Did you know?
More than 46% of people spend around 4-5 hours on their mobile devices on a daily basis.[i]
People today use their smartphones for almost everything, and shopping online is no exception.
In fact, 79% of people who own a smartphone have purchased something online in the past 6 months.[ii]
This is probably why most eCommerce businesses with a mobile app derive a three times higher conversion rate than stores with just a mobile responsive website.
Considering the spike in the number of people using mobile devices to shop online, it’s crucial for eCommerce businesses to invest in mobile commerce or m-commerce.
Let’s dive deeper to understand why m-commerce is growing so fast, and why you should invest in it.
Why M-Commerce Is Growing So Fast?
According to a study, Mcommerce sales are projected to exceed $430 billion in 2022 and $710 billion in 2025.[iii]
The numbers indicate that mobile commerce is growing at a faster pace than ever before. And this growth is directly connected to how users are accessing the internet.
Since smartphones and high-speed internet are easily accessible in many countries, users prefer smaller gadgets like phones and tablets over PCs for internet browsing.
This highlights the need for brands to pace up with the trend and embrace mobile commerce on top of the existing eCommerce platforms.
Even bankers and payment providers noticed the trend and started introducing banking apps to allow convenient transactions to be made on the mobile screen.
The technological shift even gave birth to cashless digital payments.
Reasons eCommerce Businesses Need to Invest in M-Commerce
Whether you are a big or small business, mobile commerce is the need of the hour. Read on to know some of the benefits of M-Commerce.
Better Overall Customer Experience
The emergence of eCommerce itself has changed the buying patterns of users. eCommerce enabled customers to access a wider range of products, compare pricing, and shop from the comfort of their homes.
M-Commerce further enhanced this experience by bringing shopping to their fingertips. Moreover, M-Commerce offers you certain features that can’t be found in eCommerce, such as:
Mobility: Even though laptops are portable, shoppers don’t always have them on their hands. Considering people these days carry their phones everywhere they go, m-commerce makes online shopping more convenient.
Reachability: M-Commerce enables businesses to send push notifications which helps them expand their market reach.
Location-tracking: Online retailers can leverage m-commerce apps to find user locations using GPS and Wi-Fi. This allows eCommerce businesses to segment their audience based on location to drive better conversion and boost sales.
Phenomenal Growth Potential
Mobile commerce has a larger user base and shows no signs of slowing down.
In 2021, mobile commerce sales were expected to account for 6% of all US retail sales. But by 2025, Statista forecasts that m-commerce sales will make up over 10% of all US retail sales, which would be a growth of 7 percent since 2018.
Mobile commerce acts as an invaluable marketing channel to reach a wider audience, have a direct connection with end users, and increase conversions.
Remember, every person with a mobile device is a potential customer.
Insightful Data Analytics
Mobile commerce also provides businesses with insightful data analytics that enables them to better target their audience and increase engagement.
Mobile apps provide a more detailed and personal way of monitoring customer buying behavior. On a website, it’s not possible to track your visitor unless they have logged into your site. However, that’s not the case with a mobile app. Since your customers are always logged into their accounts, you can easily monitor and track their activities on the app like what products they’re viewing, products left in the cart, or user engagement rate.
You can use these insights to create personalized offers, run drip campaigns, or give out discount coupons.
An Opportunity to Establish Better Connections
Today’s customers are surrounded by an immense amount of advertising – paid media ads, banners, flyers, social media ads, and what not – thus, it gets difficult for businesses to stand out.
However, mobile apps give you an opportunity to make a sincere and genuine connection with your customers. You can send personalized content and offers based on the data collected, show appreciation with better loyalty programs, and capture and act on feedback.
Variety of Payment Options
Integration of a wide variety of payment options not only reduces friction in the checkout process but also encourages users to complete their purchases.
While using a website, it’s not possible to complete a purchase without picking up your phone for an OTP. However, on a mobile app, users can easily make a payment with one click. Thus, the seamless experience persuades users to choose a mobile app over a website.
Needless to say, mobile commerce is here to stay. As smartphones have changed the way we communicate, gather information, and shop online, mobile commerce is no longer a good-to-have but a necessity for eCommerce business owners.
Want to Leverage the Power of M-Commerce? Contact Us!
Popular Blog Posts