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RESEARCH, ANALYSIS & TRENDS

Impact of smartphones on

purchasing behavior

Mobile solutions are making an impact on Certainly, the short operational range and security con-
markets and influence user behavior as well as cerns restrain the growth to some extent, but the up-
purchasing processes. The emerging trend of surge in adoption of NFC-enabled wearable technology
simple and cashless payment via mobile devices and recent technological advancements in NFC are
opens new possibilities for brick-and-mortar expected to pave the way for new opportunities in the
retail. future.

The global near-field communication (NFC) market was Small chips with a big impact
estimated at $15.53 billion in 2019, and is now ex-
pected to hit $54.52 billion by 2028, registering a With NFC, a direct exchange of data between two de-
CAGR of 14.8% from 2021 to 2028. The rising scope of vices is possible – wirelessly and via radio technology.
an NFC enabled mobile device to function as a contact- On this basis, an extensive architecture can be built,
less smart card fuels the growth of the segment. The with which a ‘mobile wallet” in the form of an app is ulti-
increasing demand for convenient transfer and security mately created. There are hardly any limits to the varie-
of data, a thrive to improve customer experiences, the ty of features and can quickly make the real wallet look
surge in proliferation of smartphones fuels the growing old fashioned. Here, too, the focus is increasingly on
demand for contactless payments due to the ongoing the customer who can benefit from a wide variety of
COVID-19 pandemic and drives the global Near Field bonus and loyalty programs. Mobile coupons and ex-
Communication (NFC) market. clusive offers can be displayed accordingly through the
app and open additional options for marketers to use
individualized marketing measures.

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