Starbucks sees strong potential in mobile payments
Starbucks has seen a significant degree of success through its mobile payments initiative. The company, which began embracing mobile payments only a few short years ago, continues to see more consumers show interest in the idea of mobile commerce with each passing day. The company now reports that it processes more than 3 million mobile transactions every week, and expects that this number will continue to grow as the company begins to put more focus on innovation in order to continue capturing the favor of tech-savvy consumers.
Company continues to focus on innovation
Mobile payments are quickly becoming a staple for Starbucks, but they have not yet become the company’s lifeblood. The company has been able to offer consumers a more convenient and efficient way to pay for products, but Starbucks is beginning to look for ways to improve the mobile payments experience. As such, the company has a goal to further bridge the gap between the physical world and the digital world.
Starbucks aims to connect physical and digital worlds
Bridging this gap can be somewhat difficult given the vague nature of the separation of these two realms. Starbucks is keen to create a deeper experience for consumers when it comes to mobile payments and shopping in physical stores. Part of this involves providing consumers more information concerning certain products and giving them the opportunity to engage in this information in a dynamic fashion. The company also has plans to put emphasis on its line of health and wellness products, and will offer these products through a variety of mobile initiatives in the future.
Mobile payments find support throughout retail industry
Mobile payments have been well received by Starbucks and its consumers. Starbucks is not the only company showing a strong interest in mobile payments. Much of the retail industry has become enthralled with the concept of mobile commerce. This interest is largely driven by the increasing number of consumers with smartphones and tablets who are interested in a new form of commerce.
Mobile commerce experiencing strong growth in retail
IBM has issued a new report concerning the growth of mobile commerce in the retail sector. The report — “Online Retail Index” — shows that mobile commerce has been growing in popularity among mobile consumers that favor their smartphones and devices over traditional means of shopping. Many of these consumers have become very comfortable with the concept of shopping online but are becoming less likely to remain tethered to stationary computers while doing so. Mobile technology has allowed these tech-savvy consumers to shop wherever they are, enabling them to shop more frequently and, in some cases, spend more money.
Tablets contributing to expansion of mobile shopping
According to the IBM report, mobile commerce grew by 31% in the first quarter of this year, up from where it had been in the same period of 2012. The report notes that growing tablet use is a major contributing factor to the growth mobile commerce is experiencing. Many consumers consider tablets to be convenient mobile shopping platforms. Larger screens offer better functionality with conventional e-commerce sites, making these sites easier to navigate removing some of the problems consumers have had with purchasing products.
Online sales are becoming increasingly mobile
The report indicates that mobile commerce now accounts for 17.4% of all online retail sales. This is expected to grow in the future as more consumers become acclimated to the concept of mobile shopping and purchasing products with nothing more than their smartphones or tablets. IBM predicts that growth will be sustained by retailers’ ability to provide consumers with a positive shopping experience and their ability to cater to tablet users.
Interactive technologies help attract consumers to mobile commerce
The IBM report notes that the use of interactive technologies, such as augmented reality and QR codes, has helped boost the adoption of mobile commerce. These technologies have been able to engage consumers in a new and dynamic way, encouraging them to make purchases of products that they are most interested in. In the case of QR codes, consumers have been able to make use of retailer discounts at a higher frequency, as long as they purchase products from a mobile device.
