If you happen to be one of the 6.4
billion smartphone users worldwide
(80% of the world’s population), you understand how much your daily routine
depends on it. Checking your inbox and scrolling through the news feed has
become our new habit. Multiple video calls with colleagues throughout the day,
and social media before bed—most people have their phones around all the time.
What’s more, people also use smartphones to
save time—paying for food delivery or shopping online is now common practice.
That’s where m-commerce comes into play and helps users make their online
transactions more convenient.
In this article, we’ve expanded on the difference
between m-commerce and e-commerce and handpicked the latest stats and trends in mobile commerce to help you monitor customer behavior and
make strategic improvements on the fly.
What Is M-Commerce All About and Why Should You Use It?
Innovative m-commerce technologies enable customers
to scroll through online stores and place their orders without laptops or
desktop computers. We use smartphones to order a new outfit or buy courses on our
favorite learning platform while sitting in a taxi on our way home.
Apart from shopping, m-commerce is a great way to use
online banking, manage your bills, and pay for numerous services with your
mobile device.
But still, how is m-commerce different from
e-commerce? Electronic commerce enables customers to buy online using their
computers, while m-commerce involves the use of mobile
devices. It’s uncomfortable to use
laptops on the go, making it challenging to conduct transactions fast and efficiently.
M-commerce is the process of buying and selling goods
and services through mobile
devices, such as smartphones and
tablets. It includes any transactions that take place via a mobile device,
regardless of the payment method used. With the rise of mobile usage,
m-commerce has become an essential part of e-commerce, with many businesses now
prioritizing mobile optimization for their websites and m-commerce applications.
This process offers numerous benefits to both
consumers and businesses. For consumers, it provides convenience, allowing them
to shop and make purchases on the go, without the need for a desktop computer
or laptop. With m-commerce applications, people can compare prices, read
reviews and make purchases from anywhere, at any time, with just a few clicks. For businesses, m-commerce provides an
opportunity to reach a broader audience and increase sales.
As mobile
usage continues to grow, businesses that prioritize mobile optimization of
their websites and m-commerce
applications are better
positioned to capture the attention of mobile
users and offer them a
seamless shopping experience. In addition, this provides businesses with
valuable data on consumer behavior and preferences, allowing them to better
tailor their offerings and marketing strategies.
There are several types of m-commerce, each with its
own unique advantages. Mobile
applications, or “apps,” are a
popular way for businesses to offer a dedicated shopping experience to mobile users.
Many companies have developed their own apps, which allow users to browse
products, make purchases, and receive personalized recommendations.
Mobile wallets, such
as Apple Pay and Google Wallet, are another popular form of m-commerce. They
allow consumers to store their payment information securely on their mobile devices and
make purchases with just a few taps. Mobile
wallets also offer enhanced
security features, such as biometric authentication, which can help protect
against fraud and identity theft.
What’s more, mobile
commerce allows retailers to
interact with consumers in a more personalized way. User-friendly push
notifications, AI integrations, one-click checkouts, and various payment
options provide clients with personalized shopping experiences, increasing
customer retention.
In addition to personalized shopping experiences, mobile commerce is also an extra marketing channel. With special
prices and free shipping for app users, mobile-only offers, coupons and promo
codes, such apps can go viral and leverage their customer base much faster.
We
shortlisted the core benefits of using m-commerce for e-commerce businesses:
·
Higher Revenue
By the end of 2022, mobile commerce sales hitted $3.56 billion, which
means this shopping channel is relevant in the global world.
With a more straightforward checkout process,
personalized push notifications and convenient online transactions, customers
are more encouraged to make purchases using their mobile devices.
So, if you want to satisfy customer needs and
generate more revenue, building an app for your retail business is a must-have
to stay afloat in such a saturated market.
·
Enhanced Customer Experience
Intuitive navigation within an app, social media
integration to share feedback, and personalized push notifications encourage
customers to use such apps again and again.
Equipped with a user-friendly app, it’s
much easier to grab your customers’ attention by providing them with a
personalized buying experience and a seamless user journey.
·
Extra Marketing Opportunities
With an m-commerce
app, you have an opportunity to
reach your customers directly and integrate your solution with social media
platforms. You can encourage your audience to share feedback, communicate with
each other, and spread the word about your company.
If your app goes viral and becomes popular with your
audience, you can monetize it by placing in-app ads to drive more revenue.
·
Insightful Data
Mobile analytics can provide you with insight into
your customers’ browsing history, patterns and user behavior.
You can use this data to boost customer retention and
provide your audience with more unique and personalized offers like segmented
promotions and recommended products. This sophisticated mobile analytics
enables you to target consumers with relevant offers that are more likely to
convert.
The Latest Trends in Mobile Commerce to Follow in 2023
In today’s fast-paced world, people want to do
everything quickly and efficiently. With technological advancements, we’re
seeing a significant shift toward mobile
devices and their usage for
everyday activities. One such shift is towards mobile commerce. Here
are the latest trends of this phenomenon you should know in 2023.
·
Intelligent Chatbots
Did you know that businesses save up to 30%
in customer support costs with the help of AI-powered chatbots?
Such a solution is a great way to optimize resources and provide consumers with
high-quality service.
Chatbots answer customer queries 24/7, help them find
certain products, resolve simple issues and even place orders.
These smart assistants can mirror human-like
communication and discern customers’ needs, making it much easier to provide
users with a personalized experience and keep them engaged.
Dominos uses
a smart chatbot to help customers choose a pizza, reorder any of their previous
purchases and estimate the delivery time without leaving a Messenger.
·
One-Click Ordering
One-click ordering enables m-commerce apps to
store customers’ data in their profiles, so they don’t have to re-enter that
information manually. This saves your customers’ time and boosts your sales.
It’s
annoying for a user to re-enter their name, address and card details every time
they want to make a purchase at your store. As a result, mobile has an average cart
abandonment rate of 85.6%. Using one-click ordering, customers save
time, so this m-commerce trend is going to stay with us.
For instance, with Amazon’s one-click
ordering, consumers choose a default shipping address and payment method.
What’s more, if a customer wants to buy five goods at
once, the company does not need to charge them five times for shipping.
Instead, it combines these orders together to reduce shipping costs.
·
Progressive Web Apps
A Progressive Web App is a technology that enables
users to “install” a website on their smartphones and use it as an app. PWAs
behave like native apps and require less space on mobile devices.
These apps also provide users with such benefits as
instant updates, push notifications, offline access and short loading time. A
customer can install an app through the web browser and access it from their
device’s home screen.
Starbucks’
PWA was built to let customers look through the menu and place
their orders on the go even without a stable Internet connection. This
responsive and fast software provides customers with content-specific
animations, nutrition information and customizable orders.
·
Voice Shopping
Voice shopping enables consumers to use virtual
assistants like Siri and Alexa to buy online. Since 71% of customers prefer
to use voice search over text, businesses can benefit from using this mobile commerce future
trend. With voice shopping, customers can place their orders while cooking
dinner, waiting for a taxi or taking a walk.
Using voice commands, customers can search for a
specific product, track their orders, add items to a shopping list and make
transactions.
M-commerce
statistics show that voice
shopping has reached $40 billion in the last year.
Thus, if you don’t want to fall behind, optimizing your app for voice search
has become a vital practice to keep your business afloat.
Walmart enabled
customers to voice shop with the help of Siri and Google Assistant. To activate
this feature, users just have to say “Talk to Walmart” to their virtual helper.
This solution enables customers to fill a shopping
cart with groceries, apply a promo code, set up delivery time and proceed to
checkout.
·
Augmented Reality
Augmented reality isn’t limited to gaming Businesses
benefit from interactive experiences built with AR to showcase their products
and let customers try them on before making a purchase.
Augmented fitting rooms are used to try on different
clothing combinations or furniture recommendations.
Buyers can make sure a bed fits their interior. AR
has become a fantastic tool to boost customer experience and change the entire
concept of shopping.
The AR app market is expected to reach $15.5
million by 2023, so it’s time to start following this m-commerce trend
to outpace your rivals and generate more revenue.
Warby
Parker built an app that allows customers to try on an extensive
range of glasses without leaving their homes. Before making a purchase, users
can also share their selfies with friends, which increases engagement and
brings more users to the app.
Thrilling M-Commerce Stats
to Check Out
·
- M-commerce
market size is predicted
to hit $510 billion by the end of 2023.
- About 89% of
grocery shoppers use their mobile devices while visiting physical stores.
- Mobile accounted for 61.9%
of paid search click share in 2023.
- In 2022, mobile
commerce revenue in
the US reached $431 billion.
- Almost 80%
of users have bought online using their mobile devices within the last six months.
- More than 51%
of users prefer mobile web apps to other shopping channels.
Customers claimed web apps are convenient and have consistent UI.
- Voice commerce sales are expected to generate
$19.4 billion by 2023.
Mobile Commerce Examples: 3 Companies Dominating the
Industry
·
Coursera
As one of the largest educational platforms
worldwide, Coursera helps users hone their skills in various areas, from
science to humanities.
Coursera has 87+ million students and collaborates
with leading companies such as Google, IBM, Intel and Microsoft. The company
also partners with Duke University, Eindhoven University of Technology, Yale
University, Copenhagen Business School, Berklee College of Music and others.
Students can enjoy both free and paid video courses,
get certificates and even earn a college degree at home.
Coursera managed to bring its robust desktop UX to
the mobile m-commerce
application, which let students
from developing countries learn without limits. As a result, 20% of
students use Coursera on mobile
devices only. With $142.2
million million of annual revenue generated in 2022, the company is
expected to grow its value for years to come.
·
Target
This huge retail corporation takes mobile shopping to
the next level by offering exclusive features to app users. Customers can store
gift cards on their smartphones and use them at checkout.
With special offers for mobile users and
services like curbside pickup, Target’s Q1 sales grew by 19.78% to
$106.005B.
App users can also scan the barcode to apply all
their special offers, from gift cards to RedCard exclusives to save on their
purchases.
The app also enables customers to order with Drive
Up, allowing them to wait for their orders in a car.
·
Sephora
Sephora is a renowned chain of cosmetic stores that
allows all makeup addicts to try on hundreds of products from the comfort of
their own homes. Virtual Artist is a sophisticated app
equipped with facial recognition technology.
The app scans customers’ faces to ensure accurate
product placement. Then, users can browse hundreds of makeup products and try
on a certain foundation or lip gloss.
Apart from this feature, users can compare swatches,
match their makeup to the most suitable outfits and recreate the latest makeup
trends.
This is a great way to encourage consumers to stay
home during the pandemic and let them interact with their favorite store online.
Stay Aware of the Hottest M-commerce Trends with Omosoft!
M-commerce,
or mobile commerce, refers to the buying and selling of goods and
services using mobile devices such as smartphones and
tablets. It has become increasingly popular in recent years due to the widespread
adoption of mobile devices and the convenience they offer.
One of the biggest advantages of m-commerce is
its accessibility. Customers can make purchases from anywhere at any time, as
long as they have an internet connection. This makes it easier for businesses
to reach customers and for shoppers to find what they need without being
limited by physical location or working hours.
M-commerce trends also
offer a range of payment options, including mobile payment platforms such as
Apple Pay and Google Wallet. These payment methods are fast and secure, making
transactions quick and easy for both customers and businesses.
Another advantage of m-commerce is that businesses can offer their
customers a personalized shopping experience for customers. By analyzing
customer data and behavior, companies can tailor their marketing and sales
strategies to target specific customer preferences and needs. This can lead to
increased customer satisfaction and loyalty.
M-commerce also
provides opportunities for businesses to streamline their operations and reduce
costs. For example, digital transactions eliminate the need for physical
stores, which can reduce expenses related to rent, utilities and staff.
Additionally, businesses use mobile technology to automate certain processes
such as inventory management and order processing, which saves time and reduces
errors.
However, there are also some challenges associated
with m-commerce. One of the main challenges is security. Mobile devices are
vulnerable to hacking and other types of cyberattacks, which can compromise sensitive customer information such
as payment details and personal data.
Wrapping Up
M-commerce provides
valuable data insights that businesses can use to optimize their marketing
strategies and improve their customer experience. By analyzing customer
behavior and purchase patterns, businesses can better tailor their offerings
and promotions to meet customer needs and preferences.
Overall, m-commerce offers a convenient, accessible and
data-driven approach to buying and selling that is well-suited for today’s
mobile-centric world. By adopting m-commerce
strategies, businesses can reach
more customers, improve their sales processes and stay competitive in the
modern marketplace
With our app m-commerce development agency, it’s much easier to build
scalable and recognizable solutions and ensure your users enjoy secure and
convenient online transactions, one-click ordering, voice shopping, and
intelligent chatbots.
