Developers looking to build apps for retail should make sure they are adding value for both retailers and consumers, according to Dan Wagner, founder of e-commerce platform provider Powa Technologies (pictured).

Speaking to Mobile World Live at a recent Qualcomm Ventures event, Wagner said: “What I can’t stand are apps that have no ability to give a solution to retailer and consumer.”

“In the retail space it should be something that will add value to the user. As long as it has applicability, it should work,” he added.

The PowaTag app allows shoppers to use their smartphone to access information and purchase products in a quick and simple way, by taking a picture of the item or scanning a relevant QR code on a website.

Consumers can use the app to purchase items in stores or to order items online and have them delivered to the shop nearest to their physical location.

In time, Wagner believes bridging the gap between physical retail and ecommerce in this way could revive high street shops as distribution points rather than just locations where purchases have to be made.

The approach should also help retailers by reducing the 68 per cent drop-out rate seen at the check-out stage of e-commerce transactions.

In contrast, Wagner said the reason why mobile wallets have not taken off in a big way is that “there’s no utility”, whereas consumers are more likely to download and use apps like PowaTag on the spot.

The widespread use of smartphones and retailer demand has seen 240 brands make use of the PowaTag technology so far, with “enormous momentum” behind the technology, according to the company’s founder.

And having raised close to $100 million in external funding in the past year, the investor community also seems to have confidence that the approach being taken by Powa Technologies has potential.