SXSW 2011 - Thin is In. The Future of Digital Wallets

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Thin Is In The Future of Digital Wallets

March 11, 2011


Christina N. White Experience Designer #ThinIsIn


This is an inspirational talk on

Digital Wallets

in the eyes of a consumer


1. Who’s trying and succeeding? 2. What questions should we be asking? 3. How do we make it real? 4. How will it change the way we shop?

This is an inspirational talk on

Digital Wallets

in the eyes of a consumer


What’s your wallet personality?


What’s your wallet personality?



What else?



Digital Wallet

Payment Method

Financial Management

Coupons

Comparison Shopping

Tickets/ Passes



1

Who’s trying?



Devices


Devices


Phones / Carriers


Financial Management


Financial Management

Mint.com

Pageonce

USAA

Chase


Coupons


Coupons / Check-In Incentives

Shopkick

Groupon

CardStar

Coupon Sherpa


Comparison Shopping


Comparison Shopping

Red Laser

The Find

Scan & Shop

Google Shopper


Tickets / Passes


Tickets / Passes

Japan Public Transit Pass

Japan Mobile Airline Check-In

Hong Kong Octopus Wallet Watch


Payment Method


Who’s close?


Who’s close?


Devices that will be replaced* by mobile phone users according to mobile phone users worldwide, June 2010 % of respondents TV

5%

Personal ID card eReader Car Keys

18% 22% 24%

Video Recorder

27%

Personal Computer

27%

Credit Card Digital Camera

31% 52%

iPod or MP3 Player

54%

GPS

54%

Note: Ages 18+, *within 5 years Source: Oracle, “Opportunity Calling-The Future of Mobile Communications�, Sept 22,2010


2

What questions should we be asking?


Who’s responsible for smartphone security? 15% Feel the phone manufacturer is

30% 55% Feel the individual is

Source: cellphones.org

Feel the cellular carrier is


What’s in your phone?


Who are the players? Before

After


Who owns the digital wallet?

Financial Institutions

Carriers

Retailers



Financial Institutions

What they

• Payment Processing

bring to the

• Credit Card services

table:

• Bank services • Security Infrastructure

What they need to adopt:

• Customer-Centric perspective • Technology to support

Carriers

Retailers


Carriers

Financial Institutions

What they

• Payment Processing

• Networks

bring to the

• Credit Card services

• OEMs

table:

• Bank services

• Mobile Payment Services

• Security Infrastructure

• Mobile Coupon Services

What they need to adopt:

• Customer-Centric perspective • Technology to support

Retailers


Mobile Carriers The North American Conundrum

OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS OS


Carriers

Financial Institutions

What they

• Payment Processing

• Networks

bring to the

• Credit Card services

• OEMs

table:

• Bank services

• Mobile Payment Services

• Security Infrastructure

• Mobile Coupon Services

• Customer-Centric perspective

• Standardized handset and OS

What they need to adopt:

• Technology to support

Retailers


Carriers

Financial Institutions

Retailers

What they

• Payment Processing

• Networks

• Shopping Experience

bring to the

• Credit Card services

• OEMs

• Consumer Data

table:

• Bank services

• Mobile Payment Services

• Point of Sale

• Security Infrastructure

• Mobile Coupon Services

• Customer-Centric perspective

• Standardized handset and OS

What they need to adopt:

• Technology to support

• “Everywhere shopping”


Who owns the digital wallet?

Financial Institutions

Carriers

Retailers


Who influences the consumer?

Financial Institutions

Carriers

Retailers


Who influences the consumer?

Financial Institutions

Carriers

Retailers


What needs to happen?

1

Financial Institutions, Carriers, and Retailers need to work together to understand how to split up the transaction fees, etc.

2

Figure out how industry will get enough consumers to use the digital wallet and enough merchants to accept mobile payments.

3

Ensure that the user experience is still easy to use & intuitive


Then what?

Consumers don’t want a new way to spend

money faster.


Then what?

They want a new way to spend money

wiser.


3

How will we make it a reality?


Remember the telephone?


Evolution of the Phone Email Caller ID

GPS

SMS

Apps, Apps, Apps

Alarm Clock

Camera

Web

Note Book

Games Mp3 Player

Address Book


Keep It Simple

Phone

Wallet


Remember running 1 application?



Avoid clutter


Gradually Enhance

Payment Method

Financial Management

Coupons

Comparison Shopping

Tickets/Passes


Gradually Enhance


Your life is on your phone.


Your life is on your Facebook feed.


But your private, personal information is in your wallet.


Where does social belong?

Community Feed


Digital Wallet = Social Network


But it will help enable consumers‌


…start the conversation


…and continue the conversation. LOYALTY

LOYALTY


4

How will it change the way we buy?









What’s in your wallet?


What is your wallet?


The Takeaways •

Think of consumer’s needs first

Digital wallet is not JUST paying with your phone

Keep it simple. Gradually enhance.

Make it easy, effortless, and convenient.

Find its relevant place within the shopping eco-system

Enable and continue the conversation

Be patient


Hungry for more?

Kiosks, Mobile, and the Evolving Retail Experience FK Funderburke & Hilding Anderson Monday, 3:30pm


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