Over the last 18-24 months, mobile commerce has become mainstream. Most people now realize that most e-commerce is run by mobile devices. M-commerce revenue is expected to reach $ 3.56 trillion by the end of 2021. This represents an increase of more than 22.3% of total revenues reported for 2020-2.91 trillion dollars. M-commerce growth statistics show that since 2016, m-commerce has seen an average increase of 33.8% per year! Every retailer knows they need to focus on mobile devices.
Unfortunately, there is a significant knowledge gap in the market. Mobile commerce is a new field, and because it is so efficient, it is surrounded by great hype. Sometimes this hype makes it difficult for businesses to find out what the key and actionable facts are.
In this article, we'll change that by giving you 4 critical facts about mobile commerce that you didn't know about.
1. The mobile store is already bigger than a desktop computer
If you are like most readers of our blog, you work from a computer. That means you spend a lot of time in front of a laptop or office computer. This may give you the impression that most people have access to the Internet on desktop computers (including laptops).
It is bad. Mobile devices already control more than 50% of all traffic in the United States, Japan, and other developed countries. It drives over 62% of all e-commerce traffic worldwide. It may sound unbelievable to you - but it's true and here's why.
Hundreds of millions of African and Asian consumers only have internet from their smartphones. As a result, Asian retailers - especially in Southeast Asia and China - are fully focused on m-commerce.
In the US and the UK, the new generation of smartphone applications offers a retail environment that is as good as a computer website. For this reason, people choose to shop more using tablets, phones, or a combination of events on mobile devices and computers.
For all these reasons, a growing number of global brands are finding that most of their revenue is driven by mobile devices - which will be discussed in the next section.
2. It is the primary source of digital income
The clothing retailer ASOS already earns more than 50% of its website and mobile device revenue. That's amazing - and most brands are still a long way from that number. However, most major brands, including Adidas and Nordstrom, receive more than 50% of their online sales from mobile devices.
Why is this happening?
First, desktops are limiting. You have your phone with you 24/7. This creates an infinite number of contact points, thanks to which you can be wherever your customers are. Second, big brands have a great variety. However, browsing in a physical store is physically limiting - and doing it from a computer is inconvenient. Mobile devices address this issue and remove physical (and time) constraints that prevent people from seeing additional content. Look at it this way. Mobile devices allow you to reach people no matter where they are.
Especially when…
3. Creating a world-class application is not complicated
Until 4 years ago, it was difficult to create an excellent mobile application. DIY builders were unreliable and restrictive. If you didn't want to have a design and feature set for cutting cookies, you had to hire developers who charged you thousands of dollars.
Things have changed dramatically since then. Today, you can turn any store built on Prestashop, Lightspeed, Magento into a world-class application. Unfortunately, many people still do not know how easy it is to create a global application using Yüce Software. Ideally, every seller wants to get into m-commerce as soon as possible. First, because you get so many new retail opportunities that you didn't have before. Second, because this technology still has a lot of room for growth. The sooner you start, the more time you will have to develop your knowledge and stay ahead of the competition.
For an example of what we mean, take a look at our next point at how brands like Adidas use mobile devices to innovate.
4. Mobile is not just for e-commerce
Adidas uses its mobile app to personalize purchases in brick-and-mortar stores. Specifically, Adidas provides consumers with a quiz and collects information about their use in the store. It then uses Salesforce to turn that data into usable, highly converting in-store CTAs that lead users to the items they want. It also uses the data to show users blog posts, product pages, and other content on the site in a targeted way that helps sell more.
Here's one way to use mobile apps: connect physical stores to digital information. It's top-notch, efficient, and in the future, it will be something most retailers do. And it's just one of the many ways retailers will use mobile apps to overcome e-commerce in the future.
We may encounter ads in stores that respond to our mobile devices and the data stored on them, in the style of a minority group. When that happens, brands that have experience in m-commerce will be richly rewarded in the market, which is just another reason to consider switching to a mobile device in 2021.
Yüce Software enables retailers and agencies around the world to create premium e-commerce and retail applications. You can contact us for more information.