Tag: mcommerce research

Mcommerce is on the cusp of explosive growth

Growth of McommerceThere are many drivers that are sending this channel right to the brink of its fastest increase yet.

The mcommerce world is sitting right at the very edge of the fastest growth that it has ever experienced, and there are a number of reasons that this already rapid increase is about to take off like never before.

A recent report has identified some of the drivers that are sending the mobile figures skywards.

One of the most common leisure time activities among today’s consumer is to watch television while holding a smartphone or tablet device. This second screen makes it possible to investigate all manner of topics, ideas, and products that appear on the television before the consumer. The mcommerce industry is not oblivious to this trend and is working very hard to create smartphone and tablet friendly sites and apps that will relate to what is being seen on the televisions so that it becomes possible to capitalize on this activity.

This mcommerce trend is known as the “second screen”, where two devices are used for watching television.

This occurs when the viewer is watching television but uses the smaller device in order to provide support information. A new BI Intelligence report is now showing that second screen, as well as a number of other drivers, are sending mcommerce rapidly skyward at what will soon be an explosive rate. Among the other drivers that were named include smartphone optimized websites and social networks.

Companies are beginning to use their carefully devised tools to help to monitor how second screen audiences are using their smartphones and tablets in order to enhance their television watching experience. The goal is to use this opportunity to improve the mcommerce offerings in a way that they will be seen as more useful and that they will help to encourage greater conversion rates and sales.

The report also named additional reasons that illustrate why second screen based mcommerce will certainly succeed. These include: rapid usage growth, widespread acceptance and adoption, well established activity, and the ease of creating bridges through sites and apps designed specifically for this experience.

Mobile commerce study by Forrester Research predicts a quadrupling by 2017

mobile commerce researchThis would bring sales through the channel up to $31 billion within a 4 year period.

Forrester Research has released its latest mobile commerce data, which has shown that mobile commerce currently represents a small fraction of total sales for retail companies and for the next few years, it is likely that it will grow, but still remain a small percentage of the whole.

The sale of physical goods and services over smartphones was small but notable last year.

In the United States, these mobile commerce purchases were worth $8 billion and made up 3 percent of total online sales and under 1 percent of the overall retail sales total. Forrester estimates that this numbers were driven higher by some of the top performers in this channel, such as eBay and Amazon, which have experienced billions of dollars in sales from wireless devices.

For the majority of American retailers, mobile commerce sales represent a lower portion of the whole.

Over the next four years, the total mobile commerce sales are expected to increase by 33 percent per year – said the Forrester Research data – until they reach $31 billion. This means that by 2017, they will make up 9 percent of online sales.

According to that same research company, at the time of their study, there were 132 million people in the United States that had a smartphone with an internet connection. However, only one in every four actually made a mobile commerce purchase. They speculated that the reason that this rate has remained as low as it has is because of the retailers themselves.

Forrester has identified retailers as the cause of their own mobile commerce struggle, saying that it can be too challenging for consumers to check out and pay for items on their smartphones to make it feel worth their while. They also pointed out that some retailers are too wrapped up in apps of which consumers are completely unaware.

Aside from Forrester’s own speculations, it has also been suggested that the design of the smartphones, themselves, may be partly to blame. Although some screens have wonderful image zooming capabilities, it can still be quite challenging for device users to be able to closely examine products, especially within the apparel sector.