Constantly changing market and mobile devices revolution present a huge challenge for e-commerce companies. To survive and strive businesses must follow consumer behavior trends closely and adjust. One thing is sure – M-commerce is taking off big in shopping.
Mobile commerce, or m-commerce, is a term used to describe banking or paying bills, buying goods and services online using a mobile phone. And the rise of mobile devices has changed the way retailers do business.
Today 1 in 10 dollars is spent using smartphone or tablet.
The challenge here lies in the fact that most of users are likely to leave a website if loading time is too long, or a site is not optimized for mobile devices. Experience is a core issue. Users now pay more attention to the appearance, utility and easiness of using a product. People are more active on mobile devices and logically want friendly interface. Web design that is compatible across different devices is a must.
According to the report by Delloite, in the last year of 2015 an impressive increase happened in the amount of people shopping on smartphones. Considering that 88% of youngsters own a smartphone, the trend is not that surprising. The convenience is a significant factor. People can watch TV and browse through items on a phone.
What is m-commerce?
Mobile commerce (m-commerce) is a term used to describe banking or paying bills, buying goods and services online using a mobile phone. As next generation e-commerce, based on the wireless application protocol (WAP), it enables access to the Internet without a need to plug in. The industries affected by m-commerce include: financial services, mobile banking, telecommunications, service/retail, information services.
M-Commerce Statistics in 2016
By the beginning of 2016, smartphones and tablets accounted for 34% of e-commerce sales worldwide. That indicates a huge shift towards mobile devices, while shopping through desktop use has been losing its ground. 36% of people go online via mobile devices while shopping in store. And over half of shoppers research products at least once a week by mobile phone.
Price checking and research became more common than purchasing, want it or not. Consumer habits include shopping mobile while watching TV (58%), while in cafe or on the move (17%). A big attraction to use mobile for e-commerce is in less time spending, as peak time for purchases is between 8 and 10 PM.
Most of the time spent mobile is spent on mobile apps opposed to websites. Tablet users spend 20% more money online than smartphone users. The number of m-commerce retail sales is expected to rise to $65 billion for tablets, and to $30 billion for smartphones and other devices by mid-2016.
In US, the forecast is that m-commerce is going to account for 25% of all online sales by 2017.
Regarding apps and mobile websites, the figures to consider are:
- 127 minutes daily is the average time for users to spend on apps;
- 78% of mobile users access shopping sites through apps;
- 40% of mobile users having bad experience go to competitors;
- 57% of users visit company’s site or app while in store.
Room for M-commerce Growth
Majority of retail businesses agree that offering mobile features and nice mobile customer experience is crucial to maintaining market share. Great opportunities for m-commerce are in integrating mobile into search optimization and social media. As well as more effective personalisation and engagement with customers available using mobile.
Based on recent mobile trends, providing a good user experience across all devices is a winning ticket. Users are impatient when shopping and most of them leave a website if it loads long, has errors or complicated structure. So ensuring a website is mobile-friendly is important.
Users are more and more shopping through mobile devices, and mobile ads and offers become more effective, leading to positive conversion rates. This indicates the urge for advertisers to adjust strategy and be more focused on mobile as the main sales funnel.
Do you want to know the cost of m-commerce apps?
Responsive and adaptive web design is standing firm, both aiming at providing better mobile UX regardless of a device type or screen size. Effective and easy website navigation on any device positively impacts SEO and improve customer experience. Details that also matter are load times, small active elements of mobile apps, text adjustments, inconsistencies between desktop and app versions, too many annoying popups.
With m-commerce you need to stay on top of newest trends. It is changing very fast, and the behavior of users is always evolving. Keeping up with daily news and developments related to a specific industry may eat some time but is of benefit. Later on we will be covering more m-commerce trends and looking into myths about mobile commerce, stay tuned.
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