mopay Looks at M-Payment Trends for 2011
Jan. 10, 2011
mopay, a payment solutions provider for online merchants based in Munich, Germany, recently released a report identifying several trends that will have a significant impact on the burgeoning mobile payments industry in 2011, including massive growth of the market in North America, increased consolidation and lower transaction costs. “This past year was a boom year for the mobile payments industry around the globe,” said Kolja Reiss, managing director of mopay, Inc. “With the foundational work that occurred in 2010 past us, 2011 is shaping up to be the year that mobile payments see widespread penetration around the globe.” During the balance of 2011, mopay expects several major trends the gather steam:
- Major merchants, particularly e-commerce merchants will leverage AT&T and Verizon’s intention to open their networks by adding mobile as a means of payment, making it ubiquitous before the holiday season.
- Consolidation and acquisition will accelerate as major industry players—credit card issuers, handset manufacturers, telecommunications companies and blue-chip Internet heavyweights—are likely to acquire top mobile payment providers.
- Like Facebook Credits this year, alternate virtual currencies will continue to proliferate.
- Mobile payments will expand beyond primarily a way to pay for digital goods to increasingly encompass physical goods.
- Although mobile payment transactions will remain more expensive than traditional credit card transactions, 2011 will see major movement towards the new global transaction cost benchmark of 10-15 percent.