Several technologies in the mobile industry are now colliding in a way that could change how we make many of our purchases on a daily basis. For the purposes of this report, we call this trend “mobile deals,” and it combines location-aware discounts with mobile marketing campaigns and often incorporates purchases made on the phone at brick-and-mortar retailers.
This report will examine the following for the mobile deals space:
- The existing and potential players
- Competitive advantages and disadvantages for companies and technologies
- The appeal of mobile deals for consumers and retailers as well as the different strategies and technologies in mobile deals
- The hurdles that must be overcome for the industry to begin to enjoy the success that is being seen online by coupon distributors such as Groupon
Many of the industry’s most powerful players — Google, PayPal and American Express among them — are moving aggressively to deploy services where users can interact with brands, receive location-sensitive coupons and make purchases simply within a single app. Several different initiatives are being backed by mobile carriers, operating system providers, social networks, and financial and transaction players.
However, business models are still emerging that can support every player in the value chain; hyperlocal ad networks must be expanded; and the integration of mobile with existing payments infrastructures will be costly. Most importantly, privacy and security issues must be addressed to assure consumers their purchases are secure and their location is being closely guarded.
In the following pages, we take a brief look at the current market before examining more closely the individual technologies and companies changing the space.