Would the Real Mobile Wallet Please Stand Up?

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Would the Real Mobile Wallet Please

Stand Up? (or at least stand out?)iMedia Breakthrough Summit – Mobile Bootcamp

October 20, 2013

Dr. Phil Hendrix

Director, immr and Gigaom Research analyst

www.immr.org

1 (770) 61211488

phil.hendrix@immr.org

Title

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More Information in these ReportsEngaging Connected Consumers Mobile Shopping

Download at www.immr.org/reports.html

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Topics for DiscussionTopics for Discussion

� Mobile Payments, Wallets & M1commerce

� Frameworks

� PEERSM

� 8 Layers of Location

� M4M (Metaphors for Mobile)

� Implications/Strategies for Brands

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� Research ConsultantResearch�based Strategy forVery New Products and Markets

� Advisor – Startups• Product�Market Fit• Value Proposition• Growth strategy

� Catalyst• Innovation• Strategy

� Analyst• Emerging Technologies• Mobile/M�Commerce• Location, Context

PreviouslyMercer Diamond Cluster

About me

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Mobile Payments and

Mobile Wallets

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Value to Value to Consumers

Value to Value to Merchants

Speed/

Ease of Use

Speed/

Ease of Use

Awareness/

Familiarity

Awareness/

Familiarity

Merchant

Acceptance

Merchant

Acceptance

SecuritySecurity

Incentives

to Adopt/Use

Incentives

to Adopt/Use

Unique

Benefits

Unique

Benefits

Mobile

Payment

Mobile

Payment

Drivers of M1Payments

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Value to Value to Consumers

Value to Value to Merchants

Speed/

Ease of Use

Speed/

Ease of Use

Awareness/

Familiarity

Awareness/

Familiarity

Merchant

Acceptance

Merchant

Acceptance

SecuritySecurity

Incentives

to Adopt/Use

Incentives

to Adopt/Use

Mobile

Payment

Mobile

Payment

� Authentication(visual, proximity, etc.)

� Digital receipts� Integration w/ shopping,

offers, rewards� Others TBD

Unique

Benefits

Unique

Benefits

M1Payments Unique Benefits

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What Will Spur Adoption of M1Payments?

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Significance for

Brands

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Examples

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“The Remote for Our Lives”

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MobilePayment

MobileConcierge

Mobile Marketing

MobileRewards

A Broader View of Mobile Wallets

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Mobile Marketing Influencing prospective buyers with communications, incentives

Search Advertising Offers

Mobile Payment Enabling payment for goods and services via mobile devices

FIs/Issuers Operators Challengers

Mobile Rewards Brands and businesses rewarding customers via mobile devices

Points Offers Experiences

Mobile Concierge(including shopping)

Brands, businesses and TPPs assisting mobile customers

Information Recommendations Assistance

Mobile Wallet Enabling M1Commerce

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MobilePayment

MobileConcierge

Mobile Marketing

MobileRewards

Data Data

Data

Data

Data Fueling M1Commerce

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Frameworks

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Wroblewski’s Theorem

“Anything that can be connected to the Internet, will be.”

Philips Hue Bulbs

Luke Wroblewski

Nest Learning Thermostat

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Corollary – “Everything’s “Everything’s “Everything’s “Everything’s a a a a Pixel”Pixel”Pixel”Pixel”

8 Layers of Location

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Evolving toward Micro1Locations

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PEER

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From the 4 P’s to PEER

Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix, immr

Learn† &Adapt

Remove Frictions

Surprise/Delight

Reinforce†Securely, with full transparency

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PEER Strategies

PersonalizeLeverage data about consumers and their context to

increase the relevance, timeliness and value of

communications, offers and customer experiencesAllows airports to tailor info for

travelers based on profile,

destination

EnableHelp customers complete tasks and accomplish their

goals by minimizing the risk, time, and effort as they

shop, compare, purchase and use your products Mini owners can detect other

owners, share tips

EnhanceSurprise and delight customers by anticipating and

helping them fulfill functional requirements, emotional

needs and aspirationsGuests can manage experience

(FastPasses, reservations, rides,

etc.)

RewardUsing feedback, encouragement, rewards and social

influence, reinforce customers as they engage in

behaviors that are mutually beneficial

Allows hotels to personalize

rewards, experiences based on

guest’s social profile

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M4M(Metaphors for Mobile

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Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix

More Metaphors for Mobile

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PropositionsConsumersValue

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Frictions, Shoulds and Wants

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Discover Choose

Buy Use

Path1to1Purchase and Ownership

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†Source: immr Shopping Survey

Consumers’ Love1Hate Relationship

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Can Mobile Save Shopping?

Source: If Shopping is Broken, Can Mobile Fix It? Dr. Phil Hendrix, immr

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Social = Currency

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Litmus Tests for

Your Strategy

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Are You Tuned in to Consumers’ Digital Signals?

LocationLocation SocialSocial HistoryHistory

Source: Tuning into Consumers’ Digital Signals, Dr. Phil Hendrix, immr

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Are you Engaged? Or Merely Engaging?

What What

I Like

Who I am…Where I Where I

am

What’s

Nearby

What’s

Nearby

What’s

going On

What’s

going On

What I

respond to

What I

respond to

What I’ve

bought

What I’ve

bought

Where Where

I’ve been What

I need

What

I need

Where

I’m going

Where

I’m going

Source: How SoLoMo is Empowering Consumers, Transforming Shopping and Disrupting Advertising and Retailing, Dr. Phil Hendrix

KnowKE

xp

ec

tati

on

s

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Are You Engaging by Consumers’ Rules?

Right1time

Relevant

Personalized

Rewarding

Source: Drive Revenue and Loyalty by Engaging Mobile and Social Consumers, Dr. Phil Hendrix, immr

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Are You Tapping into PEER?

Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix, immr

Learn† &Adapt

Remove Frictions

Surprise/Delight

Reinforce†Securely, with full transparency

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Are You ManagingNumerator and Denominator?

Customer Benefits

Customer EffortLoyaltyLoyalty = ffff

Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix

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Are You Enabling Customers?

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And Aligned Organization around Role(s)?

Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix

Have You Defined YourRole(s) in Customers’ Lives?

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Is Your House of Loyalty “Built to Last?”

Source: Raising the Bar – How Leading Companies are Boosting Customer Loyalty with Mobile and PEER Strategies, Dr. Phil Hendrix

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Are You Doubled Down on Innovation?

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Are You Making the Right Strategic Bets?

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Are You Hitting on All 8 Cylinders?

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More Info

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immr – Recent and Forthcoming Reports

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Bio – Dr. Phil Hendrix

Dr. Phil Hendrix

Director, immr

www.immr.org

+1 (770) 61211488

phil.hendrix@immr.org

@phil_hendrix

Dr. Phil Hendrix is the founder and director of immr, a research and advisory firm focused on market opportunities afforded by new technologies, and an analyst with GigaOm Pro. He specializes in helping

organizations evaluate and capitalize on opportunities that are new3to3customers and new3to3market. Dr. Hendrix

has extensive experience uncovering customer needs, identifying triggers and hurdles to adoption, and developing

strategies that unlock market opportunities, both B2C and B2B.

As an analyst, Phil focuses on mobile innovation and the implications for companies across industries. He is a

regular contributor at leading industry conferences, including GigaOm’s Mobilize, Structure:Data, Street Fight

(hyperlocal), ad:tech, iMedia Summit, Social3Loco and others. His current work focuses on mobile and its impact on

consumer behavior, especially shopping, M3commerce and mobile payment.

As a consultant and advisor, Phil has led significant engagements with startups and Fortune 100 clients in mobile,

consumer electronics, and related categories, including financial services, transportation, insurance and others. He

works closely with senior management and project teams on key issues, including market sizing, segmentation,

positioning, and branding as well as innovation, user experience, and customer retention. Over the course of his

career, Phil has helped clients conceive and successfully launch dozens of new products, services and businesses.

Before founding immr, Phil was a partner with DiamondCluster (strategy and technology consultancy), founder and

head of IMS (Integrated Measurement Systems), and a principal with Mercer Management Consulting (now Oliver

Wyman). He has held faculty positions at Emory University and the University of Michigan, where he taught courses

in marketing, research, and buyer behavior for MBAs and executives. While at Michigan Dr. Hendrix also held a joint

appointment as a research scientist in the Survey Research Center, Institute for Social Research.

Additional information on immr perspectives and reports prepared by Dr. Hendrix is available at immr and

Slideshare, with additional information available at GigaOm Pro.