Mobile e-commerce (m-commerce) is a term that describes online sales transactions that use wireless electronic devices such as hand-held computers (tablets), mobile phones or laptops. These wireless devices interact with computer networks that have the ability to conduct online merchandise purchases. Any type of cash exchange is referred to as an m-commerce transaction.

1. The Future of M-Commerce
Mobile e-commerce (m-commerce) is a term that describes online sales transactions that use
wireless electronic devices such as hand-held computers (tablets), mobile phones or laptops.
These wireless devices interact with computer networks that have the ability to conduct online
merchandise purchases. Any type of cash exchange is referred to as an m-commerce transaction.
Challenges
1. Small screens of most devices still limit types of file and data transfer (i.e. Streaming
videos, etc.)
2. Standards guiding applications and technology development and connection(s) still
work-in-progress
3. Less functionality for mobile internet over mobile phones and existing generation of
handhelds
4. User interface is often difficult to learn how to use
5. Technology constraints of mobile devices (memory, processing power, display
capabilities, input methods)
6. Security of data moved across some mobile and wireless networks is a big concern for
many consumers.
7. Connectivity: mobile commerce needs high speed connectivity. Otherwise it is become
hectic for user to go through entire product purchase process.
Profile of an m-commerce customer
 Customers Spend More Time on Their Mobile Devices Than Desktops.
 Mobile Shoppers Are More Focused.
 Click-Through Rates Are Higher on Mobile than Desktop.
 Mobile Shopping Peaks at Night.

2. Categories of m-commerce
For entrepreneurs eager to capitalize on the m-commerce opportunity, the first step is to
understand the lay of the land. The m-commerce ecosystem falls into six primary categories:
 Mobile Payments,
 Retail Enablement,
 Mobile Retail
 Marketplaces,
 On-Demand Services
 App-Based Services
Mobile Payments and Retail Enablement are mobile empowering, equipping smartphones and
tablets with tools to support a new era of mobile-based retail businesses. Mobile Retail and
Marketplaces are mobile enhanced, comprised primarily of e-commerce companies that
previously existed on the web but benefit greatly from the transition to mobile. On-Demand
Services and App-Based Services are mobile enabled, consisting almost entirely of companies
that are not just improved by smartphones and tablets, but could not exist without them.
(Excluded media, games, messaging services, and social networks, which tend to be more
audience-driven than commerce-driven and monetize primarily through ads or digital goods
rather than physical goods and services.)
The rise of m-commerce represents the most important wave of retail innovation since consumer
brands first began selling goods and services online 20 years ago.
Future of m-commerce
By 2015, more U.S. Internet users will access the web through mobile devices than through PCs.
And sales of smartphones continue to exceed all other types of computing devices combined,
including tablets. No doubt mobile commerce needs some development in specific area like
secure transaction, better shopping experience and enhanced graphics. Other than this mobile
commerce opens new era of shopping.

3. Future trends in m-commerce can be summarized in this list:
1. Mobile is mainstream now and will grow to dominate client computing for e-commerce.
2. Native mobile apps will continue to preferred by consumers over web based applications
because they are more responsive.
3. Personalization will grow. Your mobile device will learn your habits and predict your
next move to provide you with proactive services such as providing custom menus in
restaurants that exclude foods you don’t like or have allergies to. The evolution of smart
services is already occurring. With the latest versions of the Android and iOS, anyone can
make use of Google Now and Siri, which learn from your tablet and phone activity to
make intelligent choices based on choices you have already made.
4. Small screens will grow and tablets will shrink to converge at a 7-inch (“SmartTab” form
factor)
Here are two bolder predictions: By 2020, smartphones and tablets will account for more than 75
percent of global online commercial transactions and more than 50 percent of spend. And the
world’s first mobile super unicorn won’t be an audience company like Facebook or Google, but a
commerce company like Amazon. When tech historians look back on the 2010s, they will
remember it as the m-commerce decade.
References
http://answers.ask.com/Business/Other/what_is_mobile_commerce
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http://www.ask.com/question/disadvantages-of-mobile-commerce
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http://makepositive.com/future-mobile-commerce/
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