Industry experts said that the new iPhone 4 is going to change the face of mobile commerce, and both brands and retailers need to adjust their strategies accordingly.
The technology behind the new device is based on the same operating system powering Apple’s iPad tablet, which has already reinvented the mobile commerce experience. With mobile commerce sales reaching $1.2 billion in 2009 and projected to almost double to $2.2 billion this year, retailers need to take advantage of the new iPhone and make their mobile experiences more gripping.
“I think it is finally at a point that even the Rolexes and Tom Fords of the world will be pleased with how the quality of their products will be represented,” said Scott Dunlap, CEO of NearbyNow, Mountain View, CA.. “Second, the iAd network that comes with iOS 4 is about to change everything we know about mobile advertising, and in turn, mobile commerce.
“The ads themselves are as powerful as apps, and can be mini-networked games, video channels and location-based trivia contests. You could even make a purchase directly from an ad. It's the first mobile ad network to have both reach and rich ad units. Mobile banner ads will instantly become archaic, and all of us will have to rethink mobile engagement.”
The slogan that Apple is using for the iPhone 4 is, “This changes everything. Again.” Most industry executives agree, especially in the case of mobile commerce.
“It’s not only the device that will alter mobile commerce, it is the underlying iAd platform which allows for in-app purchasing,” said Neil Strother, Kirkland, WA-based practice director at ABI Research. “Assuming this process is as seamless as promised, and consumers can easily make purchases within apps, then this could be an important step forward for mcommerce.
“Given Apple’s ability to deliver a high-quality user experience and attention to detail, it’s a good bet this will work well,” he said. “It’s important to remember too that this purchase capability will extend to other devices running iOS 4, such as iPads and iPod touch devices.
“So, mcommerce should not only get a boost from users of the latest iPhone version, but also from users of these other devices as well.”
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