The growing dominance of smartphones and tablets on users have widen up horizons for businesses. As the world is going mobile, businesses are thinking ways of reaching potential customers using mobile devices. This has given rise to mCommerce. With the success of eCommerce, mCommerce is the recent sensation among consumers and retailers.
In the quest of providing best services to customers, retailers are trying to utilize these high speed devices. However, there are many misconceptions and misleading environment surrounding mCommerce. Ideologies have been developed threatening the well being of mCommerce. Some say consumers find websites non responsive and also security is a major drawback while others say retailers still find eCommerce more productive than mCommerce. This blog emphasizes on some of the most common misconceptions built around mCommerce.
Myth#1: Businesses do not invest on mCommerce sites
Concerns like security, non responsive websites and inability of small screen to display products have created a misconception that businesses do not bother to optimize their mCommerce sites. However, stats say a different story, 78% of retailers plan to invest in mobile commerce this year. Owing to the growing number of mobile shoppers, 69% of retail executives believe that moving businesses on mobile is an important strategic initiative. Moreover, 27% of companies worldwide have planned to implement location based marketing strategies in 2013.
Myth#2: Luxury products do not sell on mobile
In the past, luxury product buyers believed mobile devices are best suited for downloading ringtones and booking movie tickets. This misconception has been prevalent, and there are beliefs that people do not purchase luxury products on mobile. As capabilities of mobile devices have increased manifolds, anything and anywhere have become pets of mobile devices. Recently ‘Blue Nile’ a largest retailer of certified diamonds and other jewelry sold a $300,000 diamond via its mobile app. Similarly Net-a-Porter, one of the leading fashion brands made sales of a huge amount via mobile devices. The only thing that restricts luxury brands is poor mobile strategy and they are catching in to harness the power of mobility.
Myth#3: Brick and motor stores still favorites
People still prefer to make purchases by being physically present in the store. People do not trust the product images, size and consider the entire phenomenon of mobile shopping as full of hassles. However, the fact is 47% of consumers reach out to their favorite brand using smartphone. The use is not just limited to research, but 36% of consumers make purchases using their mobile devices. Numbers are expected to increase as mobile commerce presents the ease of shopping, anywhere, anytime access to product information and 24×7 transaction facility.
Myth#4: Nobody is buying on mobile
This misconception has some basis as the conversion rates on smartphone are relatively low. People do use mobile to facilitate while shopping, however, only 1% of people really make purchases. But when it comes to tablets, the conversion rate is much higher. The problem associated with smartphone is small screen, which makes it unconvincing to convert the user into a sales prospect. This does undermine the conception of nobody is buying on mobile, but not for tablet users. The sale of product using tablets has increased to 44%. With continuous penetration of high speed devices and increasing number of consumers using mobile for shopping, this conception stands out to be futile.
Myth#5: Mobile is a for a specific age group
This is another false impression about mobile commerce. It is believed that only the age group 25-34 mainly use mobile for shopping. This age group has high-end devices and better understanding about transactions. But the fact is that the affordable prices of mobile devices have even made it popular among teens and older age groups.
Myth#6: Only big business can harness benefits of mobility
Mobile strategy is not meant only for big businesses. You don’t have to be Walmart, Amazon, Marks and Spencer to have an app for mobiles. If you heavily rely on eCommerce, having a mobile strategy becomes critical. The pace at which mobile commerce is partnering businesses as a tool to reach out customers, it presents a wealth of opportunities. Having a fully functional and loaded with features app is expensive, but businesses can start with responsive websites.
In addition to the above mentioned misconceptions, the different display and size parameters of mobile devices is also hindering mCommerce, which is another fallacy. During 1990s and 2000s the size of mobile devices got smaller and smaller. But the era has been revamped, and 4 inch screen is common these days. Moreover, enhanced screen quality, Wi-Fi connectivity, secure payment options, availability of responsive websites and applications powers the very idea of mCommerce as the future of eCommerce.