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Mobile commerce in Russia: 2012-2015

E-Money Conference 2012

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Daniel Gusev: - payments geek - first stumbled on this topic in 2006 by accident - invaded privacy of pretty much every important person on this topic - eagerly takes these persons ideas and sells them through his blog

http://www.linkedin.com/in/danielgusev

@dngusev

http://valuedrivenbanking.blogspot.com/

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What?

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Mobile commerce: process of buying things with your mobile

Single-handed Pervasive

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Mobile commerce: process of buying things with your mobile

Different things – same experience Interactive

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Mobile commerce: process of buying things with your mobile

Ubiquity of funding sources Device dictates behavior

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Where?

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CARD-BASED PAYMENTS < RUB 1-2 TRN IN TPV.

DEEP CASH OCEAN

PURCHASES IN RU IN 2010: KASH IS KING

> RUB 10 TRN IN TPV

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MICRO-PAYMENTS

RUSSIA: PURCHASES IN 2010

CONVENIENCE PAYMENTS SHADY PAYMENTS

# transactions

CASH

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RUSSIA: PURCHASES IN 2010

CASH

RUB 6 TRN. RUB 3 TRN.

# transactions

RUB 1 TRN.

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HOW TO GET TO THE TIPPING POINT

DIRECT DEBIT

MOBILE MONEY

CONTACTLESS

NOT ABOUT TECHNOLOGY

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HOW TO GET TO THE TIPPING POINT

DIRECT DEBIT

MOBILE MONEY

CONTACTLESS

ALL ABOUT EXPERIENCE

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Business:

UX:

Top-up volumes are (for now) predominantly cash-based

Small kiosk Big smart-phone (with dual SIM)

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- SIM is the wallet

THE ROAD IS CLEAR, YOU ONLY HAVE TO NAVIGATE IT

Big variety of technologies:

- App is the wallet - Card is the wallet …

Things to remember:

- Phone is the wallet (NFC)

- To excel in UX, you have to reside on an open platform or work closely with mobile OEM - Payments in the past was everything about control - today this may be about giving it away - Data interexchange does not matter as the contextualization of this exchange for a customer

Customer won’t give a damn, once he is con-vinced this solves his problem

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In the end…

16 The people who are crazy enough to think they can change the world are the ones who do