Mobile Commerce in Latin America: Opportunities for MNOs Beyond Payment
‘Mobile Commerce in Latin America: Opportunities for MNOs Beyond Payment,’ a Telecom Insider Report by Pyramid Research, briefly describes the concept of m-commerce and showcases the m-commerce value chain, which includes mobile-responsive and mobile-based merchants. We discuss the drivers and challenges for MNOs to increase their presence within the m-commerce value chain in Latin America, analyzing the impact on MNOs under a technology, demand and competitive perspective. We conclude with some case studies and outline the opportunities to MNOs to improve their positioning within the m-commerce space by leveraging mobile merchants’ experience in Latin America.
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Key Findings
MNOs can play a more active role within the m-commerce value chain through the development of services and solutions that support the pre-payment and post-payment stages of mobile merchant’s experience. Some MNOs perceived that the payment stage is simply transactional and, although important, it is not a key attribute for customers in the research, and selection stages.
Many mobile merchants are expanding their operations within Latin America. While large mobile merchants create their in-house m-commerce structures, mid-sized mobile merchants need funds to promote their expansion and also the support of third-party providers to enable their operations.
OTT providers are increasingly developing new services and solutions to support mobile merchants. In a market which is content driven, OTT providers have competitive advantages such as access to extensive customer data, social media capabilities, and a vast experience in the online advertising field.
Despite the increasing competition from OTT providers, MNOs are considered the most complete m-commerce enablers, once they already own the network, and also have attributes such as access to a large base of customers, and access to technology.
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Table of Contents
Introduction: M-commerce market context
Definition – mobile commerce
Market context – m-commerce value chain
Market context – mobile merchants
Drivers and challenges: Leveraging MNOs as key enablers within the m-commerce value chain
Latin America MNOs positioning within the m-commerce value chain
Latin America market drivers and challenges
Technology market driver
Technology market challenge
Demand market driver
Competitive market challenge
Market details: Case studies
Mexico: América Móvil
Brazil: Vivo
Brazil: Tim Brazil
Conclusions: Key findings and recommendations
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