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8/8/2019 M Commerce Final Report
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M CommerceBy:
Sudhir PandeAssociate Consultant (Master Intern)
8/8/2019 M Commerce Final Report
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The Explanation
Mobile Commerce is an evolving area of e-Commerce, where users can interact with theservice providers through a mobile and wireless
network, using mobile devices for informationretrieval and transaction processing.
Mobile Commerce is any transaction, involving thetransfer of ownership or rights to use goods and
services, which is initiated and/or completed by using mobile access to computer-mediatednetworks with the help of an electronic device.
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M-Commerce Terminology
Generations ± 1G: W ireless technology (Voice Calls)
± 2G: Current wireless technology; mainly accommodates text (Voice calls and Text messages)
± 2.5G: Interim technology accommodates graphics (PictureMessages)
± 3G: 3rd generation technology supports rich media 2mb/sec
connection enabling V ideo Calls and HSDPA Connectivity (VideoCalls and Enhanced Internet Speed )
± 3.5G: Advanced version of 3G with HSDPA connection of 3.2mb/ps speed. (Live Video Streaming and 3.2 mbps internetspeed with wide connectivity)
± 4G: W ill provide faster internet connection and value added
services
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The Two Views
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Mobile commerce from theCu
stomer¶s point of view The customer wants to access information, goodsand services any time and in any place on hismobile device.
He can use his mobile device to purchase tickets forevents or public transport, pay for parking,download content and even order books and CDs.
He should be offered appropriate paymentmethods. They can range from secure mobilemicropayment to service subscriptions.
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Mobile commerce from the
Provider¶s point of view The future development of the mobile tele-communication sector is heading more and moretowards value-added services. Analysts forecast thatsoon half of mobile operators¶ revenue will beearned through mobile commerce.
Consequently operators as well as third party providers will focus on value-added-services. Toenable mobile services, providers with expertise ondifferent sectors will have to cooperate.
Innovative service scenarios will be needed thatmeet the customer¶s expectations and businessmodels that satisfy all partners involved.
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M-Commerce Applications
Business to Business
Business to Customers
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Business 2 Customers
Mobile Financial
Applications
Banking
Brokerage
Payments for mobileusers
Mobile Advertising
Sending user specificand location- sensitiveadvertisements tousers.
(Nearest Stores in the
area)
Mobile Inventory
Management
Transmission of information related todistributingcomponents tovendors.
Proactive Service
Management
Transmission of information relatedto distributingcomponents tovendors.
Product Locating andShopping
Locating/ Orderingcertain items froma mobile device.
WirelessReengineering
Improvement of business service.
(MobiTV by 3UK)
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Mobile Auction and
Reverse Auction
Service forcustomers to buy orsell certain items.
(Ebay on Mobile)
Mobile
EntertainmentServices
Video on demandor other services tothe mobile user
Mobile Office
Working from traffic jams, airport andconferences.
(Mobile Mail Service by
3UK)
Mobile DistanceEducation
Taking a classusing streamingaudio and video
Wireless DataCentre
Information canbe downloadedby mobile usersand vendors.
Mobile Music
Downloadingand playingmusic using amobile device.
Business 2 Customers
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Enterprise Benefits
Ability to
Enter NewMarkets
ReducedCosts
IncreasedRevenues
Ability toOffer NewProducts
and Services
CompetitiveAdvantage
IncreasedCustomer
Loyalty andSatisfaction
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Some Examples of the
Applications W ireless Access: phone.com
Alerting Services: myalert.com
Location Services: airflash.com
Shopping Services: nordstor.com
Banking Services: citibank.com
W eb Access: wapforum.com
Mobile Agents: tryllian.com
Brokerage Service: TD W aterhouse
Mobile Auction and R everse Auction: Ebay
Content Service: Britannica
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Some Solu tions and Companies
724 Solutions
A vantGo
Palm.net
N TT
DoCoMo
V odafone Group
A T&T
W ireless
Group
BellSouth
Cisco Systems
Sirenic
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M Commerce Design
It is the result of the coordination between:
M Commerce Product & Service
ServiceProviders
TechnologyDevelopers
TechnologyApplicationDevelopers
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Industrial Considerations to Make it
Practical andSu
ccessf u
l Application is about integration and cooperation amongst
the masters to come up with new products and services.
Understanding the user would be the key to run ahead of the market and win over the customer satisfaction
Security and Privacy are the two important factors which
could make or break the product.
Separation of Enterprise Data from Personal Data cause atthe end of the day its all about ´Personalizing the Servicesµnot ´Enterprising through the Personal Lifeµ.
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Market Drivers for M Commerce
Mass Market Mobile
Booming wire line Internet
Breakthrough in technologies
Supplier Innovation in term of Handset
Customer Centric services
Personalization and Mobilization of services and
products
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The Market Realities with the ServiceProviders
Top five operators by different KPIs worldwide
Rank Subscribers Total revenues Monthly ARPU Monthly churn
Proportion of
revenues
derived from data
1 China Mobile China Mobile 3 UKNTT DOCOMO
JapanSmart Philippines
2 China Unicom AT&T US Bouygues France KDDI Japan Globe Philippines
3 Bharti Airtel India Verizon US Vodafone Ireland SingTel Singapore SoftBank Japan
4 AT&T USNTT DOCOMO
JapanO2 Ireland Chunghwa Taiwan
NTT DOCOMO
Japan
5 Verizon US Sprint US Orange Switzerland T-Mobile Germany KDDI Japan
Source: Portio Research (Dec 2009) via: mobiThinking
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Top regions for penetration of 3G handsets, according toOv um via Morgan S tanley
0% 10% 20% 30% 40% 50% 60%
Western Europe
North America
AsiaPac(without Japan)
Middle East & Africa
South & Central America
3G Handset
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World Internet Penetration Rates byGeographic Regions 2010
(http://www.internetworldstats.com/stats.htm)
26%
35%
15%
14%
10%
Internet Penetration
Europe
North America
South America
Middle East and Africa
AsiaPac
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Operating System Share by Region(AdMob.com)
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Customer Survey Reports
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Characteristics Of Good Shopping
Experience
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Willingness to Spend
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Suggestions and Findings Markets with high penetration rate for Internet
users and Mobile Connection should be utilized
( W hich is generally seen; exceptions are the countries
like China where both the penetration levels are highbut M Commerce is not that strong enough)
K iller Applications should be developed, thedefinition for such application varies by country, by
culture, and individual users but the end result shouldbe highly acceptable, useful and revenue generator (forfirms) ( I Mode- Japan is the best example)
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Innovation, the key which will help the business
houses to create the market place in spite of the
technological and business barriers.
Employees could be one of the prime targets
for M-Business applications which will increase
productivity, reduce cycle times and givecompetitive advantage.
With 81% customers ready to pay almost 25
euros for their daily transaction like
Parking, Bus, Train through Mobiles; there is a huge
potential for both the service provider and
application developers to capture.
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Five IP based products are and will show growth incoming year, those are: 3G adoption
worldwide, social networking, live video streamingand video calls, VoIP, Impressive mobile devices.(Morgan Stanley R eport)
The M-Business value chain is complex and involves
more players than the traditional E-Business valuechain.
All-in-one device, with rich application package(multimedia) and personalization.
Asia is the new big market after Europe (MCommerce has been doing well) which has hugeamount of mobile users and internet user both.
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Thank You!!!