Tag: mcommerce

Online auction site eBay, Inc is set to become a leader in mobile commerce through auctions as well as Paypal mobile transactions to be processed throughout the coming year.

Mobile commerce for 2013

Market trends for the future can often be found in what people are doing with their mobile phones and other devices. Experts keep a keen eye on the market for trends that point to future success in any sector. Mobile commerce is the hot topic for 2013, with Paypal poised to make record amounts of mobile commerce transactions. eBay has also been successful at integrating mobile capabilities into its auctions, with a full one third of transactions on the site coming from a mobile source.

Established financial institutions like Visa, MasterCard, banks, and Paypal have been projected to be the big winners in mobile commerce in the coming year. Payments can be made by mobile phone by Paypal users, and other institutions are working on or have released similar programs. Paying for auctions with Paypal is commonplace, which means a natural progression towards mobile commerce rewards for all sectors of eBay, Inc.

Mcommerce Predictions

Colin Gillis, analyst at BGC Partners, believes eBay, Inc. is the top dog for e-commerce in 2013. He believes that eBay could one day be worth more than Amazon, a long time top company for online sales. To him, eBay is one of the players that will remain stable and see growth in the coming year, which could pay out in dividends for stockholders.

eBay, Inc. ha shown strong growth in GMV – gross merchandise volume – in the last year and continues to see growth. Some of this growth can be attributed towards new members and an approach to mobile commerce in general. That, along with the projects for Paypal to be a leader in mobile payments, give the company a strong outlook into the new year. Paypal alone is projected to handle over $10 million in mobile payments in the next year. 100 million users have downloaded eBay’s app for mobile phones in the company’s last quarter alone.

Potential problems for eBay include the PayPal Bill Me Later option, which could open up new risks with credit. eBay should also be on the lookout for stiff competition from both online and offline merchants, along with high in-house costs associated with acquisitions.

Android users lag in importance behind Apple customers in mobile commerce

As opportunities in mobile commerce continue to grow and change, retailers consistently say that Apple consumer rule mobile commerce despite lower smartphone sales. However, it appears that though iPhone users are a minority they are far more likely to use their smartphones to make purchases and otherwise engage in mobile commerce.

Lucrative mobile commerce business

Apple seems to have bigger visibility with iPhones, but sales for Android powered phones accounted for 52.5 percent of smartphone sales and iPhones made up just 34.3 percent. Those figures can be misleading through, because Apple has huge gains and sales in the tablet market with the iPad alone dominating with 76 percent of the market share. Android and other manufacturers make up the rest.

However, that does not account for those actually using their smartphones to make mobile commerce transactions. These are essentially payments made by use of the smartphone – allowing some consumers to leave their wallet at home. Apple’s iPhone users may be a smaller crowd, but they are by far the most likely to use a smartphone for a purchase rather than whipping out the credit card or paying in cash.

The difference is in the user

Though iPhones account for lower sales, they are higher priced than most Android powered smartphones. In essence, those with less expendable income are far more likely to get a less expensive Android when smartphone shopping. The iPhone user is more into using the smartphone for all of the capacities it possesses and are more likely to be up to trying newer trends like mobile commerce transactions for simply buying coffee at a corner shop. Android users are in on the action, but are far behind iPhone consumers in cash to spend and on the willingness to try new ways of spending it.

Kevin Edwards of Affiliate Window said, “Apple users are typical early adopters. They’re generally tech-savvy individuals who embrace new ways of interacting and transacting online.” He also theorizes that Apple customers are more comfortable about shopping and more confident in shopping online. Not only are iPhone users more active in mobile commerce, the same can be said for iPad users as well.