Over the last few years - and in 2020 especially - we've seen a massive increase in online shopping. Customers love the convenience of shopping online and, in the face of COVID-19, it means you don't have to leave the safety and comfort of your own home. Last year, the e-commerce market raked in over $2.91 trillion dollars worldwide. And the majority of sales are said to have come from mobile transactions. This year, the online shopping trend known as m-commerce is expected to account for over 70% of total e-commerce retail sales. With the majority of the market shopping from an app on their phone - even Instagram and Facebook have 'shop now' buttons - you can't afford to miss out on the m-commerce action. Here are a few top advantages to including m-commerce in your business...
The rise of m-commerce
What is m-commerce?
Mobile commerce, also known as m-commerce, is the use of wireless handheld devices like smartphones and tablets to conduct commercial transactions online. This includes the purchase and sale of products, online banking, and paying bills. The use of m-commerce activity is on the rise. According to market research company Statista, total mobile commerce sales worldwide is expected to reach $3.56 trillion in 2021.
What are the advantages?
1). Better customer experience
Let's be honest, most of us are pros at navigating our smartphones and other mobile devices - they're familiar technology. Add to that the fact that mobile apps are 1.5 times faster at loading data and search results than traditional websites, and you have an easy answer. A mobile shopping app is easy to use, convenient and can become part of your customer's regular shopping routine. Almost 50% of retailers have a mobile app and more than 67% of consumers have downloaded a mobile retailer app recently.
2). Direct communication
While businesses can communicate with customers through traditional means like newsletters and e-mails, there's nothing quite as direct as a push notification. They're instant, unobtrusive, and provide consumers with useful information about promotions, new products, sales or updates. This simple and direct line of communication is one of the reasons so many companies are choosing to create m-commerce applications.
3). Broader reach
If you're simply relying on foot traffic or newsletter sign-ups, you'll be glad to know that an m-commerce app allows you to reach a much wider audience. According to Statista, there will be 3.8 billion smartphone users worldwide by 2021. And anyone with a smartphone becomes a potential customer. Getting into the m-commerce market means your customers can shop from anywhere at anytime, whenever it suits them.
4). Improved customer data
With the right features on your m-commerce app, you'll be able to track everything from where a customer discovered your product and how they made their purchase decision to where they're based and how they rate your service. With a brick-and-mortar store, it can be difficult to obtain this kind of information from a customer before they leave. Detailed customer data gives you valuable insights into things like purchase intent so that you can understand the habits and preferences of your target audience. All this is crucial for a successful business, and leverageable in terms of marketing.
5). Increased marketing opportunities
Thanks to the point above, you'll be able to use your m-commerce app to reduce marketing costs and make campaigns that much more effective. You can reach customers directly and, if your app becomes very popular, you could think about placing ads within it. Integrate the app with social media platforms to encourage users to spread the word and get more people talking about your brand and products. Just remember to keep monitoring and analysing traffic on your app so you know which new marketing strategy to use when.
Keen to get in on the m-commerce action? We've got loads of ideas to help your business succeed in this new market. Click here to find out more, and discover the benefits of being part of the m-commerce gold rush.