Mobile -71% Don't Trust Transaction Security

Mobile -71% Don't Trust Transaction Security

Posted by John B. Frank Tuesday, March 3, 2009

According to two surveys of

mobile phone users that were conducted by ABI Research, most consumers’preferences and choices when using their mobile phones for shoppinghave remained largely unchanged between late 2007 and late 2008,indicating the barriers to mobile money services remain strong.

Howeveron a more positive note more than half of all the respondents havepurchased at least one ringtone, suggesting that low-value transactionsare less threatening to consumers. Respondents also showed somewillingness to have mobile purchases added to their wireless phone bill.

“Consistentfrom year to year, a little over one-half of all respondents are notinterested in using their mobile phones to make purchases,” says ABIResearch senior analyst Jeff Orr.

“Transaction security was cited by71% of mobile phone users as a major concern preventing wider uptake.

As consumers become more comfortable with transaction security byestablishing trust with transaction vendors, more emphasis will beplaced on the speed of the transaction.”

Textmarketing messages remain unpopular with consumers, although someindicated that they were open to inducements such as free content aimedat converting a message to a sale. Senior analyst Mark Beccueadds, “As smartphone penetration increases, more merchants willintroduce mobile shopping, spurring growth. Smart merchants will focuson the advantages of mobile, such as impulse shopping and real-timeauctions.“

The surveys, each of which sampled more than 1000 mobile phone users in the

United States

aged 14-59 and across a wide range of demographic profiles, wereconducted in November 2007 and December 2008. They queried users’preferences with regard to a variety of mobile phone and content usagequestions.

“US Mobile Phone Purchase Trends”compares results of the two surveys, and includes survey methodology,responses laid out in charts with additional summaries and analysis,and respondent classification/demographics. Itis one of a series of Research Briefs comparing the results of ABIResearch’s 2007 and 2008 consumer mobile content surveys across anumber of topics. They are all included in two of the firm’s Research Services, “The Mobile Consumer” and Mobile Money.

ABIResearch provides in-depth analysis and quantitative forecasting ofemerging trends in global connectivity. From offices in North America,Europe and Asia, ABI Research’sworldwide team of experts advise thousands of decision makers throughresearch and advisory services in seven key practice areas. Est. 1990.For more information visit www.abiresearch.com, or call +1.516.624.2500.

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