Trust is the number one barrier to the growth of mobile content and commerce, with 30% of mobile media users citing it as the single largest obstacle to purchasing goods and services via their mobile device – although just 9% claim to have actually had a negative experience.
This is one of the findings from MEF’s second annual Global Trust Report. The 2014 report, carried out in partnership with AVG Technologies, analyses data from 10 000 mobile media users in 13 countries in order to examine the industry-wide issues of privacy, transparency and security to identify their impact on mobile content and commerce consumer behaviours worldwide.
It also found that the issue of consumer trust is growing. This year, 40% named trust as one possible barrier to purchasing via mobile. In 2013, the number was 35% against 27% in 2011. Looking ahead, therefore, a lack of trust will prevent one in two mobile media users from purchasing via their phone by 2015.
In more detail, the report identified, in terms of trust:
* Over 35s (43%) and smartphone users (44%) are the least trusting. This may reflect the greater risk posed to more advanced mobile devices and a greater understanding of potential dangers among older consumers.
* Trust is not just a barrier to purchase – 37% overall say it prevented them using apps installed on their phone, though this was less of an issue in mature markets such as the UK and US. Growth markets are more likely to let trust get in the way of buying via their mobile. Mexico and China (49%) top the table, with Saudi Arabia (48%) and Brazil (46%).
In terms of privacy, the study found:
* 65% overall are unhappy sharing personal information with an app, with more mature markets particularly reticent (UK: 79% and US: 76%).
* 16% of people surveyed consider sharing too much information as a barrier to purchase.
* Most consumers take no action to protect their privacy. Long form privacy policies are particularly unpopular with only a quarter, 24%, prepared to read one. Short form policies are popular in the US (37%) and the UK (32%); also for those for whom convenience (40%) and immediacy (39%) are key purchase drivers.
When it comes to transparency:
* 42% think it’s extremely important to know that an app is collecting and sharing data, down from 49% last year.
* Transparency is particularly important to mobile users in the UK (63%), the US (65%) and the highest spending mobile users (50%).
In terms of security:
* 65% are aware of the threat of malware.
* 74% say malware makes them more cautious when downloading apps, or will make them more cautious now they understand what it is.
* Women (80%), over 35s (81%) and heavy spenders (79%) are most concerned.
Andrew Bud, MEF Global chair, says: “This report shows remarkably few consumers are yet ready to take action regarding their concerns about trust in mobile apps. This should not mislead our industry. With a large and growing majority of consumers expressing concern, the mobile industry cannot afford to be complacent about mobile users’ current tolerance.”
Yuval Ben-Itzhak, chief technology officer at AVG Technologies, adds: “We are witnessing the emergence of a connected generation which has grown up online and has lower expectations of data privacy. This is in stark contrast to those over 35 years of age who in the survey seemed to be much more worried about new technology and its implications.
“We describe today’s connected world as ‘The Internet of Things’, meaning devices are increasingly smart and online. It’s not just about how to manage these mobile devices; it’s a personal issue for individuals to retain control of their personal information and a challenge to society as to what the standards should be.
“The findings of this report are a call to the mobile industry to do more to help consumers keep their connected world simple, safe and private – and to be transparent about it.”
