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Changing the Traditional Shopping Experience, M-Commerce Needs Not Being Met

We all know that E-Commerce is thriving, but with the advancements of Smart Phones, mobile commerce is quickly entering retailers’ realm as a necessary engagement with customers. Two new studies have come out, in the US and UK respectively, suggesting the implications of this emerging platform commerce.

The UK study carried out by research firm Vanson Bourne, interviewed 100 marketing and IT directors at retail business and 1,000 consumers in that country and reported:

  • 87% of retailers say M-Commerce will have an impact on shopping in the next two years, but only 16% have a mobile strategy in place while nearly 1/3 have zero plans to execute one
  • 42 % of retailers say that M-Commerce currently affects customer behavior at brick-and-mortar locations
  • 89% of retailers believe M-Commerce will be just as popular as E-Commerce
  • 21% of budget is the average amount that retailers expect to spend on a mobile strategy, however 10% already invest 40%-50% of budget into mobile
  • 60% of consumers say they use mobile internet while making purchasing decisions in store or while shopping online
  • 40% use mobile apps to make shopping decisions
  • 74% of retailers say they have a presence on the iPhone, yet 58% of consumers favor shopping and browsing on other devices
  • 25% of consumers say that they want to use their phones to make payments in-store instead of cash or credit cards

The US report conducted from Arc Worldwide (Leo Burnett’s marketing services branch), surveyed 1,800 mobile phone owners nationally. Titled “Marketing to the Mobile Shopper”, the research showed:

  • 50% of cell owners used their devices to shop online or to assist them while shopping in stores
  • There are two types of mobile shoppers:
  1. “Heavy” users who are attached to their devices and enjoy experimenting with new apps
  2. “Light” users that see M-Commerce as secondary to E-Commerce and use their mobile device to look up store hours or to locate a store via GPS
  • The “Heavy” user represents only 11% of the mobile shopping market meaning that the “Light” users needs are not being met

The report sums up by stressing the importance of not only creating a mobile web site but a mobile app as well.  Also saying that retail marketers need to engage and create customer experiences via their mobile device in relation to the day-to-day lives of consumers.

Companies like Brooks Brothers and ASOS have already gone mobile, but the bottom line coming from these reports is: adapt to mobile as medium to create meaningful experiences for consumers or face a loss of customers.


By Paul Fioravanti



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