Vendors want a higher limit for mobile payments

• Speed and trustworthiness for end customers are the mobile-wallet features most valued by companies
• Mobile payments could reduce the number of bank transfers

Prague, 12 May 2011 – A survey conducted by T-Mobile has revealed that, as far as payments for their products and services via mobile telephones are concerned, most vendors appreciate the speed and simplicity of this payment method. And it does not matter whether the payment is effected via the m‑payment service or Premium SMS. The results of the survey also show that if customers had a possibility to choose the payment method, they would prefer mobile telephones to bank transfers.

“The popularity of m-payments and Premium SMS grows significantly once companies have tried this method. Therefore we believe that these tools will fast become more and more popular both among vendors who offer them and among end users,” says Vít Šoupal, Senior Head of Mobile Payments at T‑Mobile, adding: “M-payments are evaluated positively by 31% of vendors who do not have their own experience with this payment method. However, once they have tested it, 76% of the respondents evaluate it positively.”

According to vendors, the key advantages of the mobile wallet are the speed of transactions, trustworthiness for end customers, the operator's guarantees and fast introduction of the service. For instance, the most valued features in the case of m-payment are speed (74%), trustworthiness for end users (69%) and the operator's guarantees (64%).

Roughly three-fourths of respondents would appreciate an increase of the transaction limit, with about one-third of them stating the amount of up to CZK 1,000. For 31% of companies participating in the survey, the limit of up to CZK 5,000 would be acceptable in the case of Premium SMS; in the case of m‑payments, the number was even higher: 37%.

The results showed that vendors expect the number of purchases paid for via bank transfer to drop following the introduction of the m-payment service. According to their estimates, every tenth customer would pay for purchases via telephone. The share of bank transfers could fall to one-quarter instead of the current 34%. The other payment methods would be almost unaffected by the introduction of m‑payments.

As one of the main reasons why they have not introduced this payment method yet, companies cite its inappropriateness for their business (29% in the case of Premium SMS, 38% in the case of mobile payments). The survey, which was conducted by Synovate, also revealed relatively low general awareness of mobile payments.

T-Mobile Czech Republic, a member of the international telecommunications group Deutsche Telekom, has almost 6.2 million customers, the number-one operator in the Czech market. T-Mobile is an integrated operator: in addition to telecommunications services, it offers comprehensive ICT solutions not only for companies, but also for other organizations and individuals. It provides outstanding services in the high-speed network, which was proved repeatedly by benchmark testing performed by umlaut (former P3) with Best-in-Test seal.

T-Mobile Czech Republic places emphasis on taking a responsible approach to the environment and society. It adheres to fair business practices, helps beneficial applications and services to see the light of day, supports non-profit organizations, small businesses and individuals, and lends a helping hand whenever crisis situations arise. The company’s employees serve as volunteers in many places across the entire Czech Republic.

More information about the company is available at www.t-mobile.cz, www.t-press.cz (the portal for journalists) and www.t-mobile.cz/pomahame (information on the company’s CSR activities).

Contact details of the press unit: press@t-press.cz.