WeChat hosts new application that seeks to modernize an old tradition
Tencent has launched a new mobile application for WeChat users. WeChat is the most popular messaging application in China, and Tencent has been working on ways to monetize the app for some time. The company has taken a strong interest in mobile commerce and has seen the success that online retailers and digital companies have discovered by engaging mobile consumers. As such, the new application for WeChat users aims to leverage the traditional hongbao.
App puts a new twist on the honbao and Chinese New Year
The hongbao is a red envelop or packet that is traditionally given as a gift during Chinese New Year and, in some cases, weddings and typically contain money. As Chinese consumers become more mobile, traditions are beginning to become digitized. Tencent’s new “New Year Red Envelope” application is meant to put a new twist on the hongbao. Using the application, people can send digital red envelopes that contain digital currency. The application can be used for much more than exchanging money, however.
New application could encourage mobile payments through the WeChat platform
WeChat users making use of the application can also allow the application decide how to distributes funds amongst a group of recipients. For instance, if a person sends $50 to eight friends, the application can determine that one friend receives $30 while the others receive a smaller sum. Tencent believes that this creates a sense of suspense among WeChat users and encourages them to spend more money through the new application.
Tencent continues to find ways to monetize WeChat and promote mobile commerce
Consumers have to link their bank accounts to WeChat in order to make use of the new application. Tencent has been working to break into the mobile commerce arena through the WeChat platform and the new hongbao application may be the key to Tencent’s goals. The new application may help encourage users to spend money on WeChat’s in-app payment services by making them more comfortable with the concept of mobile payments and sending money through the use of a mobile device.
New report shows that the demand for m-commerce platforms is growing quickly
Infiniti Research has released a new report concerning the state of the U.S. mobile commerce market. The report indicates that the U.S. has become one of the most active markets in the world when it comes to mobile commerce and the market is saturated with demand from consumers for new services and better mobile-centric platforms. Several businesses in the U.S. are beginning to take the mobile space more seriously and telecommunications companies are working on ways to make mobile commerce as a whole more accessible.
Handful of companies establish leadership in the US mobile market
According to the report, there are only a handful of organizations that can be considered dominant in the mobile commerce market. These organizations are Isis, PayPal, Visa, and Citibank. Square is also considered to be a leader in the North American market and the company is often credited with helping make mobile commerce more inclusive of iOS users. PayPal has also helped make mobile commerce more accessible to iOS users as these people do not typically have access to NFC technology, which is used for many mobile commerce platforms.
Mobile coupons succeed in boosting mobile sales for retailers
The report shows that retailers are beginning to engage with mobile consumers more aggressively than they have in the past. Many retailers are introducing mobile coupons as a way to encourage mobile engagement. These coupons are used to boost mobile sales and have been quite successful in this endeavor as the number of people that use mobile wallet applications continues to grow throughout the country.
Security continues to be one of the most serious problems there is in the mobile commerce space
The report notes that one of the major issues that consumers have with mobile commerce has to do with security. Many mobile commerce platforms have been targeted by hackers and malicious groups that are seeking to exploit a person’s financial information. Even businesses that are involving themselves in the mobile commerce space have found it difficult to provide consumers with a secure experience.
