In North America, mobile is finally starting to take hold in retail, payments and e-commerce. We’ve collected a mix of news, highlights and mobile trends to keep you current on mobile marketing trends.
A new Facebook IQ GfK study shows more than half of millennials expect to buy more on their smartphone in 2016 than in 2015. Criteo’s State of Mobile Commerce Q4 report shows retailers who doubled down on mobile song better results than their non-mobile competitors. EMarketer predicts 2016 mobile ad spending will reach $65.49 billion and be nearly 29% of total ad spending. Forrester’s Julie Ask wonders if retailers have missed millennials by not utilizing mobile more. According to Forrester and the Federal Reserve Board, 10% of consumers made a mobile payment in-store in 2015.
India’s top online retailer Myntra relaunched its mobile site, to supplement its former app-only move last year. Lesson learned though still no plan to relaunch its desktop e-commerce site. ZDNet columnist Natalie Gagliordi shared her Presidents’ Day shopping trip by being bombarded by beacons pushing location- nearby deals. She noted only 3% of retailers regularly use beacons and only 16% plan to try them. Ankur Saxena, CEO, Oxigen Wallet says cashback offers have spoiled consumers and made it difficult for retailers to be profitable. 80% of consumers would like retailers to make loyalty programs available via mobile according to a new study by Apadmi. And 71% say retailer apps could be better.
Retailers Must Embrace the Mobile Consumer
Nearly half of all retail shopping activity involves some sort of mobile and it’s more than half when it is millennials doing the shopping. A new Facebook IQ GfK study of 2,400 omnichannel shoppers reveals today’s consumers are expecting a seamless experience when shopping in-person and via a mobile device. Nearly half of millennials expect to buy more on their smartphone than they did in 2015, notes the study.
For retailers the feedback means brands must take action: move faster, be more adaptive and be bolder, states the study.
“Omnichannel shoppers consider the Internet to be an important source of inspiration when it comes to discovering new products and browsing a wider range of brands. These shoppers find that smartphones and tablets offer greater convenience and flexibility for shopping online,” states the study. Of those polled 56 percent made a purchase on a mobile device because they were already using it, and 55 percent say they use mobile because they can do it anywhere and at any time. Via business.newsfactor.com
Mcommerce approached parity with desktop for top retailers in Q4: report
Criteo’s State of Mobile Commerce Q4 report shows that the gap is growing between average retailers and those with strong mobile offerings. Compared with the fourth quarter of 2014, top retailers saw their share of mobile transactions grow 26 percent for a 44 percent share while, on average, the growth rate was 15 percent for a 30 percent share.
“During 2015, top retailers doubled down on mobile and widened the gap with the average when it comes to both the number and share of transactions that they’re experiencing,” said a Criteo spokesman. “Over the last year, the top quartile, as ranked by mobile’s share of ecommerce transactions, doubled the gap between the average, from 8 to 14 percentage points.
“Contrary to previous reports of tablets converting at higher rates, smartphones, which are much more plentiful, saw a growing share of total mobile transactions to 60 percent in Q4 2015, up 8 points over Q4 2014,” he said. Via luxurydaily.com
Is a Mobile-First Approach Really Best?
EMarketer predicts that 2016 will be the year that mobile ad spending eclipses desktop ad spending, and account for nearly a quarter of total media spending to boot. By 2019, the researcher predicts that mobile ad spending will rise to $65.49 billion, or nearly 70% of total digital ad spending and close to 29% of total media spending.
Now “The Year of Mobile” has given way to another rallying cry: “mobile-first.” But not only is it easier said than done, it’s not always advisable. Putting mobile at the forefront of your strategy bears careful consideration over whether it is actually right for your brand. Here are just some of the things to keep in mind when going mobile-first: The screens are limiting and small; your marketing must be less interruptive and get consumers to opt in; if you’re going with apps, they need to have utility; mobile must be regarded as part of a larger marketing whole; and most of all, your brand must be suited to a mobile-first approach. What’s a marketer to do? Via adage.com
Why Retailers Are Missing Out on Mobile With Millennials
Millennials are having a party, but it seems the invitations for most teen retailers never hit their mailboxes. Perhaps that’s because such invites would’ve been issued via mobile phone.
At a time when younger generations are spending upward of 80 hours a month on their mobile devices, several apparel brands are missing out on a commerce opportunity that led to $35 billion in U.S. sales last year. Such brands have been slow to enter and innovate in the mobile sector, a sluggishness that experts say could be costing them sales. Retailers including Aéropostale, Abercrombie & Fitch and American Eagle Outfitters are now scrambling for relevance among their tech-minded consumers. Some have recently added e-commerce capabilities and curated music through their mobile apps, though others haven’t gotten even that far. “Most aren’t ready to tackle this,” said Julie Ask, VP and principal analyst, e-business and channel strategy, Forrester Research. Via adage.com
Mobile Payments on the Move
Back in 2012, the prospect of consumers paying for things using their phones seemed close at hand. Analysts predicted explosive growth — to the tune of $60 billion in in-store “mobile proximity transactions” in the U.S. by 2016. Since then they’ve had to dial back expectations.
In 2015, the transaction value of in-store mobile payments in the U.S. was $6.8 billion, according to consulting firm PwC. That translates into roughly 10 percent of smartphone owners having made in-store mobile payments, according to data from Forrester and the Federal Reserve Board. Via bloomberg.com
Myntra no longer app only, brings back mobile site to woo customers
Myntra, the country’s top online fashion retailer, is retracting from its app-only model by relaunching its mobile site in an attempt to bring back lost customers.
The move comes just nine months after the Flipkart-owned company shut down its ecommerce website to sell products only through its mobile app, triggering a debate among online retail startups on whether an app-only strategy will work or will it backfire. Ambarish Kenghe, head of products at Myntra, said the company will stick to a mobile only strategy and has no plans to relaunch its desktop site. Via economictimes.indiatimes.com
How the quiet rise of beacons has reshaped retail marketing
To mark the occasion, I decided to take a leisurely drive through the local suburban sprawl — because, let’s face it, nothing shows reverence to our nation’s leaders like some healthy consumerism.
To kick things up a notch I activated my phone’s locations services, and without fail, the push notifications began pouring in. I was quickly alerted to two nearby mattress sales, a furniture “blowout”, a winter clearance, and two ~limited-time~ offers.
Of course, an experience like this is of my own doing: I have an app on my phone that allows geofences to pick up on my location and send me digital coupons to nearby stores. What’s interesting about my experience, however, is the not the existence of location-based push notifications, but the sheer number of them. Via zdnet.com
Life after cashbacks: Who will challenge the e-wallet industry’s status quo?
For the uninitiated, this customised couplet roughly means there’s only so much traction that payment wallets like PayTM, Freecharge, Citrus, Oxigen, MobiKwik, PayU, et al can get through cashback offerings. Ultimately, to have a sustainable business model, and to increase their share in the marketplace, they need to resort to tactics that make the wallets relevant to the users on a regular basis.
Admits Ankur Saxena, CEO, Oxigen Wallet, “Cashbacks have spoilt the users. As an industry, we thought it would make using wallets a habit. Clearly that wasn’t the best move by any of us because during cashbacks you saw a sudden spike in transactions. But without them, the number of transactions reduces to 2% of that figure.” Via brandequity.economictimes.indiatimes.com
Consumers want to collect loyalty points on mobile phones
Consumers want retailer’s loyalty schemes to be available to them through their mobile device, according to research.
A study by Apadmi found 80% of consumers would like access to points collection schemes from retailers through their mobile; and 71% of consumers think there is a gap in the market for better mobile applications provided by retailers. One of the ways consumers said mobile applications from retailers could be made better would be to incorporate their loyalty schemes so everything is accessible from one place. Via computerweekly.com
Mobile is a minefield for retailers
There’s no question mobile is a challenge for most retailers. What’s clear is that retailers must adopt omni-channel marketing if they hope to keep up with consumers.