Merchants
Why Mobile Billing? Why Mobile Billing Now?
Mobile Billing is a surging industry with each month seeing double digit growth in terms of user uptake as well as merchant revenue. Traditionally, credit card payments have been the dominant payment method for online transactions, however this is changing with the rapid growth of mobile payment options for users. The meteoric rise of services such as Paypal, itunes, Google Wallet, virtual wallets, Premium SMS and Mobile Billing have led to a mass migration in consumer behavior. Consumers are moving to payment mechanisms that require less 'effort'. Mobile Billing is rapidly becoming an easy to use payment solution that merchants are seeing as both a complimentary billing option alongside traditional credit cards for their users and ultimately as a replacement of traditional credit cards.
"With Mobile Payments exploding, it's expected that mobile phone
payments will exceed $650 billion per annum by 2015." - Juniper Research**
payments will exceed $650 billion per annum by 2015." - Juniper Research**
Advantages of Mobile Billing
Security - Two-factor authentication and a risk management engine prevents fraud. Convenience - No pre-registration and no new mobile software is required.
Easy - It's just another option during the checkout process.
Fast - Most transactions are completed in less than 10 seconds.
Proven - 70% of all digital content purchased online in Korea utilizes Direct Mobile Billing.
Carrier Involvement in Mobile Billing
Verizon: 34%
AT&T: 32%
Sprint: 17%
T-Mobile: 10%
(Other: 7%)
Total carrier involvement: 93% of 327 million mobile users in the United States.
Credit Cards Vs. Mobile Billing (USA)
In 2012 there were: 327 million mobile phone subscribers.
176 million credit card holders.
Source: "Survey of Consumer Payment Choice,"
Federal Reserve Bank of Boston
Federal Reserve Bank of Boston
Consumer Mobile Payment Activities 2011 (USA)
According to Juniper Research, global mobile payments will reach $1.3 trillion in 2017.*
A 2011 survey asked US mobile users if they engaged in various mobile payment activities. The results show that the majority of consumers are quite comfortable using their mobile devices to make purchases.
Source: "Federal Reserve; Board of Governors of the Federal Reserve System"
http://www.statista.com/statistics/244320/mobile-payment-activities-in-the-us/
* Juniper Research http://www.factbrowser.com/facts/8635/
http://www.statista.com/statistics/244320/mobile-payment-activities-in-the-us/
* Juniper Research http://www.factbrowser.com/facts/8635/