Silicon Valley China Wireless Conference m-commerce Panel

1. Mobile eCommerce Panel
China S
U
The Rise of Mobile Superpower
Silicon Valley China Wireless Conference
Computer History of Museum, Mountain View
September 24, 2011

2. Praveen Alavilli
Developer Evangelist
eBay / PayPal
James Smith Zvika Ashkenazi
CTO Co-Founder & CEO
Heyzap MobileAppLoader
Joseph Wei Henry Oh
Mobile & NFC Director of Business
Evangelist Development
Animoca
Co-Founder of HK
Startup Association

3. Follow Us #SVCW #mCommerce
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James Smith Joseph Wei Zvika Ashkenazi
@loopj @JosephWei @mobileapploader

4. What is Mobile eCommerce?
“Mobile Commerce is any transaction
involving the transfer of ownership or
rights to use goods and Services by using
mobile or electronic device”
from Wiki

5. What are considered as mCommerce?
Mobile ticketing
Mobile vouchers, coupons and loyalty cards
Content purchase and delivery
Location-based services
Mobile Banking, brokerage
Mobile purchase and auctions
from Wiki

6. History of mCommerce
In 1997 first two mobile phone
enable Cocoa Cola vending machines
were installed in Finland. Payment
is made by SMS text message.
Feature Phone Era

7. History of mCommerce
The first mobile phone-based banking
service is launched by Merita Bank of
Finland in 1997. It was using SMS.
In 1998 first digital content sale, commercial
ringtones, was launched in Finland.

8. Feature Phone Era

9. In 2007 Steve Jobs introduced iPhone
Smart Phone Era

10. Smart Phone Era

11. Smart Phone Era

12. History of mCommerce
In 2005 TOM partnered with Union Mobile
Play, the sole authorized mobile payment
gateway in China, to develop bank card,
debit card and credit card mobile payment.
Customer pay via mobile phone bill even
plane tickets.
In 2007 China Unicom and Smartpay
Jieyin launched “China Unicom Mobile
Wallet” on utility bill, insurance, lottery
ticket.
China’s m-commerce reached RMB 1.3
Billion (US $163 Million) in 2006. Forecast
to reach RMB 7.6 Billion (US $953 Million)
by 2010. from Circleid.com

13. Big News #1

14. 1st Apple Store in Hong Kong
5th Store in China
100th Apple Store in the world
IFC Mall in Central District
Most expensive Apple Store in history
Grand Opening date - Sep 24, 2011

15. Store will hire 300 staff
Expected daily traffic of 40,000 customers
4 times volume of avg US Apple Store

16. How big is China for Apple?
In 2010 Apple received $630
Million revenue in China
In 2011 Apple received $3.8
Billion in a quarter - 6 times
more with only 4 stores
13% of Apple revenue
comes from China
China Mobile 830 Million
subscribers (US +
European population)
from mobilecommercetrends
Tim Cook Apple CEO

17. mCommerce
China becomes the 2nd largest Mobile
Market after US
30 Million of smart phone users in China
10 Million Android users in China
from mobilecommercetrends

18. Big News #2

19. NFC
Near Field Communication
(NFC) is a short-range high
frequency wireless
communication technology
which enables the exchange
of data between devices over
Nexus S about a 10 centimeter
(around 4 inches) distance.

20. NFC
Google Apple ISIS
Android iPhone 3 US Wireless
Use NFC Chip

21. NFC
Use NFC Sticker

22. PayPass Tap N Go

23. Big News #3

24. NFC
1st NFC Smartphone
launched in China late 2011
Bank card network China
UnionPay
HTC Stunning

25. mCommerce
Yihaodian, owned by WalMart, is testing
digital “shopping walls” in 70 underground
stations in Shanghai. Used 500 billboards in
Beijing.
Consumers buy products by scanning codes
featured on digital “display shelves” with
products delivered in 24 hours.
Plans include permanent shopping wall
installed in largest cities and virtual
supermarkets in local communities.
from Circleid.com

26. mCommerce
Jiepang, similar to Foursquare, is partnering
with 3,000 stores in six cities to roll out NFC
payment to give offers after customers
“check in”.
from Circleid.com

27. Missing any News?

28. from MobilePaymentsToday.com’s
The Most Important Mobile Payment

29. In Apr 2011 eBay acquired location-based
discovery mobile app WHERE Inc - patent
for geo fencing to send or receive notification
eBay acquired local-shopping search engine
Milo in Dec 2010
eBay acquired barcode-scanning app
RedLaser in June 2010

30. Interesting
Unexpected Trends

31. from Milo’s Mobile Warming:
Hot Trends in m-commerce

32. from Milo’s Mobile Warming:
Hot Trends in m-commerce

33. from Milo’s Mobile Warming:
Hot Trends in m-commerce

34. from Milo’s Mobile Warming:
Hot Trends in m-commerce

35. Mobile Shoppers
Heavy Shoppers Light Shoppers
phone = life phone = mini computer
Shopping, Sharing
Check news, Download
In 2009 m-Commerce is $1.2 Billion
In 2015 m-Commerce is predicted to hit
$119 Billion
from Microsoft Tag Team

36. mCommerce
Local Payment Remote Payment
Local Payment and bank Non-bank account-based
account-based remote remote payment is
payment in early stage mainstream.
SIM card-based and non-SIM
card-based NFC are in trial
stage.
from Circleid.com

37. ?
Market Share 2011
Apple Android
52%
48%

38. Follow Us #SVCW #mCommerce
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de rat list
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Bess Ho Praveen Alavilli
@bess @ppalavilli
list list list list
Pane Pane Pane Pane
James Smith Henry Oh Joseph Wei Zvika Ashkenazi
@loopj @sfmoca @JosephWei @mobileapploader