Category: Mobile Commerce

Mobile commerce becoming a major aspect of retail

Accenture, a leading market research firm, has released a new study concerning the preferences consumers have in the realm of online shopping. The Seamless Retail Study highlights these preferences, showing that many consumers favor their mobile devices to shop for and purchase products online. Mobile commerce is growing increasingly common, especially in the retail industry, due to the convenience it offers to consumers. Many consider using their smartphones and tablets to shop online is simple more efficient than other forms of shopping.

Survey shows consumers are likely to use mobile devices to shop

The study includes a survey, which notes that 88% of consumers claimed to have participated in “webrooming,” a practice similar to showrooming wherein consumers browse for products on the Internet before purchasing products in a physical store. The survey also shows that approximately 43% of consumers have plans to shop online more frequently in the future, with 23% of these consumers noting that they plan to use their mobile devices to shop.

Mobile commerce offers more convenience to shoppers

The study suggests that consumers are becoming increasingly interested in a seamless shopping experience, wherein they can find and purchase the products they are interested online and pick up those products as soon as possible. Mobile commerce is somewhat accommodating of this trend, as it enables consumers to make a purchase from their mobile device and, in some cases, retrieve their purchased products from a physical store. Amazon has recently begun offering such a service, which has been well received by consumers interested in mobile commerce.

Retailers may have to work harder to engage a changing consumer base

The study claims that retailers may need to combine their store, online, and mobile shopping channels in order to appeal to a changing consumer base. More people are getting their hands of high-end smartphones and tablets, making them more mobile-centric. As such, retailers that do not appeal to consumers on a mobile level could stand to lose significant ground with these people as mobile commerce becomes more prolific.

The most recent report from the IAB has shown that the average amount spent has surged.

The Interactive Advertising Bureau (IAB) has just released their latest report, which has indicated that mobile marketing spending has been sharply rising, as it recorded an increase of 111 percent throughout 2012.

The statistics recorded by the IAB and which were presented in the report showed $3.4 billion in spending.

The report showed that the spending exploded to well over $3 billion last year, which made 2012 the second year in a row that there was a very dramatic rise in the amount that was spent in mobile marketing.

The rate of spending is rising as more mobile marketing companies see the rising importance of the channel.

Smartphones and tablets are becoming far more common and they are starting to be a highly important part of the daily lives of many consumers. According to a PricewaterhouseCoopers partner, David Silverman, as the mobile marketing environment matures, so does the level of its understanding and the amount that is being spent. As its credibility is being proven, so its use continues to increase.

Silverman stated that “They have certainly made the buying experience easier—similar in what we’ve seen with online [exchanges].” However, he also went on to say that “there are a whole host of other factors that have created the growth of mobile.”

He explained that what the mobile marketing ecosystem is currently seeing is a sudden influx of consumers looking directly at their smartphones during much of their time. Therefore, “Marketers are trying to reach them where they are at—on elevators, at coffee shops, etc. The inventory is there, and the people are there. You combine those elements with localization, and mobile presents a great opportunity.”

Last year, the total revenue from digital ads reached the $36.6 billion point. This also showed a considerable increase, year-over-year. Though much more moderate than that of mobile marketing use, it was still 15 percent greater than it had been the year before. Silverman predicted that the channel will start to see a massive rise in social media, and this will have a considerable impact on ad inventory that can be sold, particularly when it comes to the display category.