Frédéric Lhostte Director Enterprise Solutions at Belgacom
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1 Frédéric Lhostte Director Enterprise Solutions at Belgacom
2 Smartphone penetration in Belgium is booming (Source: GFK)
3 because users are discovering a new, mobile lifestyle and they use apps to support that lifestyle
4 Where apps used to be nice to have they are now the main driver of smartphone penetration & usage
5 Exponential growth in monthly app download pace (Source: Xyologic)
6 App downloads set to further increase x5 in coming 3 years Forecasted growth of app downloads (Source: Wall Street
7 Examples of app downloads in Belgium in 2012 (Source: AppMinded) myshopi 550,000 Belgacom TV Partout/TV Overal 430,000 NMBS/SNCB 285,000 BNPPF Easy banking 220,000 Nationale Loterij/Loterie Nationale 200,000 Truvo (Gouden Gids/Pages d Or) 187,000 Touring Mobilis Pro 120,000 Immoweb 100,000
8 1 year from now smartphone users will spend more time inapp than on internet or tv (Source: Flurry Analytics, US, 2012)
9 A new business model for apps emerges -> In-app commerce: full shopping experience for all kinds of products In-app purchase: for items to consume in-app, i.e. game levels, newspapers, movie, Paid apps sold through app stores Free apps, some with advertising
10 Our Innovation Demofilm:
11 we will enable in-app commerce in Belgium for all merchants & consumers blue = possible today green = what we will add In-app shopping process consumer (re)searches product 2. buying decision 3. mobile id is verified 4. coupons are redeemed 5. payment is made 6. loyalty points are added 7. ticket is issued and stored
12 Belgian mobile wallet that plugs straight into merchant apps, available for all consumers
13 Practically Speaking
14 Based on an open ecosystem Any Belgian smartphone user with a bank/credit card from any Belgian bank and a mobile data plan from any Belgian Mobile operator All Belgian bank s debit/credit cards (via BNP Paribas Fortis Masterpass ; can open in later stage to alternative solutions) Consumers Any merchant or service provider can offer the full in-app shopping experience Banks Telcos Belgian Mobile Wallet Merchants & service providers App Developers Offer connectivity and mobile bandwidth, evolving into SIM-based security Can distribute targeted mobile coupons to consumers + process mobile redemption Advertisers Use the standard and open modules to integrate in the apps they develop for merchants
15 Unique in the world 1. Integration of all modules of the entire shopping experience 2. All embedded in the app of the merchant (not only a separate wallet app) Payment is fully in-app! (event for products and services not consumed within the app) Tickets also stored within merchant app (e.g. vs Passbook ) 3. Easy enrolment for every consumer: mobile wallet generated via the app of every participating merchants 4. Unique mobile identity & security including delivery/billing address across all participating merchant apps This innovation enables merchants to offer their customers a simple and secure full in-app shopping experience!
16 In-app commerce is here to help consumers Better deals coupons at hand in the apps and easy to redeem, more relevant offers, price reduction through self-servicing, Gain time towards ultimate convenience, avoid queuing, handling of paper tickets, coupons, loyalty cards, payments, identification procedures, Entire wallet in 1 smartphone no hassle with paper coupons, tickets, cash, payment cards, loyalty cards,
17 as well as merchants and service suppliers Increase sales sell all products and services on the spot via the app, (versus only those consumed in an app, like games, films, reading,..) Reduce cost full self-servicing, avoidance of salesrelated costs (manual handling, paper tickets/coupons, counters, ) Increase security & convenience avoid fake ID s and management of user ID s & passwords
18 Conclusion This innovation enables merchants to offer their customers a simple and secure full in-app shopping experience!
19 Next Now finalize technical platform development in collaboration with Accenture and leading Belgian merchants and service providers End 2013 Pilot Launch Spring 2014 Full Commercial Launch
20 Q&A
21 Customers are ready to shop via their smartphone have already bought via their smartphones (Source: Ipsos/Google, Belgium )
22 They also want security and convenience 50% of smartphone owners say they don t like to purchase in-app, specifically because of concerns with security and convenience (Source: Ipsos/Google, Belgium 2012) To address this demand
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