Author: Stephen

Retailers in Canada might have trouble engaging mobile consumers

Canadian retailers may be in for a turbulent holiday season. Price wars and consumers skittish about mobile and e-commerce may put retailers under significant strain this year during the months of November and December. The growing prevalence of mobile commerce, in particular, may make it harder for some retailers to find traction with many people. These retailers have been investing heavily in their mobile infrastructure, but they may not see returns due to the fact that many consumers are not yet comfortable with the idea of shopping online with a mobile device.

WalMart sees troubling trends emerge in the retail market

WalMart has big plans for the holiday season, as usual, but the company notes that it is seeing trends emerge in the global market that could be trouble for the retail industry. According to David Cheesewright, president of WalMart’s international division, growing competition from companies like Amazon may present problems for traditional retailers. Traditional retailers are having price skirmishes with online companies, and consumers are beginning to favor the latter because of the digital services they offer.

Consumers comfortable with mobile shopping are visiting physical stores less frequently

Many people are still uncomfortable about mobile commerce, but those that are not are spending more money when shopping online from a mobile device. Companies like Amazon are taking steps to provide these people with an enjoyable online shopping experience and as consumers become more involved in digital commerce, they are beginning to shop online more than they visit physical stores.

It may be too late for retailers to adopt mobile initiatives to connect with consumers before the holidays

Mobile commerce has proven to be quite powerful during the holiday season. Shopping from a mobile device helps people avoid long lines and they can benefit from having products delivered to their homes relatively quickly. Retailers that have avoided the mobile space, or have a relatively small presence therein, could find it difficult to connect with consumers in a significant way, and it may be too late for them to introduce effective mobile initiatives before the holidays are here.

Digital commerce is gaining more attention than it ever has in the past. As more people begin to base their lives on mobile technology, they are finding ways to shop for and purchase products online using little more than their smartphone. E-commerce has long been a growing market, but the growing interest people are showing in mobile payments has lead to a boom in the digital world.

In the coming years, digital commerce may play a significantly bigger role in the retail market than it already does. Many retailers have already taken note of the importance of having an Internet presence, but relatively few have invested heavily in the e-commerce space. Retailers have long relied on traditional forms of engagement, seeing the digital world as a potential threat to their brick and mortar stores. In the coming years, these retailers may have to revise their outlook on the digital world if they want to keep engaging consumers effectively.

A recent report from eMarketer shows that mobile payments are playing a bigger role in the retail space. The report shows that, in the U.S. alone, mobile commerce revenue is expected to reach $118 billion by 2018. This growth is due to the growing number of people that are using smartphones throughout the country. An estimated 25% of the country’s adult population currently owns and uses a smartphone for mobile commerce.

In India, mobile shopping is becoming more popular. The country has become the fastest growing e-commerce market in the Asia Pacific region, according to a study from Gartner. Retailers are beginning to embrace the fact that they have to find ways to engage consumers in new ways or risk losing to their competition. As such, they have begun adopting mobile engagement strategies.

While digital commerce is growing in power, traditional commerce is still favored by most consumers. Many people are interested in the convenience that the digital space has to offer, but are not convinced that a smartphone can replace their credit or debit cards. This ideology may change in the future, especially as digital platforms become more robust and convenient.