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Nothing Simple About Mobile Commerce




Edmunds.com Inc., the mega-site for online car buyers, knows all the pros and cons of making its content available to mobile-device users through its Edmunds2Go family of wireless Web sites. The wired parent site averages 1.6 million visitors per month, while the wireless site has pulled in roughly 40,000 visitors since its launch in May. The company offers its content free but charges unspecified referral fees to site partners such as car insurance and financing service firms for each call they receive, says Joe LaMuraglia, director of wireless initiatives at Edmunds.com.

So far, only the site for wireless cell phones offers a page, the Vehicle Detail Page, which leads to a series of menu options listing insurance and finance partners. When a mobile user clicks on a menu choice, a call to the partner's toll-free number is initiated, says LaMuraglia. Links to partner sites are in the works for other wireless Web sites in the Edmunds2go family, he adds.

"We already have the huge number of hits on the main site, which talks about the wireless site, and that's what business partners find most attractive," says LaMuraglia. To drive even more visitors to the Edmunds2go sites, he has negotiated deals to have the site listed on the menus of phones packaged with wireless Web services from AT&T Wireless, Nextel Online, and Sprint PCS. LaMuraglia says the wireless site isn't expected to be profitable immediately.

To reach the broadest audience, the company had to develop several wireless applications, each tailored to the varying capabilities of mobile devices and wireless networks. Each runs on a separate server. One supports cell phones with browsers, a second supports Palm VII's, and a third is for personal digital assistants that are equipped with wireless modems. The devices can restrict the amount of data that can be practically accessed by mobile users, who are often en route to a dealership or are already there. "Basic functionality for small-screen devices can include the vehicle invoice, MSRP[manufacturer's suggested retail price], and Edmunds' price for the car, as well as pricing for options," LaMuraglia says. "It would be a bit much for those with tiny-screen devices to read even an entire new-car review, whereas PDAs can be used to download entire reviews for easy reading." The sites launched with a dealer locator that lets mobile users key in a ZIP code to find the nearest dealer.

For those who launch data-intensive applications, the sorest of sore spots for users are the low data rates in the United States -- most are around 14.4 Kbps. Although major players such as AT&T hope to offer 100 Kbps-plus speeds later this year, it's unclear, given the many types of equipment, software and services that wireless data net upgrades require, when and how widely they will be supported, says Jerry Kaufman, director of research services at Alexander Resources. And what do the myriad of technologies, upgrades, and improved data speeds mean to IT managers working with mobile commerce? "It will greatly complicate planning for companies looking to cash in on the promise of mobile commerce," Kaufman predicts. "The combination of factors to take into consideration are simply mind-boggling."


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