Mobile wallets and location-based marketing expected to gain momentum

Print

Email

Mobile wallets have gained significant popularity among both consumers and brands since launch. Consumers are interested in receiving updates on sales and discounts available near them or at their favorite stores. Mobile wallets also aid retailers in registering users in their loyalty or rewards program. The integrated real-time notifications in the mobile wallets such as discount reminders enable consumers to increase purchases or redeem coupons and reward points.

In April 2017, Samsung announced the launch of its smartphone Samsung Galaxy S8 that has built-in voice assistant, Bixby. Samsung launched Bixby to compete with Amazon’s Alexa, Apple’s Siri, Google Assistant, and Microsoft’s Cortana. The voice activation feature will be available currently in the US and later expanded to other regions. Users can type, talk, or tap and Bixby will respond to their queries. Moreover, it allows users to access Bixby’s Vision camera software, translate text, and even read barcodes or make purchases. Shoppers can also simplify their purchases by using their biometric information using Samsung Pass and pay using Samsung Pay.

When shoppers use Bixby Vision camera at a product in store, Bixby will send product information to Samsung partners and displays other product images, offer information about where the product is available – in store or online. This presents marketers with an immense potential to utilize mobile wallets to boost their sales.

According to PayNXT360, global mobile commerce is expected to reach US$8.1 trillion by 2021, recording a CAGR of 37% over the forecast period. Location based marketing presents a wide range of revenue generating opportunities. Though the concept has existed for a while now, PayNXT360 believes it has reached the right level of market maturity now. Marketers or mobile wallet partners can directly send push location-based notifications to shoppers and attract them to nearby stores. Integrating reward points will additionally enhance loyalty of customers. Marketers and brands can gain insights on customer preferences, which can be used as tool to communicate and acquire new customers.

To know more and gain deeper understanding of how mobile payment industry is shaping up globally, click here.