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.
Passwords and security phrases can be compromised with varying degrees of effort and malicious groups are beginning to target the mobile space due to its relative lack of security. While hackers can find ways to exploit a wide range of platforms and services, they cannot exploit biological information that is used to keep these platforms safe. Biometric technology can turn a fingerprint into a virtual key, giving mobile consumers a higher level of security that they have not experienced in the past.