It's no secret that mobile payments will play a major role this year during the holiday shopping season. Earlier this fall, an article in Practical eCommerce projected that 16 percent of eCommerce purchases this season will be conducted on mobile devices, and that doesn't include those who bring their devices to brick-and-mortar retailers to scan or tap them to make in-person purchases.
As a result, retailers must be more cognizant than ever of the impact mobile spending can have on their business and they have to begin considering mobile devices as an extension of their customers. When companies evaluate their potential customers, they process a large volume of data and utilize that information to better construct marketing strategies and other customer facing operations. An article in eCommerce Times suggests knowing which devices your customers are using—particularly in an era when consumers change devices every one or two years—is crucial information.
"The device is the mediating channel for online transactions and relationships and is the natural starting point for establishing trust," writes Ori Eisen, the article's author. "However, the key is linking the device with data elements that belong to the owner as well as their behaviors — a recognizable pair that can be relied upon. Recognizing previous 'pairings' will help to eliminate these falsely declined transactions and avoid the consequences of consumer insult. Recognizing customers based on the devices they're using will improve loyalty, especially during hectic holiday times."
Understanding the customers' device is one factor of mobile commerce that can help merchants adjust their strategies. While this is important, it's also crucial for merchants to ensure they are following interchange regulations and best practices as well as maintaining the security of their customers' data. Working with a payment solutions company can help merchants with many aspects of their mobile commerce efforts.