There are two user -oriented core dimensions on which m-commerce has an advantage over e-commerce: "mobility" and "locatability". Simple CIP devices offer mobility. Mobile data networks that employ geographical positioning systems or use network elements to pinpoint the " cell " where the user is offer locatability. With locatability, CIP devices are transformed into CLIP (communication, location, information, payment) devices. Taken together, these two dimensions create a range of distinctions between m-commerce and conventional e-commerce (see Table 1).
Dimension | E-Commerce | M-Commerce |
---|---|---|
Core Dimensions | ||
Mobility | Limited: User can transact from locations with Internet access. | Ubiquitous: User can transact from anywhere in mobile network area. |
Locatability | Client-specific: Client computer locatable via IP address. | User-specific: User, device, and geographic location can be identified. |
Behavioral, Strategic, and Leadership Dimensions | ||
Key customer concern | Money: Because of "free Internet" culture, e-commerce users are money conscious. | Time: Evolving from mobile telephony culture, m-commerce users are time conscious. They are used to paying for mobile services. |
Customer location and market served | Fixed Locations: Customers can be served at locations where they have Internet-linked computer access. | Ubiquitous and Global: Customers can be served anywhere within the mobile network coverage area. |
National and regional leadership | USA-centric: E-commerce evolved in USA. | Europe and Asia-centric: Scandinavia and Asian nations (Japan) lead in m-commerce. |
Industry leadership | New Players: Newer companies such as Yahoo, AOL, Amazon.com, Dell, Cisco, and FreeMarkets have emerged as E-commerce leaders . | Transformed Old Players: Older players such as FSPs, Mobile Device Makers, WSPs, and Banks have chance to grab leadership. 1 |
Source: Authors' research |
Do the differences between e-commerce and m-commerce outlined in Table 1 translate into differences in terms of business strategies for these two types of Internet-based commerce? We believe that m-commerce strategies will be different from e-commerce strategies in significant ways. In particular, we focus on three aspects of the customer relationship ‚ personalization, permission, and specification ‚ where m-commerce is likely to differ from e-commerce.