Mobile Commerce – Anywhere Shopping
In looking into for this piece, I invested a lot time checking out past short articles about Mobile Commerce. Each of them making grand claims that “2003 will be the year of Mobile Commerce!”, or “2004 has actually arrived and Mobile Commerce has actually landed!”, or “Seriously, 2006 is here and M-Commerce will be big!”, or “We really mean it in 2007!”
Never mind whether the short article gone back to 2003, 2004, 2005 … you get the idea. Every year there are claims that mainstream Mobile Commerce has actually shown up.
Now it’s 2010 and while I will not make a claim as bold as that, it appears that mobile commerce is ending up being more accepted by customers. Sales have actually increased progressively more than 50% year over year, and generating 750 million in 2009. 2010 will easily break the 1 billion dollar mark.
So while it’s not technically a mainstream principle yet, now is a good time to educate yourself due to the fact that the shift to M-Commerce will not be ushered in by any brand-new year. It will be a steady progression that continues to get steam till it basic becomes a standard part of your organisation design.
Who’s doing it now?
The big gamers, or early M-Commerce adopters are the retail giants like Amazon.com, Wal-Mart and Target. Each have finely tuned Mobile websites and applications tailored towards putting the mobile shopping experience into the hands of it’s customers.
The smaller sized people are sitting on the sidelines, observing and plotting an M-Commerce technique of their own.
I don’t blame them. Mobile applications should be developed in several formats. Web based websites need to be checked on a big range of devices. Security, privacy and PCI compliance are all concerns. The cost related to this creates a barrier in between smaller sized service and their mobile commerce efforts. There’s absolutely nothing wrong with waiting patiently. After all, for a bulk of companies, a Mobile Commerce solution isn’t truly something that is being demanded by your customers. Yet.
What do we already buy on phones?
What are the important things we currently purchase on our Mobile Phones? These are little, simple purchases, typically relating directly to our phones. Things like ring tones, music, games and apps. These are items of instant gratification. Quick, small purchases that you can use minutes later. For me, a lot of these are equivalent to impulse purchases. They are items I can buy for a dollar or more and have instant access to. If I have buyer’s remorse a few minutes later, it’s no big deal – I’m just out a couple dollars.
This instant gratification state of mind is gradually broadening into purchases of “Near-Instant” Gratification products. Probably not things you would consider significant purchases.
How about purchasing a motion picture ticket on your method to the show or booking a hotel as you own through a vacationing city? These are all attracting alternatives. They purchases of benefit. Check out Lowes Weekly Ad
Exactly what about bigger ticket products?
The market is young. Early M-Commerce adopters will buy higher priced items such as electronic devices and fashion jewelry. While this is not yet the standard, things are rapidly moving that way and we probably are not all that far off from true mainstream Mobile Commerce acceptance. Make no mistake that soon, it will be a requirement for your consumers to purchase from you in this fashion. If you’re a retailer, you will be expected to accommodate all your clients: those who walk into your physical shop (if you have one) and those looking to buy from a computer or mobile phone.
So exactly what’s the hold up?
What are the important things that are holding us back? Individuals hesitate of innovation they don’t firmly comprehend. This advises me of E-Commerce in the late 90’s. People (hi mom!) were afraid of this brand-new idea of buying items and services directly online, as they simply didn’t trust the technology. This apprehension has actually all but disappeared in traditional E-Commerce and M-Commerce will soon follow suit.
Privacy & Security
Numerous users are worried that purchasing goods and services using their cellphone will put them at risk of security breaches. Numerous are worried about having their gadget stolen or succumbing to a fraud. If these careful users can be offered some assurance, M-Commerce will really begin to remove.
The tide currently seems to be moving, as 26% of mobile users feel that shopping through their phone is as safe as standard E-Commerce. Customers are ending up being more comfortable making purchases online, and just as they maded with standard E-Commerce, people will adopt over time.