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mobile commerce
What is mobile commerce? My definition is:
commerce-related activities using or aided by your mobile phone
This suggests segmenting the mobile commerce space by commerce task: research/compare, purchase, delivery/pickup. These commerce tasks can be done using the mobile, using traditional physical processes, or using the desktop. In the table below, we ignore the desktop as it is a relatively small subset of the capabilities of the mobile (as long as the web site works on a mobile).
| Physical | Mobile | |
|---|---|---|
| Research & compare |
| Physical options and ...
|
| Purchase |
|
|
| Delivery & pickup |
| Physical options plus ...
|
So a given transaction can have a mix of physical and mobile components.
The banks also talk about mobile commerce in the form of account management. While this to me appears to be a web service, it is financially related. Again, there are obvious physical and mobile options for account management ... and lots of companies creating mobile applications to support banks who want a mobile presence.
I've seen too many people talk about just one piece of the above table as "mobile commerce". Back in 2000 (at least in the US) the entire transaction had to be mobile to qualify as mobile commerce, in no small part because the integration with the physical world was non-existent. Amazon.com and Barnes & Noble let you browse content, add it to the cart, purchase it, and have it shipped to your house all on the mobile phone. Nice, but of course the experience was lacking (particularly due to data speed and somewhat due to screen size).
These days, using the mobile phone as a payment instrument is a popular space. Visa and Mastercard are in the picture; technologies include RFID or near-field communication chips to allow the device to talk directly to a reader. The big shortcoming with this solution is the lack of integration between the phone and the chip. The phone really just has a chip attached to the case. This is important for folks who might want to use more than one card; expect competition for residence on the chip to be fierce.
Several providers allow delivery of content directly to the phone. Ringtones should of course be delivered directly to phones; music purchased on the phone should be shipped directly to the phone unless the user specifies otherwise. Note that you could make a physical or desktop purchase and have the content delivered to your phone.
While purchase and delivery are key, I think that the research process provides the most opportunities for entrepreneurs.
- Location-based: Where can I find the cheapest gas nearby? Where can I find the cheapest ATM? What hotels are available within one hour's drive from here ... while I head north on this highway?
- Comparison-based: How do the specifications of this camera compare with that camera? Can I find the camera cheaper nearby?
- Environment-based: Where can I get that scarf? What more information is available for the product on that billboard? Can I get a discount at this restaurant? What reviews are available for this album?
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