Happily, following its breakout year in 2015, the mobile payments industry has seen continued innovation and growth in 2016.

So, as we approach the end of the year, what are the key trends and technologies that will shape the industry into 2017?

IoT and ‘invisible payments’

Providing the consumer with a truly frictionless experience is the holy grail for the payments industry. This has already been achieved in-app with platforms such as Uber, but has yet to be translated in-store.

In the IoT era, however, we are moving ever closer to delivering a seamless in-store experience. Beacons, geolocation, computer vision and biometric technologies are being combined to deliver a frictionless experience.

Indeed, the industry will closely be monitoring the success of Amazon Go, which is currently in beta but is expected to launch publicly in early 2017. The concept deploys various technologies (the exact details are yet to be released) that enables a consumer to walk into the store, pick up an item and walk out, with the order charged to their Amazon account upon leaving.

As well as Amazon Go, we also predict myriad other pilots, demos and announcements throughout 2017 that aim to move all stages of the in-store payments process – from initialization and authentication, right through to final confirmation – firmly into the background.

OEM Pay: Evolution, not revolution

Increased consumer awareness, ever-expanding acceptance and more mature offerings means that the various OEM Pay platforms will continue to go from nascent to mainstream in 2017.

The conversation surrounding mobile payments, however, will change. With ‘tap and go’ cultures becoming increasingly engrained, consumers now expect to be able to make contactless payments. The added convenience of paying with your mobile device is no longer the main driver of adoption.

Instead, the focus is shifting from changing the payments process into a ‘buying experience.’ The key to this is the specific, intelligent deployment of value-added services such as rewards, loyalty and couponing. For example, Apple has just partnered with Blackhawk Network to integrate eGifts, loyalty and rewards programs into Apple Pay. And Google has gotten into the festive spirit with Android Pay Christmas Crackers, which delivers rewards to users.

Chinese tech giants enter the fray

China is the world’s biggest mobile payments market, with transaction volume hitting $235 billion in 2015.

The dense regulatory framework, which precludes international companies, has seen AliPay and WeChat platforms establish a dominant market position.

The nature of the Chinese mobile payments market, however, has meant that it operated in essential isolation. Times are changing. For example, AliPay has recently announced partnerships to bring its service to Europe and Australia. The rapid global expansion of both the AliPay and WeChat platforms is likely to have huge implications across the entire payments industry. Although the platforms are currently aimed only at Chinese tourists abroad, it is apparent that the long-term strategy is to develop a global offering.

Alternative payment channels

More and more retailers are developing their own payment applications to control the payments process and deliver a unique, tailored experience, and we expect this will continue throughout 2017.

In addition, initiatives such as QR code mobile payments are enabling retailers to keep the payment process ‘in-house’ and reduce network fees. QR codes may not necessarily be the future, but the trend of retailers identifying and developing alternative payment channels is here to stay.

Source:http://www.mobilepaymentstoday.com/articles/2017-introducing-mobile-payments-20/


Each year brings new possibilities in mobile device technology. Smartphones have become more than just texting machines; they are now mini-computers, personal assistants and virtual shopping carts. More and more consumers would be lost without their smartphone, relying on it to get through the day.

Given the advances and rapid rate of new technologies, smartphones have become essential to how we live our lives. Technologies including mobile wallets, on-demand apps, a new era of digital assistants, and enhanced connectivity through near field communications (NFC) and Bluetooth are transforming the way consumers interact and rely on their phones.

The following takes a closer look at the top five mobile payment trends for 2017.

Mobile payments take the stage: At one-fourth the U.S. population, millennials will lead the charge to do away with credit cards and opt for the easy and seamless experience of mobile wallets. Using NFC technology, mobile wallets will exceed consumer expectations for convenience in 2017. With all the major players in the mobile device industry having delivered their own version of the mobile wallet (e.g. Apple Pay, Android Pay, Samsung Pay), and Apple Pay alone reporting a growth of one million new users per week, this technology will continue to convert users in the coming year.

All consuming on-demand: Mobile devices will drive the on-demand economy in 2017. In the coming year, consumers will increasingly demand their purchases be delivered or fulfilled much faster than the couple of days they’ve become accustomed to through services like Amazon Prime. In many instances, consumers want their orders within just a few hours. In 2017, consumers will opt to purchase or reserve items, track the status, receive updates and facilitate pick-up all from their smartphone. These real-time capabilities available through the smartphone will bolster the on-demand economy in the New Year.

Bluetooth on the rise:Bluetooth will expand in 2017. Thanks to Apple’s movement, consumers will become more adept at using wireless everywhere they go in the coming year.  This sets the stage for using Bluetooth in conjunction with mobile payments. Having gone through the initial hurdles of the adoption process these past few years, Bluetooth is now at a mature point and ready for widespread consumer adoption in 2017.

A new kind of personal assistant:Digital assistants will spark a new kind of relationship between consumers and their smartphones in 2017. Using data from Google, the new mobile device personal assistant is capable of connecting all that information and providing consumers helpful insights based on online habits, searches and behaviors. From alerting users of special deals on the products they use, to notifying them of new products they may like and where to find them, the modern personal assistant is as convenient as it is useful. This will further intensify consumer dependency on their mobile devices in 2017 as they interact with their smartphones on a more personal level.

The sharing economy: Innovations in mobile technology will drive the sharing economy in 2017. The new sharing economy will continue to morph into our everyday lives in the coming year as consumers increasingly demand fast and easy ways to share services.  For instance, new apps are popping up every day, offering all kinds of conveniences and things we never knew we needed. The profusion of on-demand apps and other mobile technologies will continue to facilitate the sharing economy in the coming year.

Whether it’s your first time experiencing the magic of tapping to pay for groceries or leaving behind the headaches of manually splitting up a dinner bill among friends, chances are 2017 is the year that you will become a member of the mobile payment economy. And like many that have come before you and even more that will come after you, the convenience and improved experience provided by mobile payment technology will make you a believer.

Source: http://www.mobilepaymentstoday.com/articles/5-mobile-payment-trends-to-watch-in-2017/


Mobile security risks remain a serious concern for marketers and consumers alike now that a new report has shown that more than 200 different mobile applications and Web sites were leaking personally identifiable information over the course of the last year.

The data comes from a new report on data security from Wandera. The report studied mobile apps and sites from 20 different countries and found significant evidence of leaked information.

“Mobile is well and truly the new frontier for data security,” said Eldar Tuvey, CEO of Wandera. “It’s clear that security and compliance risks are far more formidable threats than previously thought.”

Personally identifiable information
With mobile increasingly being the preferred digital medium through which we live our lives, consumers are putting more and more personal information into their mobile apps and mobile Web sites.

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Email addresses were the most likely to be leaked

Wandera wanted to put a rough estimate on how much of this information remains insecure. To do this, the company took a look at nearly four billion requests from across hundreds of thousands of devices in 20 countries.

The results showed that more than 200 different mobile apps and sites were vulnerable to leaked personally identifiable information, or PII.

PII consists of any information that can be used to link digital activity to a specific person. This can be account numbers, email addresses, physical addresses, transaction data or any number of data points that might be tie something to a specific person.

Mobile security
No one industry or category of mobile program is to blame for these vulnerabilities. The leaked data ranged from a wide variety of sources, including news, travel, sports, entertainment and mobile shopping.

Some types of Web sites were more prone to leakage than others. A shocking 80 percent of the top 50 adult Web sites were found to be leaking information.

Almost 60 percent of all leaks came from one of three categories: news/sports, business/industry and shopping.

Another potentially surprising detail is that despite its sharing-oriented nature and outsized popularity compared to other mobile services, social media accounted for only 2 percent of all leaks.

The silver lining is that the most valuable of data – things such as credit card information – was the least likely to be leaked, accounting for less than 3 percent of all leaks.

This data is important for mobile brands and marketers who want to gauge their audience’s response to security concerns.

A recent study found that more consumers would be willing to sacrifice some functionality or convenience for better protection and security (see story).

Taken together, these two reports show that brands and marketers may need to adjust their priorities in the balance between convenience and security to be more in line with consumer desire.

“With the reported cost of remedying a mobile breach in the US falling between $250,000 to $400,000 in many cases, enterprises need to take concrete steps to routinely monitor the data that flows to and from each individual device, identify potential security gaps and dynamically respond,” Mr. Tuvey said.

Source: http://www.mobilecommercedaily.com/more-than-200-mobile-apps-and-sites-leaked-personal-information-last-year-report


Ninety percent of shoppers will use their smartphones in-store this holiday season, and that puts them at particular risk for cybercrime, according to a new report from Skycure.

As mobile continues to become the primary method of digital commerce for many shoppers, the threats to their financial safety grow. This holiday season, shoppers and retailers need to be on the lookout for both malicious applications posing as retail apps and for potential Wi-Fi hacking.

 

Security matters
This holiday season will be one of the biggest and now, more than ever, mobile will be leading the charge for shoppers who want to make smarter decisions.

But that new power that comes from increased mobile presence in the retail world comes with a few caveats that both consumers and retailers need to be on the lookout for.

For one, mobile as a channel is still vulnerable to threats from hackers.

Skycure looked at two ways that hackers could target mobile shoppers this holiday season.

The first is through tampering with Wi-Fi. As users continue to use their mobile devices in-store to make purchasing decisions, many of them will be looking for Wi-Fi to connect to to save on data costs.

Hackers can take advantage of this need in two ways. They can hack into a store or mall’s Wi-Fi and gather data from the connected devices, or they can set up their own Wi-Fi networks, misleading customers into thinking they are safe networks set up by the retailer they are currently visiting.

Once a shopper connects to one of these networks, the hackers now have a way in to their devices and the opportunity to steal valuable data.

Skycure compiled a list of which malls around the country were the most dangerous in this regard, with the highest amount of risky Wi-Fi networks. The top spot, a mall in Las Vegas, had 14 different Wi-Fi networks that could put customers at risk.

Malicious apps
The other problem that mobile shoppers face is the prospect of malicious apps posing as official retail apps.

Skycure found a number of examples of apps available on mainstream app stores that posed as official apps for well-known retailers. Brands such as Amazon and Starbucks were impersonated by apps that intentionally misrepresented themselves to appear reputable.

In reality, these apps contain malicious code that can work its way into a mobile device’s vulnerable areas.

One example, an app posing as an Amazon Rewards program, sent malicious code from the victim’s phone to others through SMS once it had been ingrained.

While shoppers are the ones who stand the most to lose from these types of scams, the impetus falls on both customers and retailers to take measures to fight these crimes. If not, they risk losing customers’ precious trust in both them and the mobile channel, shutting off an entire source of revenue and brand goodwill.

Source: http://www.mobilecommercedaily.com/mobile-shoppers-at-risk-from-malicious-apps-and-wi-fi-this-holiday-season-report


According to recently released findings from the Capital One Wallet Survey, nearly one quarter (24 percent) of consumers are using mobile wallets in some capacity, while 16 percent are using their mobile wallet to make purchases.

Of the 24 percent using mobile wallet technology, more than 63 percent (63 percent) say they have been using a mobile wallet for less than a year, demonstrating the rapid acceptance and use of the technology during 2016.

More than half (54.9 percent) of those not using a mobile wallet said they would be interested in trying one if they felt it would make their current credit cards more secure.

Current users said the features they seek in a mobile wallet include:

  • the ability to hold digital coupons that get automatically applied (41.3 percent);
  • the ability to hold their photo ID (35.4 percent); and
  • fraud alerts when suspicious account activity is detected (28.0 percent).

Nearly half (48 percent) of mobile wallet users plan to make at least one gift purchase through their mobile wallet this holiday season. More than two thirds (70 percent) said they would use their mobile wallets even more if more merchants allowed them to pay that way.

The survey showed that use of mobile payments is tied closely to merchant acceptance:

  • nearly half (49 percent) of mobile wallet users said they use their mobile wallets at retail stores;
  • more than 41 percent (41.4 percent) have used the technology at grocery stores;
  • 37 percent have paid for fast food with a mobile wallet; and
  • more than one-quarter have used their mobile wallets at drug stores (26 percent) or for travel-related purchases.(27 percent).

The Capital One Wallet Survey polled more than 1,800 people who are mobile wallet users or nonusers about their thoughts, attitudes, behaviors and expectations related to mobile wallet technology, including acceptance and barriers to adoption.

Source: http://www.mobilepaymentstoday.com/news/2016-sees-a-rapid-uptick-in-mobile-wallet-uptake/


Make content short, responsive and simple, and cut the steps involved in purchasing processes, say these experts.

1. Have you stripped away any unnecessary content?

Tips by Dean Ronnie, content marketing manager, Miromedia

“Get rid of any graphics, videos, animations or anything else that means your mobile website takes forever to load. When optimising, consider that the visitor may not be viewing your site using a strong Wi-Fi connection. They could be viewing it via a prehistoric 3G connection (or worse). Slow loading means frustration for the customer, which means they will tap away and shop somewhere else.

“You also need to make sure that your mobile landing pages are right for the user and that they navigate to the page that’s relevant. If a user is looking to purchase fireworks, for instance, the page should have clearly laid-out products that can be quickly and easily purchased without having to navigate elsewhere. Also ensure that pages are easy to move around, easy to buy from and, of course, make sure your products are at the right price.

“Don’t be precious about anything. If it’s unnecessary for mobile, get rid. Most of the time, people are using their mobiles to make a decision, not research.”

2. Have you made the purchasing process ludicrously easy?

“Mobile browsing is all about convenience. People want to do things quickly. They don’t want to be going through multiple stages before they can buy something. So make the purchasing process as simple as possible by using the available technology – and that includes in-store. Make paying as simple as entering a password or scanning your fingerprint.

“Simplify the checkout process as much as you can. Ask your customers to enter only the necessary information. Ideally, your checkout process should be three steps or fewer.

“Think about integrated marketing as well. If using an app, include a ‘buy’ button that seamlessly allows the person to purchase without an interrupted experience.

“If you want to look to the (near) future, the next big thing looks to be shopping via Instagram. With its new ‘shop now’ feature, retailers will be able to tag products in images. By tapping these, users will immediately be taken to the relevant webpage to buy. It’s welcome news for businesses that sell niche products.”

3. Consider the context of the user experience

Tip by Inigo Antolin, head of marketing, Appleyard London

“Make your mobile site as fast as you can. Half of users expect mobile websites to load in less than two seconds, or they will leave, according to data from Kissmetrics. Bear in mind that mobile usage is already bigger than desktop, but it tends to be more on the go. It can happen on a short tube ride, or in a supermarket queue. Whatever the situation, mobile experiences tend to be really short.

“SMEs have just a few seconds or minutes before the user jumps into the next thing, because, for example, the train has already arrived at its destination.”

4. Does your website fit the device screen size?

“Having a responsive site is a must. I would recommend that businesses start by asking themselves: what time of the day and which days of the week do mobile users visit our site? Which devices do they use? Do they spend less or more than desktop? How do they pay for purchases?

Google Analytics is a free tool that can help you work out the answers to these questions. The next step is to run different tests for a limited time and learn from them. This needs to be an ongoing process, because mobile usage also depends on different factors, such as the weather. Sunshine, for example, means that users tend to spend more time outdoors and using more their mobiles.

“As a flower retailer, Monday is a really important day, on mobile and desktop. But this depends a lot on the industry, or even the specific page of the site. For example, the pages that we have promoting Sunday delivery don’t get any traffic until Wednesday, peaking on Saturday morning.”

5. Are you trying to run before you can walk?

Tip by Daniel Döderlein, chief executive, AUKA

“SMEs must figure out how using mobile can enhance the customer’s existing experience. For retailers, the end goal is to make their life as easy and pain-free as possible, to keep them coming back.

“That includes making it easy for shoppers to put items in their shopping basket, right through to the payments process (even providing automatic e-receipts). All of these things make the difference on mobile.

“Other examples of how we used m-commerce include scannable purchase codes in shop windows and magazines, with special offers to entice people in store. Remember, m-commerce also facilitates push-notifications based on geo-locations, enabling you to target and market like never before.

“The data you collect via mobile also gives you, as the retailer, a deeper level of customer insight, which is the key to unlocking a whole new level of marketing power for your business.”

Source: http://www.telegraph.co.uk/connect/small-business/tech/questions-smes-should-ask-about-m-commerce/


One of the most talked about gifts this holiday season might not be a physical one, but a digital one. According to a recent Mercator Advisory Group study, egifts accounted for 18 percent of the reported gift card loads in 2015, an 80 percent increase from the previous year. With the rise in popularity among consumers, retailers are beginning to leverage egifts for more than just products to sell and are incorporating them into reward and rebate programs.

Electronic gift cards, or egift cards, are delivered digitally, including via email, SMS text, social media or app, and can be redeemed either in-store or by using the gift code online. Ease-of-use, personalization options and fast delivery are a few of the reasons egifts are quickly increasing in popularity.

Here’s why, in addition to being a valuable gift option, egifts are also a valuable rebate reward or incentive option for retailers and consumers around the holidays.

Omnichannel flexibility

Savvier shoppers combined with innovation in retail have transformed the landscape of holiday shopping into an omnichannel experience. Consumers quickly move from shopping at brick-and-mortar stores to shopping online or on their mobile devices and back, and want to do so seamlessly. According to a recent study by the Retail Gift Card Association, omnichannel flexibility is key for consumers, with 87 percent of gift card recipients wanting to be able to redeem their cards online or in-person as they choose. Egifts responds to this desire better than other promotional rewards.

Holiday shopping or gifting with egift rewards

Around the holidays, some shoppers may like to use loyalty program and rebate rewards to help offset the cost of holiday shopping and gift giving. Retailers can make it easy for shoppers to redeem and use their rewards via various channels or even gift them to someone else. Once an egift reward is received, the recipient can print it out, store it on their phone, save it to their mobile wallet—or, in some cases—re-gift it to someone else entirely.

Elevated brand interaction

When a traditional reward check is cashed, a consumer’s experience with the brand is over. With egifts, however, the brand can remain top of mind for much longer. First, the reward is received via email, text or app, and the retailer’s messaging is present. Next, as the reward is saved or stored, it acts as a mini billboard in the recipient’s mobile wallet or inbox. Finally, when the reward is redeemed, the recipient is reminded of his or her engagement with the retailer.

Directing spendback is also valuable during the holidays. Unlike checks, egifts offered by retailers as rewards incent shoppers to return to that store (online or in person) and, according to the consumer gift card survey by RGCA, the consumers surveyed typically spend more than they have on a gift card by $20.

As retailers plan their holiday promotional and loyalty strategies, egifts should be considered for inclusion in the reward mix as a win-win option. Recipients will appreciate the flexibility, ease-of-use and fast delivery. Plus, retailers can find value in the additional opportunities for brand messaging and interaction with their consumers during the hectic and crowded holiday marketing season.

Source: http://www.mobilepaymentstoday.com/articles/mobile-gift-rewards-can-have-an-impact-this-holiday-season/


Money20/20 is over for another year. And as sore feet (and heads) recover and the dust starts to settle, attention is turning to the big trends and key themes.

The show has always been focused on the future and this year’s installment was no different.

In particular, there was much to make retailers sit up and take notice, for it is readily apparent that payments are in the midst of unprecedented transformation.

So, what forces are driving the change and what does the future of retail look like?

In-store on the way out?

Brick-and-mortar stores are under threat from all angles.

From a payments perspective, the in-store checkout experience is increasingly incompatible with modern lifestyles and expectations.

For example, 86 percent of consumers avoid stores with long queues, and frustration with waiting in line costs retailers billions in revenues each year. Too many retailers invest huge sums into the look and feel of stores, but neglect the pragmatic elements that can streamline the consumer experience.

In addition, many have been slow to adapt to consumer behavior and demand. Here’s an example. We are living in a digital era, yet half of U.K. small businesses only accept cash, even though the U.K. has one of the most advanced contactless infrastructures in the world, over 50 percent of UK adults carry less than £5 in cash and 54 percent of Europeans paid using a mobile device in 2016. It is this inherent conservatism and disconnect that is driving consumers away from the high street.

In-apptitude

It is not only the in-store payments experience, however, that poses challenges to retailers.

Despite the fact that consumers use their mobile devices more than their PCs, desktops account for 85% of online spending. In addition, 23 percent of users abandon mobile applications after only one use, and a staggering 86 percent have abandoned a mobile basket due to the frustration of a lengthy checkout experience. Even more concerning is that only 4 percent of small retailers even offer a mobile application that accepts payments.

It is clear, therefore, that retailers must rethink their approach to fully seize the m-commerce opportunity.

Despite the differences between in-store and in-app payments, the steps to improve them are the same. One is to remove as much friction as possible from the payments process to eliminate consumer frustration and prevent abandonment. Another is to enhance the ‘buying experience’ to make payments more than just, well, paying.

The road to invisible payments

The ‘contactless payments revolution’ has undoubtedly gone a long way to reducing friction across the payments ecosystem and shortening queues at the checkout. An advancing contactless infrastructure, an increase in near field communication (NFC)-enabled mobile devices and the launch of big name platforms has triggered explosive growth across the mobile payments industry.

And this is only the start. The wider integration of payments functionality into wearable technology is set to further streamline the checkout process, as the consumer does not have to rummage through their pocket in search of their device. This, coupled with innovations such as beacon technology (which underpins platforms such as Google’s Hands Free app), means that paying will soon require only the most limited consumer interaction.

In parallel, the introduction of ‘Buy with’ functionality within mobile applications by the OEM Pay platforms has simplified in-app purchases. Money 20/20 also saw some key announcements that will further streamline the in-app experience. EMVCo announced that its EMV 3DS 2.0 specification implements intelligent risk-based decisioning to encourage frictionless consumer authentication. The FIDO Alliance also confirmed it is working with EMVCo to enable consumers to conveniently use on-device authenticators, such as a fingerprint or “selfie” biometrics, to securely verify their presence when making an in-app payment.

With the infrastructure in place, retailers must be proactive and embrace these technologies to streamline the consumer experience and reduce checkout abandonment both in-store and in-app.

Making payments pay off

Simplicity of use, however, is only half the battle. Enhancing the buying experience is not new age marketing jargon (seriously), but rather a concrete means of integrating value-added services into the payments process to drive adoption.

The OEM Pay platforms and banks are leading the charge in delivering an added-value ‘buying experience’. For example, Android Pay automatically deploys loyalty points and applies offers, and initiatives such as ‘Android Pay Day’ offer monthly incentives. From the bank world, Royal Bank of Canada has integrated over 150 loyalty programs into its HCE wallet.

The future of retail payments

So, how are retail payments changing? A key takeaway from Money20/20 is that we can expect the concepts of in-store and in-app payments to become increasingly blurred.

For example, in-aisle payments enable retailers to combine the in-store experience with in-app convenience. Rather than queuing at the checkout, the consumer can simply scan the physical product within their mobile application, perform an in-app purchase and display their digital receipt upon leaving the store.

Predictive analytics and machine-learning are another avenue by which retailers can improve the consumer experience, with mobile applications leveraging past behavior to deliver smart recommendations.

In addition, augmented reality enables consumers to analyse product information and read reviews in-store and in real time, rather than having to research at home before heading out to the store.

The end of payments as we know it…and we feel fine

Whatever avenue mobile payments takes us down, it is clear that payments are undergoing an unprecedented period of transformation. Retailers, much like banks, are often accused of being conservative and resistant to change. But they now face a clear choice. Adapt or fall behind.

Money20/20 showcased a future in which payments are no longer a chore, but rather a rewarding experience. By moving quickly, embracing change and futureproofing their offering both in-app and in-store, retailers can find their place in this brave new world.

Source: http://www.mobilepaymentstoday.com/blogs/the-end-of-payments-as-we-know-it/


 

There’s a smartphone epidemic. So many people have them, and they are so engrossing, that smartphone users literally bump into each other when crossing the street or passing each other on a set of stairs. They’re communicating, they’re gaming, they’re researching and locating, they’re checking the weather, they’re shopping, they’re daydreaming, they’re doing everything with their enthralling phones… except paying. Or making eye contact.

What is the holdup in adopting mobile wallets? To be fair, a respectable 35 million consumers—22-plus percent of all smartphone owners—have gone so far as to provision a credit or debit card into a general purpose mobile wallet for use—maybe not for regular use, but at least they’ve tried it.

There’s been a ream of articles written about what it would take to get mobile wallets into wide adoption—and each article eloquently offers one piece of the puzzle. We’d like to posit that what it’s going to take to get the mobile wallet to replace the tattered leather one in your back pocket is… when everything that’s in your wallet is in your phone, and more. And everyone accepts that as reality.

Let’s make a checklist of what’s in your physical wallet now, and whether they are, or could easily be, in your phone. Credit cards? Check. Debit card? Check. Little scraps of paper with people’s names and phone numbers on them? Check. Frequent flyer, grocery, and other loyalty cards? Not yet. Gift cards that you never remember until after you’ve left the store? And how about your driver’s license? With this checklist, a picture of the real wallet, beyond just making payments, is beginning to form.

The mobile wallet needs to have a 360-degree view on the range of identifiers you keep in your physical wallet. You shouldn’t have to fumble for your credit cards, loyalty cards, or prepaid gift cards. You shouldn’t have to carry around your physical driver’s license or social security card. In a sense, it’s actually safer to have them stored electronically in a device you carry all the time anyway. A device that has already become a highly personal, unique object to you. Each smartphone owner has his or her own settings, apps, ringtones, wallpaper and background images. The phone is a personal statement about—an extension of—who they are.

So what is keeping people from using their smartphones as an all-the-time, functional mobile wallet? As we stated earlier, multiple factors are involved. Very often, their issuing bank has not integrated with one of the wallet providers, so they can’t provision a card into it. Another widespread reality is that the wallet is not accepted in many places. Without global acceptance across all merchants and services, it can never become as habitual as paying with physical money (either with credit cards or cash). Then there’s the limitation of only being able to have credit and debit cards in your phone, instead of having gift, loyalty, or other prepaid cards available, in digital format, for use anytime. Until you can get your license and Social Security card in there, it won’t be a true wallet.

Remember when you bought a word processor, a sort of proto-computer that was programmable but not connected to the internet? You may be too young to remember that, but in the not-too-distant past you had to have a different device to do your word processing, your spreadsheets, your faxing. (What is faxing? some young people will ask.) You kept your contacts in an ancient device called a Rolodex. Then along came Microsoft, and suddenly, it all came together in one place—a digital calendar, spreadsheets, word processing, email management (the modern equivalent of faxes)—the works. Now we have Windows10, the re-fulfillment of that intention, with its objective of making everything mobile, transportable, and interconnected—an integrated experience. It brings together news, music, photos, geographic status, email, texts… all in one cloud-based place.

Well, in just the same way, it all needs to come together in the mobile phone in order for mobile payments to be widely adopted by consumers and merchants. That level of nearly unconscious acceptance that we see with computers—is there anyone who doesn’t, at minimum, know the workings of a computer, or more likely owns several of them in some form?—needs to happen. Will economic history mark it as a bigger leap from cash to credit cards, or from cards to the mobile wallet?

Once the universality of structure is achieved, trust and acceptance will inevitably follow. And actually, it’s bound to happen: we will see a similar integrated capability where multiple payment and identifying forms—all the information that defines our commercial lives—reside in one place. The phone.

Source: http://www.mobilepaymentstoday.com/articles/what-do-consumers-know-about-their-phones-not-enough-to-leave-their-wallets-at-home/


Everywhere you look, at any time, everyone seems to be using their smartphone. Whether they are texting, using social media or shopping, these on-the-go consumers are living a digital lifestyle and taking their mobile devices with them.

With 64 percent of U.S. consumers now owning smartphones, more brands are turning to mobile, not only to reach and engage with consumers, but also to drive offline traffic and sales.

In fact, according to Forrester Research, mobile and marketing are the top two digital priorities for 59 percent of North American retailers. 

As the holidays approach, mobile has the ability to make or break retailers’ peak shopping season.
Preparing now will help brands be mobile-ready for this year’s holiday rush by increasing brand awareness, driving online and offline traffic and increasing sales.

Retailers can do that two main ways: with mobile monetization campaigns that users will not want to ignore, and with contextually-triggered digital messaging that drives action in the real world.

Think user-first to create breakthrough mobile campaigns and experiences
With a smartphone in nearly every pocket, mobile will be the key to driving brand awareness and loyalty this holiday season through branded experiences never before possible.

For true mobile monetization success, brands must think beyond basics such as banner ads, which are disruptive and often drive consumers to tune out or, worse, block the content all together.

Instead, they should take advantage of the immersive experiences that mobile enables, letting users interact in new and engaging ways, via swiping, tilting or shaking their phones.

In an industry experiencing a 90 percent global growth in mobile ad blocking last year alone, it is imperative for brands to explore immersive and integrated ad experiences that go beyond sticking a standard banner on the screen.

With mobile now representing nearly two out of three digital media minutes, marketers must understand how to engage their users, leveraging creative approaches to break through the thousands of ads that consumers will encounter during the holidays.

Digital drives traffic and conversions both online and off
As brands prep for the holidays, success driving store traffic and influencing digital conversions will depend on understanding who and where your customers are.

Through mobile applications, marketers can tap into the billions of data points that users leave behind, using these extensive digital trails to gain deep insights into consumer profiles and behavior.

Thanks to mobile, brands have incredible opportunities to reach consumers throughout the day, with the ability to engage targeted audiences anytime, anywhere.

A recent study from Deloitte shows that U.S. consumers check their phones an average of 46 times per day, giving brands a staggering amount of time to reach and interact with consumers. What is more, consumers now spend 90 percent of their mobile-media time in apps.

Where brands traditionally relied solely on traffic data and cookies to gauge success of mobile Web sites, apps provide an unprecedented level of user insight.

From time spent per page to in-app advertising impressions and conversions and even lat/long location data, apps give brands a more detailed view of engagement and success.

Coupling app analytics with data from technology such as GPS, Bluetooth and Wi-Fi allows brands to drive mobile consumers to online stores and bricks-and-mortar locations more effectively.

During the holiday shopping season, tools such as mobile marketing automation and proximity marketing give marketers a way to drive consumers in-store and engage them 1:1 with a click of a button.

For example, through geo-fencing, brands can create virtual boundaries around neighborhoods and retail stores, sending triggered messages alerting nearby consumers of in-store sales, inventory updates or app-specific discounts, then driving in-store foot traffic and conversions.

Marketers can also take advantage of boundaries around competitor stores.

Tired of seeing consumers pass your store for another? Geo-conquesting allows you to geo-fence competitor locations and trigger campaigns when your users cross them.

Mobile gives us the ability to monitor X, Y and even Z coordinates – latitude, longitude and floor level – to engage users when it will be most powerful and relevant.

Physical and virtual beacons will also be critical for connecting with 1:1 with consumers during the busy holiday season.

Beacon technology is forecasted to influence more than $40 billion of United States retail sales in 2016, and 61 percent of consumers plan on increasing their smartphone usage in-store.

The ability to send relevant, timely and personalized messages will be crucial. Because beacons are small and inexpensive, they can be placed in a variety of places such as store entrances, shopping carts and dressing rooms, and can be used to trigger friendly welcome messages and special offers for frequent shoppers.

CONSUMERS WILL ONCE again turn to mobile for a faster, more convenient holiday shopping experience.

In 2015, holiday shoppers spent a whopping $12.7 billion on mobile, and that number is expected to increase once again.

Even better news for brands is that data shows that one-third of consumers who use mobile devices to shop have a 20 percent higher conversion rate than those who do not.

Whether in-store or not, enabling fast and easy mobile purchases will be critical for capturing busy, on-the-go holiday shoppers.

For a successful 2016 holiday retail season, think mobile-first.

Taking advantage of mobile’s many opportunities and tapping into the extensive user insights it provides will help retailers better engage consumers during the busiest shopping season of the year, driving awareness, traffic and sales.

Source: http://www.mobilecommercedaily.com/how-to-get-mobile-ready-this-holiday-season