Tag: mobile commerce news

These smartphone friendly websites are using Facebook, Twitter, Google+, and others to build relationships.

According to the latest research, mobile commerce websites are increasing their use of social media marketing because of the advantage it provides in generating a sense of a personal relationship between their customers and their brands.

The researchers in this study referred to the trend as “swift guanxi” due to its areas of effectiveness.

The term has been used because the “guanxi” concept is from China and is “broadly defined as a close and pervasive interpersonal relationship” as well as “based on high-quality social interactions and the reciprocal exchange of mutual benefits.” This, according to the researchers from the study, Robert M. Davison, Carol Xiaojuan Ou, and Paul A. Pavlou.

The researchers found that using mobile commerce in this way was highly effective for building loyalty.

When they spoke of swift guanxi, they were talking about the ability to ease interactivity, loyalty, and repeat transactions when using social media for mobile commerce purposes. The data used in this study was gleaned from the leading online marketplace in China, TaoBao. They looked into the way that computer mediated communication (CMC) technology could be used for this purpose and convert shoppers who would otherwise have made a single purchase and never return, into a long term customer by way of personal rapport.

It had previously been assumed that shoppers had a preference for impersonal transactions. However, this mobile commerce study shows that both consumers and retailers have an inherent liking for the type of relationship that can fall under the guanxi label, even though the degree of that interaction may vary from one culture to the next.

According to Pavlou, “Nobody would argue that personal relationships are unimportant, but it is unfathomable that people in the U.S. would engage in such extensive communications and personal interactions for a small transaction.” He was referring to the fact that in China, for instance, a very small transaction where only a few dollars were spent could be the result of a communication that could take well over three quarters of an hour.

Google and ZenithOptimedia join to promote mobile commerce and marketing

Google has announced a new and ambitious partnership with ZenithOptimedia, a leading media services agency. Together, the two companies intend to encourage brands to increase their spending in the mobile space. This includes promoting various mobile-centric services within the realms of marketing and commerce. Mobile commerce, in particular, is a major interest for Google as the company has been working to establish a foothold in this sector for the past two years.

Partnership spawns Horizon venture

Together, Google and ZenithOptimedia have launched Horizon, a joint venture that aims to provide consultancy services to large brands. Horizon will be responsible for highlighting the benefits that could be seen through engaging the mobile sector. More effective mobile marketing techniques could be a major boon for brands looking to engage consumers in a more dynamic way. With the number of consumers with mobile devices growing, marketing on this channel is becoming more important.

Horizon to promote the benefits of mobile commerce and marketing

Horizon will also work to draw some attention to mobile commerce, highlighting the benefits that could be found through the offering of comprehensive mobile commerce services. Consumers with smartphones and tablets have shown their strong interest in using these devices to purchase goods. As consumers become more mobile, their interests in mobile commerce are growing, creating promising opportunities for brands eager to connect with a new generation of consumers.

Google eager to establish foothold in mobile commerce

Google has been working to etch out a place for itself in mobile commerce, but already holds a formidable stance in the marketing space. The company recently reformed its AdWords platform in order to provide better services to marketers. The company has a strong interest in supporting the mobile initiatives that these marketers may have interest in and continues to make changes to popular platforms to support this. ZenithOptimedia has similar interests and is eager to see brands become more mobile conscious in the near future.