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M - Commerce

What is Driving M-Commerce

  • Exponential growth of consumer interest and adoption of the Internet and e-commerce.
  • Tremendous growth in mobile telephony; however, voice has become a commodity and will no longer fuel revenue growth for operators.
  • Development of real-time transfer of data over 2.5G and 3G networks will enable faster data transmission and ‘always-on’ connectivity.
  • The evolution of the handheld devices incorporating WAP and now GPRS.
  • Mobile e—commerce market is worth $3.5 billion in 2000 and will grow to over $200 billion by 2005 (Ovum).
  • Cost of entry into mobile e-commerce is low for most entrants; for example, a bank can implement a sophisticated m-banking solution in under six months for around $1 million.
  • The unique features of the mobile device such as its compactness for convenience and personalized functions; subsequently, people have become quite attached to their devices.

Attracting players from all economic sectors from technology, finance, retail, media, all anticipating that m-commerce will increase customer acquisition and retention and generate new revenue opportunities.

 


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