Stores shift more handsets

Michael Carroll
01 Nov 2011

Mobile data users might be happy to engage in m-commerce transactions, but four in five prefer to purchase the device itself from a retailer, research by Oracle reveals.

Only 16% of global mobile phone users quizzed by the firm said they bought their handset online, with the remaining 84% buying from a physical outlet. The preference for a retailer stands out against growing acceptance of m-commerce, with 30% of the 3,000 respondents comparing goods on their mobile browser.

However, browsing isn’t being turned into transactions due to ongoing concerns over the security of m-payment services. A total of 68% report uncertainty over the security of information transmitted from a mobile phone, with the result that just 6% made an in-store purchase using their mobile instead of a credit card.

On the flip side, 21% of respondents are comfortable with the idea of supplanting their cards with a mobile payment. The difference between desire and usage hints that a lack of compliant point-of-sale terminals may be hindering growth as much as security concerns.

Location based services provide a bright spot in the report, with 45% stating they are happy to share their location compared to 33% in the 2010 study.

The device users are most likely to seek location services on appears to be tablets. While 69% of respondents are smartphone owners, 16% already own a tablet and 41% plan to buy one of the devices in the next year.

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