the costs associated with purchasing and upgrading existing point-of-sale terminals. With the help of other large companies, retailers may be able to mitigate these costs and establish a foothold in the mobile payments scene.
Germany’s mobile commerce market is beginning to become more lively
Germany’s mobile commerce scene is somewhat less active than what can be found in other markets. While consumers have shown significant interest in mobile payments, they have not shown aggressive support for services that allow them to pay for products with their smartphones and tablets. This may change in the coming years, as retailers become more accommodating of mobile shopping.
StoreHippo CEO Rajiv Kumar believes that 2015 will be the year in which mobile commerce comes into its own. Increasing Internet and smartphone penetration is having a major impact on the way consumers shop. Retailers that adapt to changing market trends are more likely to find success among mobile consumers. Those that refuse to become mobile friendly may find it more difficult to compete with other retailers and could face obsolescence in the coming years.