Mobile Markets – How do they differ from Internet Markets

This paper explores the features of mobile markets and how they differ from Internet markets. 1 M-Commerce – Definitions Even though m-commerce is a new phenomena, there are already many different definitions for the main terms related to this research area in the literature. In order to avoid misunderstandings the most important terms related to mobile technologies will be explained in this section. In many cases the words “wireless” and “mobile” are used interchangeably to denote mobile applications. However, the adjective “wireless” denotes basically the way how the transmission of data is performed. Wireless means that data is delivered to an end user across airwaves (Mobilicity 2001), (Anckar & D’Incau 2002). The adjective “mobile” refers to applications, which are designed for users on the move, i.e. for applications that support the user independent of his location (Anckar & D’Incau 2002), (Lehnert, 2002). This means that a wireless application does not have to be a mobile application as well. For example, providing passengers with information about discounts and coupons that can be used for buying at the store through a Bluetooth interface when they pass near the store provides a wireless extension of marketing activities. It would be at the same time a mobile application, in case the customer could access the same information from any location through his mobile device and if interested can react on it. Therefore “mobile” is a term with wider meaning compared to “wireless” and subsumes “wireless”. Providing added value for customers on the move is one of the key success factors of mcommerce. Further terms that need to be defined are mobile business (m-business) and mobile commerce (m-commerce). They can be defined in analogy to e-business and e-commerce (Kemper & Wolf 2002). The prevailing definition for e-business is the following: E-Business is the integration of systems, processes, organizations, value chains, and entire markets using Internetbased and related technologies and concepts. E-Commerce is merely a part of e-business and is