Tag: mobile commerce

Privacy a growing concern in mobile payments field

| April 24, 2013

Mobile Payments privacyPersonal data and how it is collected to cause problems for mobile payments

Data is extremely valuable in the mobile world. There are many kinds of data that can be considered valuable, from sales figures to marketing engagement, but the most important data in the mobile space is a consumer’s personal information. Typically, this information is considered private in the physical world, but is available in abundance online. Mobile payments, marketing, games, and a vast multitude of other mobile-centric activities collect this personal information for one purpose or another. Privacy is quickly becoming one of the most significant issues facing mobile consumers today.

Survey highlights consumer attitude concerning privacy

MEF, a global trade association, has released a new report entitled “Global Privacy Survey 2013.” The report highlights the attitude that consumers have regarding privacy and how their personal information may be being used in the mobile space. Data has helped the mobile world becomes more defined, providing developers with ways to create new, more intuitive mobile applications. Usually, these applications can either be purchased or attained for free, but a growing number of applications, especially those involving mobile payments, are beginning to exchange services for the acquisition of personal information.

Most consumers want to know how their data is being used

According to the survey, only 37% of consumers feel comfortable with sharing personal data with a mobile application. The majority of consumers consider knowing what kind of information an application is collecting to be important and 71% of consumers want to know how their information is being used. It is common for personal information to be sold to advertisers so that more targeted marketing campaigns can be fashioned. Mobile applications are not expressly required to inform consumers that their personal data is being collected in many countries around the world.

Mobile payments may not thrive if privacy is not addressed

Privacy is a major concern where mobile payments are concerned. Mobile commerce involves the trafficking of a consumer’s financial information, which, if stolen, can be exploited and cause significant monetary damage to a consumer. Mobile payments are becoming very popular among consumers, but if mobile commerce applications cannot become more secure, they may not have a future with consumers.

Mobile commerce may be at risk due to US legislation

| April 23, 2013

Mobile Commerce new legislationMobile commerce could lose traction as byproduct of new legislation

It is not unusual to see businesses get involved in U.S. politics for one reason or another, but eBay is one of the companies that has avoided this involvement in the past. This is due to the fact that there are relatively few laws in the U.S. that govern the world of e-commerce, as well as that of mobile commerce. The laws that do exist have helped create an atmosphere where companies and consumers can conduct business in a balance manner. A new legislation in the U.S. is causing eBay some concern, however, and may even put a damper on the company’s interests in mobile commerce to some degree.

eBay moves to fight Marketplace Fairness Act

eBay CEO John Donahoe has taken issue with legislation known as the Marketplace Fairness Act. Donahoe claims that this legislation will put unfair burdens on all small online merchants. The legislation is designed to provide states the authority to compel online retailers to collect sales tax, even if that retailer is not based within the boundaries of a particular state. Currently, states only impose this authority on physical merchants doing business within state borders. Donahoe claims that the legislation will make it very difficult for online merchants to do business and could severely limit their ability to cater to a large, national market.

Retailer taps users to combat legislation

Donahoe has sent out emails to eBay’s 40 million users, asking for support in opposing this legislation. The legislation could potentially have a significant impact on the mobile commerce space, as it is designed specifically to address issues that exist in e-commerce. Mobile commerce is becoming increasingly popular among consumers, with many favoring to shop online and purchase products using their mobile devices rather than their computers.

Sales tax may make mobile commerce less popular

Imposing a tax on online sales without recognizing any jurisdictional boundaries may make it extremely difficult for mobile commerce to find a significant level of growth in the coming years. One of the reasons mobile commerce is so popular in the U.S. is tied directly to the popularity of e-commerce. That is that state-based sales tax is not collected through purchases made online from digital retailers.