Briefly put, mobile wallets help the connected shopper keep track of items they usually carry with them, but need to find a single spot for: things such as offers, loyalty cards, tickets, boarding passes and gift cards. A kind of a location-sensitive shopping concierge, it is also a better way to organize for consumers. Shoppers put their offers and loyalty cards into their mobile wallets, and the phone-based technology does the rest. They approach their favourite retail stores, and the information they need – stored in their mobile wallets – automatically appears on their phone’s home screen. Not only does this introduce immense value to the consumer, it eliminates barriers for retailers by driving consumers into their brick-and-mortar stores.

Mobile wallets have a number of consumer-friendly features. A useful tool to help assist users to spend their money better is comparison-shopping. Now, the digital wallet can scan UPC or 2D barcodes in a store to find the cheapest price, customer reviews, or other
options such as product demos, related content, or additional inventory. Red Laser has been the leader in this space and was quickly acquired by eBay. The carriers are becoming emerging players in their ability to pre-load their mobile app scanners on devices prior to customer purchase.

Google Wallet adds non-payment capabilities

Google Wallet is a mobile payment system developed by Google that allows its users to store debit cards, credit cards, loyalty cards, and gift cards among other things, as well as redeeming sales promotions on their mobile phone. Google Wallet uses near field communication (NFC) to make secure payments fast and convenient by simply tapping the phone on any PayPass-enabled terminal at checkout. When Google Wallet launched two years ago, it was completely focused on payments. More recently, however, Google recently announced an updated Google Wallet app, which allows consumers to save content to Google Wallet such as loyalty cards and offers. With more than 50 percent of smartphone users on the Android operating system, Google Wallet now gives marketers access to a broader audience. Expect to see more retailers and brands incorporate this mobile wallet technology to engage with consumers to drive loyalty and sales.

Passbook scanner

What is Passbook? The short answer is that it's a place for large retailers and brands to connect with consumers. The list of the brands present is impressive enough to suggest that Apple's wallet app isn't too far from being what it set out to become: an iPhone repository for coupons, travel and event tickets, gift and loyalty cards, and vouchers - the stuff that otherwise clutters wallets and purses. Large retailers and restaurant chains — from Walgreens to Target to Dunkin' Donuts to Starbucks — as well as event companies, global airlines, and sports leagues are already using it as a channel for acquiring and retaining customers. The most interesting new feature Apple has added to Passbook in the new iOS7 operating system is a scanning feature that allows consumers to scan QR codes to receive mobile wallet content. Now, they will be able to activate Passes by scanning print media, direct mail, in-store signage directly from the Passbook app, making it even simpler for consumers to add mobile wallet content. Apple's Passbook is already the fourth-most popular mobile commerce app among U.S. consumers. One-fifth of iPhone owners use it. It's Apple's fast-maturing attempt at a virtual wallet.

Personalized offers and loyalty

Mobile is the ultimate form of personalized media because it is intimate and unique to the consumer. This is why it is important for marketers to create personalized and contextually relevant content based on consumers’ preferences. In addition, the dynamic nature of the mobile wallet can turn a one-time offer into a perpetual coupon. Once an offer is installed, marketers can update any or all of the content and send a notification that a new offer is available, providing opportunities to try new strategies within a single campaign.

Sources: http://venturebeat.com; http://www.businessinsider.com; http://mashable.com
Photo: http://mobileleadersalliance.com/