The market gets organised
True, m-trade volume is modest for the time being. "The technology is there and the consumer is ready but the market still needs to be structured," explains Christophe Vandenkoornhuyse, Finaref’s Deputy Head of Business Engineering."When a purchase via mobile phone involves an operator, a financial institution and a retailer, we need to work out precisely who gets what financially." This means calculating the value added by each partner. That said, m-commerce is set to follow in the footsteps of e-commerce, which is already viewed as a "traditional" to shop. According to the French electronic telecommunications regulator, ARCEP, three million French people surf the net on their handsets. In 2008, the main retailers and distance sales companies will launch mobile websites to boost the market for their products. Those tiny, high-power high tech handsets may take less and less room in our pockets, but they are set to take a far greater place in our consumer lives.

The rise of m-commerce
Logically, mobile phone operators were the first to sell products via handsets, with things such as personalised ring tones, music and video games. Today, the operator SFR is the leading vendor of music singles in France. In Japan and Korea mobiles have been used as electronic purses since 2004. They are used primarily for small payments in restaurants and supermarkets or for buying cinema tickets. In France, a large number of tests have been carried out on contactless payment via mobile phones, and the Printemps department store and Finaref are currently mulling this possibility. Some experts believe that, in the very near future our mobile phone, will incorporate and replace transport tickets, car park passes as well as bankcards, private label cards and major retailers’ store cards.

Finaref and Téléshopping ink their first deal
Since April 2007, Orange, SFR and Bouygues Telecom subscribers can pay for purchases on the Téléshopping e-commerce site using OKshopping card via their mobiles. This is the first time that such a service has been deployed in France with a store card. Finaref’s mobile website was launched in early 2008. It was updated on 2 March this year, allowing customers not only to check their bank balance but also to manage their accounts. In 2007, La Redoute and Fnac, in partnership with Finaref, also launched their mobile web services. La Redoute is selling more and more clothes on its mobile site and has already generated several thousand euros in sales through this new medium.

Multi-channel convergence
The mobile phone is not simply a dedicated shopping tool. "It is used throughout the customer relationship and is often part of a multi-channel strategy," continues Christophe Vandenkoornhuyse. Finaref uses text messaging to inform La Redoute customers that their purchases have arrived at a parcel pick-up point, or to remind prospective La Maison de Valérie customers who applied for a Mandarine card, that a document is missing from their file. It can also be used to follow up on promotional offers. "For instance we carried out a very successful operation with Surcouf. Customers within a few dozen meters of an in-store Bluetooth terminal were able to download video clips advertising a free credit offer." This innovative and entertaining proposal was a huge hit with technophiles, Surcouf’s target customers. But Christophe Vandenkoornhuyse cautions: "We’re are careful to use this type of sales promotion on exceptional occasions only". A wise decision, because the mobile phone is part of our own privacy and constant intrusion is unwelcome.

Mobile tags for tomorrow?
Finaref keeps track of any technological innovation that offers consumers a way of contacting the company. "For instance, with our retail partner brands we are currently examining the possibility of testing mobile tags". A tag is a barcode that can be read by the camera in a mobile phone. It can include multimedia services and content, such as music, videos and photos, as well as Wap and Wep internet portals and mobile phone functionalities like contact lists and calendars. Forget trying to enter a long, complicated Wap/Web address on a fiddly keypad. The mobile tag will take you where you want to go, directly and simply. The mobile phone is the high-tech equivalent of the Swiss army knife for the early 21st century.

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