What is mobile commerce?
How are mobile commerce platforms impacting financial services?
What is m-commerce and what impact could it have on financial services? Well, m-commerce or mobile commerce is the buying and selling of goods and services through wireless handheld devices like smartphones. M-commerce is being dubbed next-generation e-commerce and enables users to access the internet without needing to connect to Wi-Fi. M-commerce is much more prevalent in Europe as devices in the country are already equipped with web-ready micro-browsers, which isn’t very common in the United States. The technology behind m-commerce is Wireless Application Protocol (WAP) but what impact does this platform have on financial services?
One way the m-commerce platform is impacting financial services is by allowing these institutions to offer their customers better service. The mobile commerce platform provides centralized, real-time insight across all facets of the business from ATMs to online banking transactions. The mobile commerce platform has pushed digital-only solutions onto financial services, forcing them to emphasize personal interaction and accelerate the shift toward technology solutions.
While mobile commerce solutions have pushed financial institutions to focus more on digital channels, many still offer multiple touch points to customers because they understand that their audience still appreciates a physical branch and not just a digital one. In fact, the proximity of a physical branch to a consumer’s work or home is among the top three factors for choosing a bank. While mobile commerce is impacting the ability that financial services have to reach and engage their customers, it’s not all just about the technology. Customers have an ongoing need for their financial institution to demonstrate trust and empathy across all channels of services they offer.
Prepare for the New Reality
As customer needs and expectations evolve and change, financial services need to keep up. The best way to do this is to work hard to understand the needs of their customers and how the FinTech ecosystem and large technology firms approach both customer experience design and the ability to meet those needs at scale. It’s a good idea for financial institutions to simplify product lines and product value propositions across channels and enable and optimize the financial journey for customers across all channels as well. It’s also necessary to acknowledge that while physical branches are changing, they’re not going away.
With a mobile commerce platform, financial services will be able to provide better mobile banking. Online banking was a huge game changer for financial services and mobile banking is no different. While, at first, mobile banking restricted or limited some transaction types, mobile banking has come a long way and is offering much more than it once did. Mobile banking now even offers chatbots and messaging apps, so customers can get their questions answered while on the go.
An m-commerce platform also offers the ability for financial services’ customers to make payments with their mobile device. Mobile commerce platforms are changing the game for financial services by allowing them to better meet the needs of their customers and satisfy their wants better too.
Top m-Commerce Platforms
Now that we know more about what a mobile commerce platform is and how this platform will impact financial services, let’s look at the top m-commerce platforms for 2018.
- Salesforce Commerce Cloud
- IBM Mobile Commerce
- Oracle Commerce Platform
- SAP Hybris
Mobile commerce platforms will only increase in popularity and flexibility as business moves to a mobile-focused age. The impact of mobile commerce can have significant positive implication for the future success of your business.