NFC Mobile Phone Use to Explode by 2014
Posted by michael on Nov 10, 2009 in In The News, Mobile Commerce, Mobile Devices, Mobile Marketing, Mobile Payments, Mobile Resources, Mobile Shopping, Mobile Technology
Juniper Research has published their forecast that in five years, one in every six mobile subscribers in the world will possess a mobile phone enabled with Near Field Communications capabilities.
The consequences, of course, for businesses, consumers, and mobile marketers will be as significant as they are promising.
According to Juniper’s research, the NFC report illustrated that payments and retail transactions (including mobile coupons) will contribute dramatically in transforming the cell phone into a widespread payment tool and an unprecedented mechanism for sales and promotional opportunities for retailers.
Howard Wilcox, the report’s author, explained the practical value providing the impetus for the predicted growth: “Our research found that both the business model and the roll out of POS (Point of Sale) NFC readers at merchant locations are issues that need solving – depending on the country. As these are overcome NFC is poised to enter an operational build up phase culminating in mass service roll outs across many countries.”
The NFC research also showed that while NFC payments are currently well established in Japan, it could take until 2014 for North America and Western Europe to experience similar growth. By that time, however, the NFC global gross transaction value will likely exceed $110 billion.
Justin | Nov 12, 2009 | Reply
I’ve always wondered why mobile payment solutions have taken so long to make it across the pond. Granted the POS implementation issues could be complicated, but the future benefits are well worth laying a bit of groundwork for.
With the next iPhone rumored to include NFC, it should provide the boost necessary to make mobile payments and much more available to the masses.
Giff Gfroerer, i2SMS | Nov 15, 2009 | Reply
NFC to hit 1 in 6 handsets by 2014? Very, very doubtful. There are only 2 or 3 NFC enabled handsets currently available outside Asia. Who is going to pay to have the chip put in the phone? Who is going to get transaction dollars split? Until those issues are resolved, this will not take off.
Last question to ponder: Why create a hardware solution when a simple software solution will work?
NFC has been dubbed as the next great payment scheme since 2001. Eight years later we are in the same spot…