4 September 2012

Africa embracing m-commerce

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In a new report from its ConsumerLab, Ericsson maps out the potential of transformation within m-commerce across the region of sub-Saharan Africa.

Based on in-depth, extensive interviews with mobile phone users in Ghana, South Africa, and Tanzania, the report has four key findings: that consumers are constantly looking for new ways to improve their personal budgets; the speed and convenience of m-commerce points to great potential in the market; current behaviors and social structures indicate that the use of mobile payment services will expand; and that consumers need more information about the functionality and security of m-commerce transactions.

Consumers tell Ericsson researchers that they use mobile payment services for person-to-person transfers and purchasing airtime on their mobile subscriptions, and that they like the convenience of accessing money everywhere and at anytime, regardless of service hours. In Tanzania, for example, 38% of subscribers send money person-to-person over the mobile phone.

Another conclusion of the report is that people who use m-commerce keep little separation between private and business accounts.

Experience leads to greater trust, and the report finds that 44% of non-users of m-commerce are very worried about the integrity of their account information in case of theft or loss of their phones.

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