The future of mobile commerce will drastically shape consumer habits.

Businesses can’t overlook the vital role mobile commerce will play in the future of ecommerce

Mobile commerce (m-commerce) refers to online transactions that are made using a wireless device such as a smartphone or tablet instead of a computer.

Most people have taken part in mobile commerce as a lot us now buy or sell goods and services online, and the growth of the mobile commerce market looks set to continue at breakneck speed. In fact, mobile commerce sales could make up the largest percent of ecommerce transactions in just a few years.

This means the future is looking bright for mobile commerce. Organisations have already adjusted to changes retail due to the rise of online shopping, resulting in an ecommerce market worth trillions of dollars, yet the rise of mobile commerce looks set to bring in what many experts are calling the next generation of ecommerce.

Types of Mobile Commerce

To understand the future of mobile commerce it helps to know what types of transactions it features. This is because there are a few different types of mobile commerce transactions, highlighting just how diverse the market is becoming thanks to the evolution of mobile devices.

Online Shopping

Easily the most recognised form of mobile commerce is online shopping. This involves buying a good or service online using a mobile device as opposed to a computer or laptop, which were previously the main methods for online shopping.

As the future of mobile commerce grows, consumers are moving away from shopping online using their computers, instead choosing to buy and sell goods with their smartphones or tablets. For instance, of all smartphone owners 62% have made used it for online shopping – and that’s just in the past six months.

Retailers are taking note too, with increases in mobile optimisation and responsiveness on their ecommerce stores to accommodate the growing number of online shopping transactions happening on smartphones.

Mobile Banking

Anyone that has a mobile banking application knows just how convienent it is. Various banking transactions can be made from the palm of your hand, allowing payments to be made, money transferred, and accounts checked from a single device.

Compared to going into a bank, the difference is night and day, which is why the future of mobile commerce is being heavily driven by mobile banking.

What is appealing about this feature is that it’s available around the clock, so visiting the bank is rarely needed anymore, meaning less time commuting to the bank and no more queuing to speak with the bank teller.

Banks are also a driving force behind this component of mobile commerce. The services offered on mobile banking apps have significantly reduced how many people need to visit their bank branch, helping banks save money by reducing costs associated with handling so many daily transactions.

The limitations are that you can’t withdraw physical cash using mobile banking, although the next form of mobile commerce means it may not be much of an issue in the future…

Mobile Payments

Mobile payments are One of the latest innovations in mobile commerce and one that is going to be at the forefront of the future of the market. This type of m-commerce transaction involves using a mobile device to pay for products or services instead of using cash or credit cards.

Technology is helping to facilitate the fast growth of mobile payments, with mobile applications from PayPal, Google, Android, and even Facebook providing consumers with easy access to mobile payment systems.

As mobile commerce has developed, mobile payments are quickly becoming widespread throughout the retail industry. From major supermarket chains to locally-owned stores, price points with mobile payment integration are more common than ever – expect this to only grow in the future.

In fact, many are touting mobile payments as the long-term replacement for credit cards, gambling companies have pushed ahead with technology to enable this. Rather than carrying various cards around in a wallet, people use digital wallet to make purchase goods and services, with the payment process being much quicker and more convenient.

Why Businesses Cannot Overlook the Future of Mobile Commerce

Let’s take a closer look at some of the facts and figures that highlight how important the future of mobile commerce is:

There are More Mobile Devices in Use

By the end of 2018 it’s estimated around 55% of the world’s population has internet access. That’s around 3.2 billion people. Of that number, 2 billion own a smartphone and the figure is likely to growth in future, with an estimated 25% annual increase in smartphone ownership over the next five years.

More mobile devices connected to the internet means one thing – more people in the mobile commerce market.

Mobile Browsing is Bigger than Ever

Anyone browsing the internet on their smartphone knows how easy and simple the process is. No need to turn on a computer, wait for various programs to load, and then open a web browser – just a few clicks and you’re there.

In fact, most smartphone users prefer to use their mobile devices to browse the web – an average of 87 hours of a month compared to the 34 hours per month for desktop browsing.

Mobile Commerce Sales are Growing Each Year

Mobile commerce sales account for 34% of all ecommerce sales. That means a third of all online transactions are taking place on mobile devices.

In the future that number will only grow. For example, it’s estimated that by 2021 mobile commerce sales will make up more than half (54%) of all ecommerce sales! That means literally billions of dollars’ worth of transactions taking place on mobile devices alone.

Mobile Devices are Changing Shopping Habits

Mobile commerce is even playing a role in physical shopping habits, with consumers taking to their devices to help them decide what to buy.

For instance, 1/3 of buying decisions are influenced by mobile devices, with approximately 80% of shoppers using their mobile device for information when buying.

People like to check reviews, compare prices, and see if other stores have products available – it’s an aspect of mobile commerce that will strongly shape retail spaces in the future.



Be Sociable, Share!