18-34 Year Olds Drive European Adoption of Mobile Commerce
June 24, 2010
Latest MMA research reveals that the UK leads the way, followed by Germany and France
London, Paris and Berlin: 16 May, 2010 - The Mobile Marketing Association (MMA) (www.mmaglobal.com) and research partner, Lightspeed Research (www.lightspeedresearch.com), today released results of the latest UK, French and German Mobile Consumer Briefing reports on Mobile Commerce. The reports revealed that the UK currently has the highest number of consumers participating in mobile commerce, with 19% doing so in the last month, followed by 13% of Germans 9% of French. 18-34 year olds represent the primary drivers of mobile commerce across all three markets surveyed, with 29% of British consumers, 21% of German and 15% of French in this age group making transactions in the last month.
Respondents used their mobiles to purchase mobile content, goods and services as well as other digital content; with most agreeing that the transactions were quick and easy. Consumers surveyed across all age groups demonstrated even stronger market interest in mobile transactions in the future, demonstrating clear market opportunities for mobile as a fast and convenient way for consumers to make transactions.
Key findings were:
- Across all three countries, the most common form of mobile commerce is the purchase of content for mobile phones (e.g. ringtones, applications), with 12% of UK, 8% of German and 5% of French respondents making a mobile content purchase in the last month.
- Purchases were not entirely concerned with mobile content or even restricted to products available through operator billing. For example, the purchase of goods and services and collection or redemption of loyalty points (like airline miles) were the second most common form of mobile commerce in France, suggesting a growing opportunity to use mobile for CRM and customer loyalty campaigns.
- The mobile web was the medium used most frequently for mobile commerce overall, accounting for roughly half of all transactions.
- This differed slightly in the case of mobile content, with 52% of UK respondents preferring to purchase mobile content via the web, compared with 49% of Germans preferring messaging (SMS, IM, MMS) and 56% of French respondents preferring to buy via mobile applications.
While most felt transactions were quick and easy, only half of respondents felt they were secure and trustworthy, indicating a need for the industry to educate consumers on the security of mobile payments and address any concerns that may hold back adoption.
“Mobile commerce is beginning to change the mobile retail landscape,” said Dr. Peter A. Johnson, VP of Market Intelligence for the MMA. “Rapid adoption of smartphones and use of app stores has provided fertile ground for mobile commerce growth to date and this will only accelerate in the coming years. This research provides a clear indication of how the convenience of mobile commerce is gaining traction. As consumers become increasingly comfortable and confident with paying for goods and services through their mobile it is possible to see m-commerce becoming mainstream or perhaps even the dominant form of transactions.”
“This research provides invaluable insight into consumer attitudes towards mobile commerce that can help marketers understand the opportunities in this exciting new channel.” said Ralph Risk, Marketing Director, EMEA, Lightspeed Research. “Clearly there is a market for mobile transactions now and in the future, which is not just limited to mobile-related purchases, but for anything that consumers might pay for over the internet or in person.”
The research, which is available free to MMA members and by subscription to non-members, highlighted several other key findings:
- The most popular way for consumers to pay for content on their mobile was to be billed by their mobile operator on their statement. This was the case for 52% of UK respondents, 54% of German and 56% of French respondents
- Digital payment methods such as PayPal appear to be gaining popularity, especially when the transaction does not involve mobile content
- UK residents expressed higher levels of interest in conducting mobile commerce transactions in the future than residents of Germany or France
- Across all three countries, respondents believed they were most likely to make mobile commerce transactions over the next 12 months to use discounts or coupons or to collect or redeem loyalty points
In conjunction with the Mobile Consumer Briefing’s release, the MMA also announced that its Mobile Commerce committee has released a new definition of m-commerce: “Mobile Commerce is the one- or two-way exchange of value facilitated by a mobile consumer electronic device (e.g. mobile handset), which is enabled by wireless technologies and communication networks.” An industry-standard definition defines the scope of m-commerce services available and ensures that terminology is consistent between all parties. MMA’s Mobile Consumer Briefing research for May incorporated this new definition into its survey design, providing the market with an important first baseline of the extent of mobile commerce as now practiced in Europe.
Conducted between April 22nd and 26th 2010, the research surveyed respondents in the UK, Germany and France who owned a mobile phone about their current mobile commerce usage and how likely they were to use mobile commerce in the future. The survey covered manufacturer of mobile phone, current mobile phone operator, message (text) plan used, current mobile commerce usage, accounts used when participating in mobile commerce, medium of conducting mobile commerce and future interest in mobile commerce.
A monthly online survey of British, French and German consumers’ mobile marketing behaviours and opinions conducted on the Lightspeed Research omnibus, the MMA Mobile Consumer Briefing features input from 1,000 adult consumers in each market, screened to be demographically representative of the adult consumer population as a whole. Each Consumer Briefing includes a 2- to 3-page executive summary, all survey questions and up to 50 tables of detailed results. Survey responses are provided both in aggregate and in cross-tabulation by standard audience demographics, such as age, gender and income, as well as wireless carrier and handset manufacturer.
MMA Mobile Consumer Briefings on this topic are also available for the US market. To learn more about the MMA’s market research benefits, visit the MMA’s Research Home Page.
About the Mobile Marketing Association (MMA)
The Mobile Marketing Association (MMA) is the premier global non-profit trade association established to lead the growth of mobile marketing and its associated technologies. The MMA is an action-oriented organization designed to clear obstacles to market development, establish mobile media guidelines and best practices for sustainable growth, and evangelize the use of the mobile channel. The more than 750 member companies, representing over forty countries around the globe, include all members of the mobile media ecosystem. The Mobile Marketing Association’s global headquarters are located in the United States and it has regional chapters including North America (NA), Europe (EUR), Latin America (LATAM), Middle East & Africa (MEA) and Asia Pacific (APAC) branches. For more information, please visit www.mmaglobal.com.
About Lightspeed Research
Lightspeed Research delivers valuable data to help clients make informed business decisions. With proprietary online panels throughout the world, our verified, engaged, and deeply profiled survey respondents can support research studies that vary in scope and complexity. Lightspeed Research’s expert Client Operations Team offers data collection services including survey design, sample management, programming, and reporting. The company has offices throughout the United States, Europe, and Asia Pacific. Lightspeed Research is part of Kantar, the information insight and consultancy division of WPP. For more information, please visit www.lightspeedresearch.com
FOR MORE INFORMATION:
Jen Hibberd, Mi liberty
Tel: +44 (0) 207 751 4444
Charlotte Herbert, PR Consultant - Greenfields Communications
Tel: +44 (0) 7870 204 242
Ralph Risk, Marketing Director Europe – Lightspeed Research
Tel: +44 (0) 20 7896 1950