The Present Stats of Mobile Commerce and the Future it Holds

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Mobile Commerce

In a world of 24*7 connectivity, there is an urgent need for your business to remain connected with your clients as much as possible. Mobile commerce could help exceptionally well in this effort. The concept has been introduced lately but mobile app development companies are making the best utilization of the same.

Wireless handheld devices (smartphones) play an important role in exchanging information and that’s the beauty of mobile commerce for your business. In order to exploit the potential of mobile commerce for their services, mobile app development companies are breaking every barrier to reach to the clients in the most specific way. As the content delivery with m-commerce is getting faster, the demand for this particular approach is on a all-time high today.

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According to the reports, U.S. consumers spent a minimum of five hours on their smartphones. Tracking 940,000 applications across 2.1billion devices, in 3.2 trillion sessions showing an overall growth of app usage by 11 percent as compared to the previous year. The gaming apps faced a decline rate of 4% whereas application related to sports, business, and finance had a steady influx of 25 percent and 43 in-time spent percent. The shopping apps are feeding the best over holiday period: Amazon scoring 38% of sales transaction in December 29th, 2016.

US Mobile Commerce Users

Enticing Mobile Commerce Figures

  • The number of active smartphone users is near to 72%
  • About 53% mobile users find it a better option to search over their smartphones
  • Nearly 60% users like to browse the web through their smart devices only
  • The smartphone market has become much larger than PCs whose total worth in the previous quarter was nearly 92 million
  • About 86% of users prefer using mobile devices to view Television and about 37% of users use the internet for non-television material news
  • The number of mobile users by 2020 is expected to go around 6.1 billion
  • The worth of mobile commerce is going to be $3.2 trillion by the end of 2017

Mobile Commerce in Different Sector

All these stats shout out loud for the potential m-commerce holds for the mobile app development companies. These numbers clearly predict that m-commerce is going to have a brilliant future in the times to come if businesses effectively embrace this technique. Mobile is revamping the market outreach for mobile app development companies by helping them establish a quick connection with the clients.

Change in the Mobile Landscape with M-commerce

Mobile technology is changing the way we interact with the businesses. With the focus on balancing the business, the power of business is shifting away from the players who are pretending to do the business to the ones who are actually contributing in business transactions i.e. the consumers and business merchants.

New changes in Mobile Landscapes

Right from the way consumers research for the product to the way they look for the services, the mobile is playing an important role in altering the traditional approach. Mobile commerce is also growing as the consumer’s, mobile app development companies, and the businesses prefer mobile transactions for their services. It is also changing the sort of payment that is involved in business and with the m-commerce in scenario, the cashless transaction is becoming prominent.

Putting M-Commerce into Perspective

M-commerce is steadily growing towards the right direction. Today, the worth of m-commerce is expected around $133 billion, which is much more than the worth of everything else combined together including consumer apps ($22 billion), enterprise mobility ($26 billion), mobile ads ($12 billion), wearables ($3 billion) etc.

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Let’s Draw a Clear Picture of M-Commerce in Different Sectors

Mobile’s share of E-commerce

M-commerce is a part of the huge e-commerce business. The mobile’s portion of e-commerce is growing faster than ever with a number of users taking interest into the same. Some of the major studies have predicted that m-commerce in the upcoming time is sure to grow as big as 46% by 2018 globally. This is a huge success for the m-commerce.

Mobile’s Share of Global Commerce

Mobile’s share is growing constantly in the global commerce market. As shown in the chart below. The sales figures for m-commerce/e-commerce apps are expected to grow faster. This prediction showcases the growth and the development in the related sector. The fact that m-commerce is making an impactful impression all across the globe among the users has given a wider scope of development for the same.

2020 Mobile Commerce

M-commerce is Yet to Match with the Consumer Behavior

Considering the fact that mobile has already surpassed the desktop sales years before and now people are spending more time over their phones, it is quite surprising that the elements of m-commerce have still not surpassed the e-commerce sales. However, surveys frequently predict that consumers’ behavior towards m-commerce apps is now on a rise.

Reference

There have been a lot of predictions about the growth of m-commerce applications by 2020. And, this represents the best time for the retailers who are looking forward to entering the market.

E-commerce chart

A Brief on Mobile Consumers and Customer Habit

Nearly half of the mobile users, the count of which is about 57%, browse from their mobile devices but only 25% of them make a purchase. A number of people like it to browse through mobile sitting from the comfort of the home. As the handy device can be used at any point of time, people like it to browse through their smartphones as it offers an effortless shopping experience.

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In addition to this, nearly 57% of users make purchases through mobile device while watching the Television sets. While the number of users who shop from their mobile sets from a cafe, restaurant or any other such place is near about 17%. Right from shopping to fun activities and to reading purposes, smartphones are the best partner for users today.

Here are Some Insight on Mobile Consumers and Customer Habit

  • Evening (between 8-10pm) is the best time when users indulge in shopping activities
  • Nearly 43% of users log in on their websites during this time to make the purchase
  • The daytime is another moment when most of the users indulge in shopping activities
  • At the daytime, nearly 26% people indulge in m-commerce activities

Since the rise of mobile devices, users have now deviated from laptops as well as from desktops. As more and more devices are optimized for shopping, consumers have got a host of channels to shop from. In order to be relevant to consumers, it is important for companies to offer services as per the requirements of the clients. Right from smartphones to the tabs and to the iPads as well, the choice of devices for a customer to shop from is immense. And, due to the demand, the number of service providers have skyrocketed as well.

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Mobile commerce application holds immense potential to grow extensively in the future. The channel is not only providing greater ease to the clients to shop from their smartphones, but also helping retailers to grow their business in the right direction. Thus, the reason for the gradual shift of consumers from desktops to their smartphones is the potential growth of m-commerce.

Consumer Habits

If you are among those who shop frequently, you will agree that consumers like to shop from the comfort of their homes that too on a handy device. As their smartphones offer convenience to them, customers like to shop from their handy devices alone. From browsing to shopping, a user’s smartphone opens up the door for them in addition to offering ease and convenience at the same time.

Habits in Mobile Commerce

Shopping from mobile devices usually peaks in the evening between 7-10pm. Nearly 43% of consumer login on their devices during this time, which is why the sales upsurge during the evening and at night. It has also been seen that sales from mobile devices increase during lunchtime when a lot of users browse through social networking sites. The percentage of consumers logging on their smartphones during this time is near to 26%.

Barrier to M-commerce

Nearly 22% of consumers do not like the practice of shopping from mobile devices, the reason being the lack of security. Around 16% of consumers find it too fiddly to shop on smartphones and 15% feel that smartphones do not allow them to see the products clearly. The age of consumers is also a factor that determines the choice of consumers to shop from mobile devices. Those aged over 65 stated that they don’t like the idea of shopping on smartphones.

More Reasons to the Barrier

  • Consumers believe they may easily make mistake while shopping from smartphones and that’s why they don’t indulge in the activity.
  • Some believe that mobile devices are poorly designed and the element of engagement misses from such sites.
  • For some users, mobile sites do not offer them a clear view of items and thus they do not like to shop from such sites.
  • For a number of consumers, the lack of a complete product range is one of the most important concerns for not shopping from smartphones.
  • Users also believe that shopping from smartphones wastes too much data allowance, which is why they do not like the idea of shopping from mobile phone websites.
  • A category of users also believes that shopping from smartphones takes too long and thus they do not like the experience.
  • The true shopping experience misses when shopping from smartphones and thus consumers don’t like to shop from their mobile phones.
  • For a number of users feeding their addresses and card number is too exhaustive.

A Brief on the Advantage of M-commerce

Although a number of consumers do not like the idea of shopping from smartphones, there are a number of reasons to shop from the same. Below mention graph shows the point of advantages.

Advantage of Mobile Commerce

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The Future Aspect

M-commerce holds a great future. The retailers who are already practicing the strategy are sure to get effective results. Being an innovative strategy, m-commerce is a way for retailers to establish a smooth connection with the users. However, the businesses need to customize the experience for the users in order to make it easy to onboard the clients. As the scope of mobile-commerce applications is getting bigger every day, it is sure to become a prominent shopping way for users in the future.