Mobile Marketing Mobile Payment and Commerce 1 — Questions and Answers
Question 1: What technology enables contactless mobile payments at point-of-sale terminals?
- Bluetooth Low Energy (BLE)
- Near Field Communication (NFC) (Correct answer)
- Wi-Fi Direct
- Infrared Data Association (IrDA)
Correct answer: Near Field Communication (NFC)
NFC allows devices to exchange data over short distances (typically under 4 cm), making it the standard technology for tap-to-pay mobile transactions at POS terminals.
Question 2: Which of the following best describes 'mobile commerce' (m-commerce)?
- Running SMS marketing campaigns to drive in-store sales
- Buying and selling goods or services using wireless mobile devices (Correct answer)
- Optimizing websites for mobile browsers only
- Managing customer loyalty programs through a mobile app
Correct answer: Buying and selling goods or services using wireless mobile devices
M-commerce encompasses all commercial transactions conducted via mobile devices, including shopping, banking, and digital purchases.
Question 3: What is a 'digital wallet' in the context of mobile payments?
- A physical card reader that attaches to a smartphone
- A mobile banking app that tracks spending and budgets
- A software application that securely stores payment credentials for mobile transactions (Correct answer)
- An encrypted email account used for sending payment confirmations
Correct answer: A software application that securely stores payment credentials for mobile transactions
A digital wallet (e.g., Apple Pay, Google Pay) stores credit/debit card information and enables users to make payments without presenting a physical card.
Question 4: Which metric measures the percentage of mobile shoppers who complete a purchase after initiating checkout?
- Click-through rate (CTR)
- Average order value (AOV)
- Mobile conversion rate (Correct answer)
- Cost per acquisition (CPA)
Correct answer: Mobile conversion rate
Mobile conversion rate tracks the proportion of checkout initiations that result in a completed purchase, making it a key performance indicator for mobile commerce success.
Question 5: What is the primary benefit of one-click purchasing in mobile commerce?
- Enhanced security through multi-step verification
- Reduced checkout friction leading to higher purchase completion rates (Correct answer)
- Lower product prices exclusively for mobile users
- Automatic enrollment in loyalty reward programs
Correct answer: Reduced checkout friction leading to higher purchase completion rates
One-click purchasing removes repetitive data entry for returning customers, dramatically reducing friction and cart abandonment during the checkout process.
Question 6: In mobile commerce, what does 'cart abandonment' refer to?
- Customers uninstalling a shopping app after one use
- Users adding items to a shopping cart but leaving without completing the purchase (Correct answer)
- Shoppers returning items purchased on mobile devices
- Customers switching from mobile to desktop to complete a transaction
Correct answer: Users adding items to a shopping cart but leaving without completing the purchase
Cart abandonment occurs when shoppers add products to their virtual cart but exit before completing checkout, and is a critical metric mobile commerce teams work to reduce.
Question 7: Which of the following is a key factor that distinguishes mobile commerce from traditional e-commerce?
- Mobile commerce only supports digital product purchases
- Mobile commerce leverages device features like GPS, camera, and biometrics for enhanced experiences (Correct answer)
- Mobile commerce transactions are always lower in value
- Mobile commerce requires a dedicated native app to function
Correct answer: Mobile commerce leverages device features like GPS, camera, and biometrics for enhanced experiences
Mobile devices offer unique capabilities—location services, cameras for scanning, and biometric authentication—that enable richer, more personalized commerce experiences than desktop browsing.
Mobile Marketing Mobile Payment and Commerce 1
What technology enables contactless mobile payments at point-of-sale terminals?