Media Playground: “M-commerce is going great guns”
“M-commerce is very interesting and we’ve only just hit the tip of the iceberg,” according to Tamsin Hussey, group account director at Joule.
At our Media Playground 2012 event last week, Hussey told delegates in the Mobile Advertising session that Amazon and eBay have “got m-commerce right” but others will follow.
According to Russell Buckley, man about town at MobHappy, mobile will “upset certain retailers” but he said they have the opportunity to take advantage of m-commerce and maximise their position in front of consumers.
Hussey explained that the average purchase price on mobile among iPhone users is higher than online because the barriers to purchase are lower, it’s easy and it encourages impulse buying. Hussey believes that mobiles make the shopping experience better.
When asked about the future prospects of the much-talked about QR codes and NFC, Iain McCallum, channel development director at Brainstorm Mobile Solutions, said: “A significant proportion of the UK will not use a QR code.”
Chris Bennett, sales director, EMEA, Tapjoy, wonders how consumers can learn about “fantastic technology” such as QR codes. He thinks that “consumers will happily engage with ads and technology but only if there is a real value exchange”.
Buckley added that NFC isn’t ready for prime time yet. He believes it may take off in three to five years time.
However, James Connelly, co-founder and managing director of Fetch Media, disagreed, saying the lack of take-up is down to manufacturers being slow. “Things will move much more quickly now, especially with initiatives like the Barclays sticker – which you put on the back of your mobile to access tap to pay services – will trigger the market,” he said. “It is just about educating the consumer – like with chip and pin – then we’ll see their purchasing habits shift.”
McCallum said that NFC has the potential to drive m-commerce and solve existing issues. He also believes that there are “significant revenues to be had” with m-commerce and NFC opportunities.
“The level of success is down to the creative, intelligent people who are overcoming barriers – and there are significant barriers – but I still don’t think we’ve quite got it,” he concluded. “There is no magic formula, it’s about focusing on the consumer and experimenting.”