Wk 7 Discussion: Global Understanding of Mobile
Discuss
- Why does M-Pesa work so well in Kenya? Would it work in the US? Why or why not?
Studies shows that, in some aspects, Kenya is ahead of the U.S. For example, a mobile payment service called M-Pesa. The M-Pesa service is widely used in Kenya, with at least 96% of Kenyan households using it. The success of M-Pesa is attributed to a range of services that it offers. These mobile payment services include money deposit and withdrawal, bill payment, remittance delivery, and microcredit provision (Becker et al., 2016). M-Pesa services have been very reliable for Kenyans – with its convenience getting indisputable. Besides, M-Pesa works so well in Kenya because it uses the most basic mobile messaging techs and does not rely on data plans and smartphones. In Kenya, mobile penetration is at 100.1% as majority of population have SIM Cards. All phones, whether smartphones or not, are powered with the M-pesa app. The other reason is that M-Pesa has been responsible for introducing banking to users who previously were unbanked. Also, M-Pesa allows micro-payment that empower rural users to trade with each other in a unique manner.
Many reasons explain why M-Pesa works so well in Kenya, but the lack of fixed-line infrastructure, lack of banking regulations and a banking infrastructure, remoteness of rural villages, and the low cost of messages have all contributed. If launched in the U.S., the M-Pesa mobile payment service would work well. Generally, America’s banking system is larger than Kenya’s. However, Kenya’s mobile banking system is more adapted and sophisticated than that of the U.S. The use of mobile phones is widespread in the U.S. As a more developed country, investing in M-Pesa would be a profitable venture for America. Aspects such as financial security and personalized experiences are covered in the U.S., this will add an edge to America’s investment and use of M-Pesa to facilitate mobile payment services.
- Describe the single type of mobile technology in Japan and why the country still remains somewhat of an island for mobile.
Alongside Korea, Japan is considered the most sophisticated country in terms of consumer adoption of mobile and acceptance of mobile marketing. Since 1999, the Japanese have had access to mobile internet. Unlike the U.S., Japan invested in a single type of mobile network tech, whereby the cellular infrastructure was immediately commoditized and standardized (Becker et al., 2016). As there was no market fragmentation, the Japanese carriers did not require to compete for infrastructure dominance. Japan remains somewhat of an island for mobile due to its love of technology and the fact that the Japanese language utilizes characters instead of words. Also, Japan is termed the “Galapagos Islands” of mobile since the adoption of mobile occurred in isolation to the rest of the word. Japan’s mobile technology is merged with ancient cultural traditions. These are the reasons why mobile marketing was adopted faster in Japan than anywhere else around the globe.
Apply
Canada’s mobile marketing is built on unique customs, cultures, technologies, and gestures. In Canada, the commonly used mobile marketing strategies include SMS marketing, in-app marketing, social media, proximity marketing, and location-based marketing. In Canada, approximately 70% of population are mobile subscribers. The U.S. and the Canadian mobile marketing approaches resemble each other than ever, as a result of recent technological changes. Canadian carriers have adopted and launched unlimited data pans and device instalment pricing, mirroring the American marketplace, which reintroduced unlimited data and removed device subsidies (Becker et al., 2016). However, there’s a lot of confusion in Canada regarding mobile lines and other marketing techs such as social media and email.
However, mobile is viewed as a standalone medium that creates value success. Canadian users accept nothing less than excellent mobile experiences. Approximately 50% of Canadian smartphone users expect a mobile site or app to work fast and seamless. Canadians value convenience and multiple payment options, such as Interact. There exists a number of differences between Canadian and the U.S. mobile marketing cultures. Canada does not encourage mobile virtual network operations, a practice that is highly encouraged across the U.S. marketing culture (Becker et al., 2016). Besides, the Canadian mobile marketing culture is more superior to that of the U.S. Canadian regulations prohibit misleading mobile adverts, guided by Canada’s federal anti-spam legislation. In the U.S., the law requires mobile marketers to be cognisant with their users, be organized in their approach, and ensure optimization of results.
Top mobile websites in China and Brazil include WeChat, Sina Weibo, Zhihu, Toutiao, Wish, OLX, Shopee, and more. In the UK, Australia, and Germany, mobile websites include Argos, Clove, Amazon.co.uk, Affordable Mobiles, and Currys. Globally, there exists differences that affect mobile marketers. The biggest differences are between emerging and developed markets. In emerging markets like Brazil and China, mobile users spend more time with functional activities like shopping and banking. This is why most of the mobile websites in China and Brazil focus on banking and shopping. In more developed markets such as UK, Germany, and Australia, users are continually using texting, search, and information-gathering tools (Becker et al., 2016). However, for mobile websites in UK, Germany, and Australia, security is a major concern. Mobile display ads are not popular in their mobile websites as they are common in the emerging markets. Also, personalized experiences are more popular in China and Brazil compared to more developed countries like Australia, UK, and Germany.
References
- Becker, M., Berney, P., Hanley, M., & McCabe, M. B. (2016). Mobile Marketing Essentials. Stukent.