Denny |
December 20, 2013
Amazon acquires GoPago
Acclaimed online retailer Amazon has announced the acquisition of GoPago, a mobile commerce firm based in San Francisco, California. Amazon has been working to establish a more formidable presence in the mobile space in recent years, aiming to compete with companies like eBay that have found a great deal of success by engaging mobile consumers. The acquisition of GoPago may provide Amazon with the extra tools it needs to overcome the competition.
Firm shows promise in the mobile sector
GoPago was launched in 2009 and is responsible for a mobile application that allows users to browse and pay for products from their smartphones. The firm later went on to specialize in point-of-sale software, developing solutions for merchants interested in engaging the mobile audience. JPMorgan Chase invested an undisclosed amount of money into the firm in February of this year, adding to GoPago’s stance in the mobile sector and attracting a great deal of attention to the firm.
Ambitious new projects may be coming in the future
GoPago suggests that its acquisition by Amazon will open the door for ambitious new projects, but what these projects will be has yet to be announced. Amazon itself has yet to announce any new and ambitious mobile projects as the company has been somewhat heavily focused on the projects that are already underway. How GoPago will fit into the Amazon portfolio and what benefits it will bring have yet to be seen.
Retail mobile commerce is becoming more competitive
Mobile commerce has become quite popular in the world of retail. Several prominent companies have been investing heavily in the mobile sector in order to engage in a new generation of consumers. Currently, eBay and Amazon hold a very formidable place in the mobile retail sector. Companies like Square and Google are attracting more attention as providers of mobile commerce services and mobile wallets, however.
Report highlights changes in consumer behavior
A new report from BI Intelligence highlights the changes in consumer behavior between those that use tablets and those that use smartphones. Behavior between these two demographics has been fragmenting for some time, with tablets users treating their devices more like traditional computers and smartphone users treating their devices like social media tools and portable gaming platforms. The differentiation between smartphone and tablet users has been modest, except in the retail sector where mobile consumers have become enamored with mobile commerce.
Tablets are favored shopping platforms
According to the report from BI Intelligence, consumers are beginning to favor tablets when it comes to mobile shopping. Many favor these devices because they provide a more enjoyable shopping experience. The larger screens of tablets allow consumers to better navigate retail sites and find the products they are interested in. The report also shows that tablets are becoming quite popular research tools for consumers that like to compare products.
Consumers spend more through tablets
Tablet users prefer to spend money at night, according to the report. Tablets allow for a shopping experience that is similar to what can be found on a traditional computer. This makes it easier for consumers to do their shopping from home, thus making them more comfortable with parting with their money. Smartphones are still quite popular when it comes to mobile commerce, but these devices are primarily used in physical stores rather than for home shopping.
Retailers work to engage tablet consumers more directly
Retailers are beginning to take note of the growing favor that consumers are showing for tablet devices. As such, the report notes that many retailers have begun tweaking their websites to be more accommodating the tablet users. Making a shopping experience more enjoyable specifically for tablet users may alienate smartphone users who still represent a significant portion of the mobile commerce market.
