Coupofy analysis shows that mobile shopping is gaining momentum
Coupofy, a leading database of online coupon codes, has been observing the mobile commerce space quite intently, as it has seen a growing number of people rely on their smartphones and tablets to do their shopping and research products. The company has released an analysis of data concerning the growth of the mobile commerce market, finding that many consumers are beginning to favor shopping with their mobile devices rather than with their desktops or visiting physical stores.
Mobile spending expected to hit $600 billion by 2018
According to the analysis from Coupofy, between 2013 and 2016, mobile shopping increased by more than 42%. By comparison, conventional e-commerce grew by 13% over the same period. As 2016 is not yet hear, the growth in both mobile shopping and e-commerce is expected to increase. By 2018, it is estimated that consumers will spend some $600 billion in mobile purchases. This represents 300% growth over the mobile spending that was reported in 2014.
Emerging markets are seeing major growth in mobile shopping and spending
Coupofy notes that Norway, Sweden, Denmark, China, and Spain are the fastest growing mobile commerce markets in the world, with China holding the top spot. Emerging markets, such as Taiwan, are also experiencing rapid growth, as more consumers begin to access the Internet with their smartphones and tablets. Both India and Taiwan saw a 60% increase in mobile spending from 2012 to 2014 due to increased smartphone penetration.
Retailers are helping power the growth of mobile commerce
Several retailers are aiding in the growth of mobile commerce. Amazon, which is one of the world’s largest e-commerce retailers, has noted a significant rise in the number of consumers purchasing products through mobile devices. In China, Jingdong Mall has also seen an increase in mobile shoppers, as consumers are beginning to favor their mobile devices to find and purchase products. Mobile shopping is becoming particularly popular among commuters who travel to work and back on a regular basis. Shopping from a mobile devices represents an easier way for these consumers to get their shopping done.
Mobile commerce sparks major growth in the retail sector
E-commerce is growing in China, backed heavily by an interest among consumers in mobile commerce. Jingdong Mall, the country’s largest online retailer, has announced receiving more than $700 million in funding from a consortium of investors that are interested in the company’s prospects in e-commerce. The funds are expected to help expand the company’s digital operations and new business ventures. Jingdong Mall is not the only retailer that has been seeing heavy investment activity recently. Several others have been finding success through a stronger focus on mobile commerce and the consumers enthralled by mobile technology.
Transaction volume growing quickly due to online shopping
According to a recent report from the E-Commerce Research Center, digital payment volume in China’s retail sector has been growing aggressively. By the end of December, 2012, online transaction volume in the retail market reached more than $160 billion, a growth of more than 64% over what this volume had been in 2011. The number of online shoppers has also increased in the country, reaching 247 million consumers by the end of 2012. Many of these consumers made purchases throughout the year using their mobile device.
Consumers show favor for mobile shopping
The growth of mobile commerce and e-commerce is expected to have a significant impact on physical retailers in the coming years. Many of these retailers in China has begun making the transition toward e-commerce, with tentative plans to abandon their old brick-and-mortar shops at some point in the future. Those that have no plans to embrace e-commerce may find some success through the adoption of mobile commerce, but this success may be short lived as consumers begin to favor online platforms for shopping.
Internet connection proves to be a problem for mobile commerce
The development of mobile Internet continues to gain speed in China. As consumers gain access to better Internet connections, they will be more likely to participate in mobile commerce. Currently, slow load times for e-commerce sites and digital retail services keep many consumers from participating in mobile commerce. The retail sector is working to alleviate this issue, however, in order to capitalize on the prospects of mobile consumers.
