Presented by:

Ahmed Atef Elnaggar

Supervisor:

Prof. Saad M. Darwish

Mobile penetration (Global and Local)

Growth factors of M-commerce

M-Commerce definition & history

M-Commerce overtakes E-Commerce

Applications of M-Commerce

M-Commerce Framework

Major stakeholders in the Industry

Purchase cycle B2C

Opportunities & Limitations

Recommended sites & References

Overview

Global Mobile penetration

Mobile penetration in Egypt

So we can say everyone has a mobile phone.

Over the past 10 years mobile phones have changed the way

that we live and work (All in one).

The mobile phone seems to give us more power.

People consider mobile phones as extensions of themselves.

So Market and developing business models should to exploit

the huge profit and the potential revenue of this new market.

So Mobile commerce has become the latest topic for today.

While electronic commerce continues to phenomenal growth,

mobile commerce is still in its infancy.

Mobile penetration

Growth factors of M-commerce

Technological innovations-

Faster data transmission technologies

Better mobile devices

Enhanced data storage &Cloud

Better user-interface

Other factors-

The increasing penetration of mobile phones

Accessible any time any where M-commerce eliminates many time- consuming tasks

M-Commerce definition & history

"Mobile Commerce is any transaction, involving the transfer of ownership or rights to use goods and services,

which is initiated and completed by using mobile (Cell-phone, PDA, Smart-phone) access to mobile

communication networks over different technologies” .

Mobile Commerce Services were first delivered in 1997,

when the first two mobile-phone enabled Coca Cola

vending machines were installed in Finland.

Since the launch of the iPhone, mobile Commerce has

moved away from SMS systems and into actual

applications. (Mobile Commerce is Exploding)

Accessibility ( anytime on-the-go)

Localization ( anywhere)

Convenience

Easy Connectivity

Personalization ( your personal device)

Innovation :Can create new business

opportunity to reach and attract customers.

Security

M-Commerce Overtakes E-Commerce

• Mobile Money Transfer • Mobile ATM • Mobile Ticketing • Mobile vouchers, coupons ,loyalty cards • Mobile Banking • Mobile brokerage • Auctions • Mobile Browsing • Mobile Purchases • Mobile marketing and advertising • NFC • M-wallet • And still counting…..

Applications of M-Commerce

10

location based sensitive Local maps

Local offers

Local weather

Tracking and monitoring (Next bus project)

Time critical Flight departure

Stock market

Auctions

Controlled by the providers

Taxonomy of M- Commerce Applications

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M-Commerce Framework

Technology developers

Device Manufacturers

Application Providers

Content Providers

Service providers (Operators)

Users

Major stakeholders in the Industry

Case Study (Products at hypermarket)

1. For Business

• Extend the reach of business

• Convert the buying impulse into a transaction

• To offer customised services to consumers

2. For Consumer

• Portability :Access a business anywhere

• Instant connectivity: Stay connected

• Localization :Access multimedia & location

services

• Personalization

Opportunities of M-Commerce

• Accessibility expensive

• Unresolved legal issues

• Lack of national and international

governmental regulations

• Lack of mature methodologies to measure

benefits

• Customer resistance

• Competition issues

Limitations of M-Commerce

• Standardization issues : Lack of universal standards

• Smaller Displays : Inconvenient to navigate

• Limited Storage Capacity: Unsuitable to carry large data

• Limited Processing Memory:Programs freeze

• Use of graphics limited

• Limited Battery Capacity

• Insufficient & limited bandwidth

• Security issues

Technical Limitations

• Integration difficulties

• Need for special Web servers

WAP and SMS limited to small number of characters

and text.

Potential health hazards

Fear of radiation

Unsafe to drive and use wireless phone

Cell phones may interfere with sensitive medical devices (pacemakers)

Cont. Technical Limitations

Challenges

Expectations of users increase

Increased maturity of systems and processes

It’s a new channel to be explored

Many platforms, many technologies, many players

Threats

“anytime, anywhere” increases transparency

Price comparison (incl. barcode scanning) makes the

market even more transparent, reaching full

transparency (in B2C)

Oligopoly/Cartels might appear

Challenges & Threats

According to new analysis from Juniper Research, consumer demand for mobile money transfer services will see users exceed 500 million globally by 2014, principally in developing countries.

Africa ,Middle East ,China and the Indian will be the leading regions for national mobile money transfer services in 2014 (Money transfer service by mobile is launched 4-2013 at Egypt)

Sophisticated mobile financial services such as loans and savings accounts can add to the attractiveness of mobile money services

Therefore, the future of M- Commerce is very optimistic

Future of M-commerce

As m-commerce applications and wireless

devices are evolving rapidly, one will take

forward the other one towards empowering

innovation, versatility and power in them.

Once m-commerce issues and challenges have

been incorporated into the policies of a company,

more benefits could be expected.

Therefore, in the future, research needs to focus

on two aspect; the influences that determine the

success of m-commerce and the benefits

themselves.

Conclusion

• Trend Predictions in 140 Characters

http://www.slideshare.net/TrendsSpotting/2010-

mobile-influencers-trend-predictions-in-140-

characters-by-trendsspotting

• Mobile Trends 2020

I. http://www.slideshare.net/rudydw/mobile-

trends-2020

II. http://nobelprize.org/physics/laureates/1909/mar

coni- bio.html

Recommended web site

1. Mobile Commerce: opportunities and challenges A GS1

Mobile Com White Paper February 2008 Edition

(www.gs1.org).

2. Chang-tseh Hsieh: University of Southern Mississippi (2007

Volume 7 Issue 1).

3. 2016: The Future Value Chain (Global Commerce Initiative,

Capgemini, Intel, 2006)

4. Breakthroughs in the European Mobile Payment Market

(ATOS Origin, 2007)

5. Buellingen, F., Woerter, M. (2004) “Development

perspectives, firm strategies and applications in mobile

commerce,” Journal of Business Research, December, Vol.

57 Issue 12, pp.1402-1408.

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References