It’s time to take another look at what’s moving in mobile commerce, trends and innovations impacting online business. TechCrunch shares two key mobile facts to think about: The average app loses 77% of its users within three days after being downloaded. The five apps that we love the most take up 80% of our session time. According to eMarketer, consumers want a consistent interface across their devices and channels including in-store. A Bizrate study says online smartphone and tablet purchases are now equal and tablets are declining. 68% of India’s economy is still a cash-only marketplace but this will decrease to 40% by 2019 according to analysts at Motilal Oswal Securities.
Forrester Research reports smartphone sales accounted for 17% of total retail sales in 2015, and sales from smartphone devices grew 53% year-over-year. Large Indian fashion retailer Myntra moves away from its previous mobile-only retail sales to relaunch desktop sales in June. Israeli payments startup Zooz raises $24 million as industry seeks standards and guidelines for mobile payments. Visa’s 2015 Regional eCommerce Monitor Survey for Asia-Pacific found an average 22% increase from 2014 in shopping via mobile devices
Welcome to the post-app world?
We’ve fallen in love with apps. It’s hard to see something so popular fading into the past, but what if that happened? What if apps were simply an iteration of the mobile web, before something better came along?
With the flurry of announcements that occurred around Facebook’s F8 conference, perhaps that time has finally come. Are we witnessing the rise of the Bots? Since 2010, “there has been an app for that”. However, such excitement appears to be diminishing. On your own home screen (the most valuable real estate on earth), what new apps are using that space?
For every iPhone sold, 119 apps have been downloaded. However, we use fewer than a quarter of those apps in any given month. The average app loses 77% of its users within three days after being downloaded. The five apps that we love the most take up 80% of our session time. Via techcrunch.com
Mobile Is Affecting the Traditional Path to Purchase
As mobile usage becomes ubiquitous, the path to purchase is becoming less defined. Shoppers are always connected, well-informed and often quick to convert both digitally and in-store. The traditional shopping phases still exist, but once smartphones are introduced, behavior shifts, as explored in a new eMarketer report, “The Changing Path to Purchase: What It Means to Add Mobile to the Mix.”
Broadly speaking, shoppers crave consistency. When internet users in North America were polled by Magnetic and Retail TouchPoints in April 2015, 59% of respondents cited consistency between digital channels and in-store as the most important part of a retail experience, while consistency across devices was vital to 54%. When retailers in the same study were asked about information provided to customers along the shopping journey, only 36% claimed to be offering a seamless experience across mobile and desktop. Via emarketer.com
Bizrate Insights Updates: Mobile as a Primary Ecommerce Platform
“Thanks to thousands of daily surveys of recent online buyers, we are able to keep a pulse on the emergence of mobile as a primary ecommerce platform,” explains Hayley Silver, Vice President, Bizrate Insights, a division of Connexity. “Here are some recent observations.”
Mobile vs. Desktop
Online purchases on a mobile device as a percent of online orders have been growing and maintaining market share since late 2014. However, nearly ¼ of all online shoppers still don’t use their mobile device to shop at all. Once the lion’s share of online purchases on mobile, tablets are still declining as a percentage of online sales; meanwhile smartphones continue capturing a larger piece of the pie.
When comparing smartphone and tablet purchases by device type, Bizrate Insights found that as of Q1 2016 online sales on iPhones are now equal to online sales on iPads. Android purchases have also been rising. Via adotas.com
UPI: When banks turn mobile wallets
Mobile banking and online shopping have risen sharply in India’s urban regions. Payment banks are wooing customers through cashback offers while private banks like HDFC Bank (PayZapp), ICICI Bank (Pockets), Axis Bank (Lime) and Kotak Mahindra Bank and state-owned giant State Bank of India (Buddy) have launched their mobile payment systems to battle mobile wallet companies like Paytm and MobiKwik.
But India remains, largely, a cash-led economy. Cash constitutes 68 percent of consumer payments (in value terms), according to analysts AS Venkata Krishnan, Alpesh Mehta and Dhaval Gada from Motilal Oswal Securities in a March 2016 digital banking report. The “cash intensity”—which the RBI wants to help bring down—is expected to reduce to near 40 percent by 2019, the report says. Via forbesindia.com
Mobile Commerce Growth Is Outpacing Desktop eCommerce
Mobile commerce posted astounding growth rates in 2015. A recent Forrester Research survey indicates that smartphone sales accounted for 17% of total retail sales in 2015, and that sales from smartphone devices grew 53% year-over-year.
This trend is likely to continue in 2016 and beyond. In fact, Paypal research indicates that global mobile commerce growth should outpace eCommerce growth by three to one, while US mobile commerce should grow from $54.6 million in 2014 to $96.3 million by the end of 2016. Compared to the roughly 10% increase eCommerce is expected to see each year, mobile commerce in the US has a projected growth rate of approximately 30 percent each year through 2016. Via business2community.com
Myntra withdraws from mobile-only strategy, to relaunch desktop version next month
Fashion ecommerce retailer Myntra is withdrawing from its mobile-only strategy and will relaunch a desktop version of its website next month in an attempt to bring back lost customers and drive growth.
The move comes a year after Myntra shut its desktop site and become an app-only store, triggering a debate among online players on whether this strategy will work or backfire.
“We have been humble enough to realise and listen to our customers’ needs and hence, we are relaunching the desktop version on June 1,” said Ananth Narayanan, CEO of Myntra. “This will help us bring back customers, help women shop more on different screens and suit our newly launched furnishing and jewellery categories,” he added. Via economictimes.indiatimes.com
Payment startup Zooz raises $24 million as global fintech looks for standards
As payment solutions proliferate and calls for standardization mount, Israel-based payment platform startup Zooz said it has closed a $24 million led by Target Global Ventures, to expand globally and bolster its products and services.
Zooz’s series C round more than doubles the total amount invested in the company to $40.5 million, raised in four rounds. The latest round included Fang Fund, iAngels, Kreos Capital and existing investors Blumberg Capital, lool ventures, Rhodium, Claltech (Access Industries’ Israeli tech vehicle), XSeed Capital, CampOne Ventures and angel investor Eilon Tirosh.
“We are opening sales and tech support offices in Berlin and San Francisco. We are also you going to invest more in business intelligence that relate to payments and better optimization of data. We are also looking to go from 80 to 120 employees in a year’s time. Sales and tech support in both cities,” said Ronen Morecki, co-founder and CTO of Zooz. Via techcrunch.com
Mobile commerce catching traditional e-commerce in Asean
Asean consumers are increasingly making online purchases and bill payments from their mobile phones or tablets, instead of their desktops and laptops, according to research.
Visa’s 2015 Regional eCommerce Monitor Survey for Asia-Pacific found an average 22% increase from 2014 in shopping via mobile devices across the region.
The survey polled 11,760 respondents aged 15 to 55 years from 13 markets in Asia-Pacific, including Indonesia, Malaysia, Singapore, Thailand and Vietnam. Respondents from Indonesia (36%), mainland China (34%) and Taiwan (28%) reported the greatest growth in mobile commerce (m-commerce) during the year. Via computerweekly.com