O2's launch of "half-baked" O2 Wallet app creates a backlash among Facebook fans

O2's launch of "half-baked" O2 Wallet app creates a backlash among Facebook fans

Tags: O2 Wallet | O2 | Facebook

O2 shows that using an online community to promote the launch of a new product can backfire, providing early adopters with a platform for negative feedback. O2’s Facebook launch of the new O2 Wallet app generates criticism for the app’s lack of NFC support, showing that innovative products should initially be tested in a more controllable environment than online communities.

Previous case studies have shown how brands can mobilise existing fanbases to launch a new product, such as Calvin Klein’s new CK One re-branding. Mobile operator O2 have followed the same approach with the new O2 Wallet app, allowing users to perform transactions using their mobile phone. With O2 Wallet, O2 is joining the UK's mobile payment services, including the ability to send and receive money via SMS or using your phone as a contactless payment card.
 
WaveMetrix analysis shows that launching the app on O2’s Facebook page prompts negative feedback from early adopters who raise privacy and fraud concerns. They also complain that the app does not support near-field communication, which is necessary for in-store payments. This suggests that brands would benefit from launching highly innovative products within more controlled communities before undertaking a widespread launch among their social media fanbase.

O2 Wallet's launch on Facebook causes negativity around both the app and the O2 brand:
 
 
  • 89% of Facebook comments about O2 Wallet are negative: O2 Wallet announcement is met with criticism on the brand's Facebook page, with users saying they are "hugely disappointed" by the lack of NFC support, which makes the app "pointless". Others complain that O2 has not addressed security concerns which come with mobile payments and that O2 Wallet "should have been thoroughly tested" before release
  • Negative perceptions of O2 Wallet reflect badly on the O2 brand: Some O2 users take the opportunity to criticise the brand's services, including the price of data plans or signal coverage, revealing the drawbacks of launching an innovative product within social media communities

 

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