Mobile Commerce expressed their originality during the year 2015. M-commerce sales in the U.S has doubled; the main reason for this growth is the usage of smart phones, they establish smooth buying experience, better mobile search and context driven search. The same trend is expected to happen in the future years.
A research has found that, in the US, mcommerce sales may reach $123.13 billion by the end of 2016; that is, it may have 39.15% increase, when compared to the previous year 2015. m-commerce accounts, one-third of the total e-ommerce sales.
The main reason for this bulk growth is, smart phones. The orientation that took place in 2015, has a special place in the history of m-commerce and such thing never happened before.
Bob Sherwin, the senior director of acquisition at Wayfair, the e-commerce furniture company, said that, people who are willing to make purchase through mobile has increased a lot. The amount of transactions that are taking place through mobile has increased to a great extent and this amount has doubled since the late 2014.
In the U.S, it is expected that, by the end of 2020, the smart phone m-commerce sales may capture $129.44 billion and its growth rate in the country is 18.3%.
Most of the people make their m-commerce purchase via tablets. About 50.6% of the total m-commerce sales happens in the tablets. Their growth rate will remain robust. They will be fast enough to keep up with the smartphones. By the end of 2017, more than 50% of the m-commerce sales happens via the smart phones, by surpassing the tablets.
Tablets are also growing, but, their growth has become lesser when compared to the past days. By 2020, the tablets growth is expected to reach $100 billion.
Reasons to focus on m-commerce
There is no doubt that, the usage of smart phones continues to grow for the past few years. people have started to combine their shopping experience with their smart phones. As days pass by, everything becomes handy. According to the report from the popular journal, mobile web adoption has increased 8 times when compared to the web adoption, which happened during 1990s and early 2000s. Most of the business has become user friendly at present. Concentrating on the m-commerce, will develop the e-commerce gradually.
Here are the reasons, why to focus on the m-commerce for the future of business and also the e-commerce.
- Convenient shopping
More than 15% of the mobile traffic are due to the mobile internet usage. Now-a-days, browsing the net has become one of the daily habits of the people. If a person has no time to shop by visiting the shop directly, then they will prefer to shop online. Many mobile shoppers are brilliant enough to browse about the particular product before they make a purchase.
To buy a product in online, people just fill their cart and they make a payment. If a person owns an e-commerce store, it is important to note, of the store’s traffic and then find out, what percentage of sales happens through the mobile. Find out, how comfortable the user will feel, if the website is optimized for their device. If the e-commerce site is optimized for all the devices, then that site will have huge business. If the site is not mobile friendly, then, the site will not have the expected business. The mobile shopping enhances the happiness among people with these three ways.
- Simultaneous usage
It is the process of using one than one device simultaneously; that is, using laptop, smart phone and tablet within the same retail store to complete the activity that may or mayn’t relate to all the devices; like shopping.
- Sequential usage
It is the process of moving from one device to another, not at the same time to achieve a task like shopping; that is, the person can start purchasing from the tablet and end their purchase on their smart phone.
- Singular uasge
It is the process of completing the activity with one device. Most commonly used devices are, laptops, tablets and the smart phones.
To be a successful e-commerce store owner, it is important to offer a site with a simple, enjoyable and easy navigate experience to the visitors of the site.
- The effectiveness of mobile re-marketting
Each and every person use the electronic devices to accomplish a task; as they continue to use, they will be influenced to use them for making a purchase on the e-commerce sites.
Mobile re-marketting- it is the similar way to display the advertisements on the devices, while the user is accessing some other pages and make the users to visit the advertised site.
Mobile-commerce can be improved by focusing on the re-markretting. The click rates of the ads on mobile devices are very low. Their click rate will vary between 2-5%. The main reason for this is, the market is not mixed up with many advertisements.
If the firm continues to invest in re-marketting, they may improve their click rates. Display ads will have better output on the smart phones, when compared to other devices.
The display ads can be purchased based on the cost-per-click strategy rather than a cost-per-impression basis. If the ads are paid for the other kind, then it is considered as, they are just paid for their action; but if they pay based on the click rate, it means that, they get paid because, people happened to see it.
By following the better re-marketting strategies, people can improve the m-commerce for their sites. The unrelated ads may irritate the user, which will result in the poor click rate.
- Growth of mobile payment
A e-commerce merchant has to take many paths, when it comes to the matter of mobile payment. The aspect of this is, finding where the customer is, and providing the easy solutions for their requirements. Many users feel mobile payments as the most effective one for completing their purchase and they find it as the most effective way for improving the e-commerce business.
The two helpful ways to the growth of mobile payments are as follows,
First, the e-commerce site should be compatible with the popularly used mobile payment platform on the current markets. Some of the popular mobile payments include, Google Wallet, PayPal, LevelUp, Venmo and many others.
Second, the e-commerce sites should adapt and maintain the most flexible mobile payments method.
Apply the same to the e-commerce business and m-commerce business to enjoy the fruit of success.
- Improved mobility
When considering mobile, many businesses will neglect the connection between their business mobile presence and their in-store experience. If the company tries to integrate these two, the company can have higher sales and they also have long-term loyalty. This is the problem with most of the companies.
By the end of 2017, mobile sales will make up more than 9% of the total online sales. This m-commerce is expected to improve gradually. As days pass by, most of the e-commerce purchasing will be done through smart phones and other mobile devices.
The era of development of the m-commerce has started and it will continue to take over e-commerce in the future years to come. It is expected that, if companies started to provide better mobile experience, more and more people will move towards m-commerce.
Anand Rajendran is CEO and Co-Founder of Dectar, best PHP scripts development company located in India. Dectar Apps is a part of Casperon Technologies a leading social and mobile development company which is Developing Uber for X apps for the past 3 years. I’m a Tech geek, Digital marketing expert, Entrepreneur, and Atheist who loves to write everything about PHP Scripts and mobile application development.