Tag: mobile payment platforms

Mobile commerce is transforming the digital world

Report highlights the growing prominence of mobile shopping and its effect on digital commerce

A new report released by comScore shows that mobile shopping is on the rise. Shopping from a mobile devices is becoming more popular among consumers, and the sales coming from mobile shopping are boosting e-commerce spending numbers. Mobile commerce is still a small percentage of overall digital sales, representing some 11% of e-commerce. Despite this, however, mobile shopping is beginning to have a major impact on the e-commerce space, transforming the way merchants conduct business online.

Digital spending is on the rise among mobile consumers that enjoy shopping for and purchasing products online

The report from comScore shows that digital commerce has seen a major increase in spending thanks to mobile commerce. Consumers are embracing the idea of shopping for and purchasing products online with their smartphones and tablets. As retailers begin adopting better mobile commerce services and platforms, mobile shopping is expected to continue growing and influencing the overarching digital commerce space.

Mobile commerce saw a 47% increase in spending during the second quarter of this year

Mobile Commerce and its affect on digital commerceThe report shows that mobile commerce grew by 47% during the second quarter of this year, significantly overshadowing the growth this sector had seen in previous quarters. By comparison, conventional e-commerce spending grew by 10%, while discretionary retail spending grew by just 3%. The report predicts that such growth is not likely to be sustainable throughout the remainder of the year, but mobile commerce is likely to continue gaining attention among consumers whose lives are tethered to mobile devices.

Mobile commerce adoption is on the rise despite certain challenges that consumers have faces in recent years

Mobile commerce has faced many challenges over the years, especially when it comes to the security of a consumer’s financial information. These challenges have slowed adoption somewhat, but consumers have not been dissuaded from shopping online with a mobile device and making mobile payments. The mobile space is likely to continue having a significant impact on e-commerce as a whole, especially as new mobile payments platforms are made available and people use these platforms more regularly.

Alibaba may grow more aggressive on mobile commerce

Mobile commerce may have a role to play in company’s future

Alibaba is one of the largest e-commerce businesses in the world and currently dominates the Chinese market. As a native to China, Alibaba was able to succeed in establishing itself as the country’s premier e-commerce businesses due to the lack of competition coming from companies like Amazon and eBay, which had been almost entirely exclusive to western societies in the past. In May of this year, Jack Ma, the company’s founder, stepped down as CEO of Alibaba and was succeeded by Jonathan Lu. Lu has remained relatively reserved concerning the future of the company, but believes that it must adapt in order to retain its leadership in the e-commerce sector, and that means growing more accommodating of mobile commerce.

Competition could force more focus on mobile services

Jonathan Lu and Jack Ma share a many of the same ideologies when it comes to e-commerce and business. Both have been working together for several years and both have taken note of the rising importance that mobile commerce is playing among consumers. With more people beginning to rely heavily on mobile devices, the need for Alibaba to provide comprehensive mobile commerce services to these consumers is becoming too important to ignore. This is especially true as both Amazon and eBay look to provide such services to consumers and find some foothold in the Chinese market.

Alibaba expected to go public in near future

mobile commerce chinaAlibaba already has some mobile payment platforms in place, but the company is beginning to feel pressure to become more aggressive on this front, especially if it plans to go public in the relatively near future. Since 1999, Alibaba has been a privately owned company, but that is likely to change in the coming years under Lu’s leadership. If the company where to go public, its approach on mobile commerce could generate a great deal of traction with investors due to the popularity of mobile technology and mobile-centric services.

Public offering has not yet been announced

Lu has thus far only alluded to Alibaba going public in the future. Before the company launches a public offering, it is likely to take steps to ensure that its mobile commerce foundation is well suited to the current needs of the market. This in itself could be a time consuming endeavor due to the changing interests of consumers and the increasingly problematic security issues that exist within the mobile commerce field.