Since you are reading this, you’re probably one of those interested individuals who want to learn more about what this rising trend is, what the future holds for mobile commerce, and how you may best capitalise on it. Say no more since we’ll cover all you’ll ever need to know about mobile commerce in this blog.
Mobile commerce, commonly referred to as m-commerce, is the act of buying and selling things online via mobile devices. Consumers purchase from brands and retailers using a variety of channels on their phones, including social media, mobile commerce applications, mobile websites, and more, as opposed to e-commerce, which focuses on a company’s online store.
Mobile commerce is becoming more widespread as the number of people owning tablets and smartphones rises.
- Mobile commerce refers to transactions or purchases made using mobile devices, such as cell phones or tablets.
- Users may transact using m-commerce from any place as long as a wireless internet provider is nearby.
- As security concerns have been addressed, mobile commerce has grown significantly.
- Companies, such as Apple and Google have launched their own mobile commerce systems.
Understanding Mobile Commerce
Mobile commerce is a growing subcategory of electronic commerce, a business model in which companies or people perform transactions through the internet. As per the Pew Research Center, about 97% of Americans own a cell phone, with 85% owning a smartphone, up from 35 % in 2011.
M-commerce can be used to buy and sell a variety of items and services, including banking, investing, and purchasing books, plane tickets, and digital music. Increased wireless portable device computer capacity, a profusion of m-commerce applications, and the general resolution of security challenges have all contributed to the rapid expansion of mobile commerce.
Why Mobile Commerce
Brick-and-mortar businesses may have served the general public well in the past, but as we all know, changing times necessitate different solutions, and m-commerce has proven to be this decade’s king of transactions.
With a 33.9% year-over-year increase, mobile commerce is likely to become the primary purchasing channel in the future. In terms of cash, you might argue that two out of every three dollars spent on the internet is spent on a mobile device.
Types of m-commerce Services
While the word m-commerce is frequently used to refer to online purchases conducted via mobile devices, it applies to much more. Since its inception, mobile commerce has broadened the mobile experience to include much more than “purchasing items on mobile.” In fact, it has been the sole cause of the birth of brand-new businesses and services such as:
- Ticketing and boarding service
- Services that are based on location
- Services of information
- Mobile Banking
- App-based services
Benefits of Mobile Commerce
- Better Customer Experience
Customers can utilise mobile applications to rapidly visit their favourite retail establishments, making for one of the most convenient shopping experiences ever. Moreover, there’s no need to go to a shop, and mobile applications and websites are usually considerably faster than desktop sites, saving the user time and effort, which is extremely valuable to today’s consumers. Being able to purchase online at the touch of a button is highly convenient.
- Potential business growth
Mobile commerce is beneficial not only to online sales but also to in-store sales. This is because customers are utilising their mobile devices to search for information about products they see in stores, such as product reviews or price alternatives, and to check if neighbouring stores have particular items in stock.
Businesses can expect to grow sales both in-store and online with the correct m-commerce platform, ensuring they’re catering to a larger customer.Companies can communicate with their target clients electronically in real-time from any city, region, or nation via mobile commerce. There are no geographical or physical limitations. Additionally, the GPS location function on the phone may be utilised to recommend nearby retailers.
- Omnichannel Experience
eCommerce companies or companies driven by mobile commerce provide a wealth of promotional options. In addition to notification pushes, companies provide discount coupons, daily discounts, special rates for registered consumers, free delivery, and other incentives to increase user registration and get new clients. As a result, a company’s marketing goes viral, and consumers begin to flood in.It contributes to a unified omnichannel experience. Customers that reach a brand or a firm through social media apps or the brand’s dedicated app receive an unrivalled user experience. It is about improving the content and interface on the gadgets that people carry around with them all the time and see as extremely personal.
- Payments and spending ease
Customers can now pick from a wider range of payment choices due to mobile commerce. Businesses can save money on monthly charges associated with credit card terminals by simply deploying m-commerce payment options, such as In-app payment, mobile wallet, etc.
In-app payment allows a client to pay for more customised or premium services from a service provider or to purchase app add-ons from inside an app. Payments made in-app do not need the use of third-party payment processors and are handled by the platform itself. Android users, for example, may pay with Google Wallet, while iOS users can pay with Apple Pay.
Another option is the mobile wallet, which allows users to keep a prepaid account from which money can be deducted for purchases. As a result of these advancements in online payments, businesses have been able to attract more clients and provide products or services on a subscription basis.
Scope of Mobile Commerce
Today, the vast majority of individuals, regardless of age, own a smartphone. During the coronavirus epidemic, the few people who didn’t have a smartphone most likely started using one. Smartphones are used by everyone, from small children to grannies in wheelchairs, for a variety of reasons. These smartphones are mostly used to purchase online by people between the ages of 25 and 34. The m-commerce sector must be thoroughly investigated and leveraged to its maximum potential. Creating the ideal m-commerce solution necessitates keeping up with the times.
When we compare an individual’s time spent on a web browser to time spent on mobile phones, there is a significant difference, indicating the dominance of mobile applications in the mobile commerce industry. According to studies, mobile applications may increase sales by more than 50% for a typical ecommerce shop. Furthermore, almost 49.2 percent are completed on mobile devices.
When we say m-commerce, we mean the sale of products and services via mobile devices. The ever-increasing sales of smartphones have clearly had a significant influence on the m-commerce business. The development of mobile applications has proven to be a benefit for the m-commerce business over the last several decades.
Due to the obvious limits of cellphones at that time, m-commerce was first regarded as a dangerous venture. However, as time passed, the flaws were resolved one by one – the displays got larger and sharper, and broadband mobile internet became available to a greater number of subscribers. Today, the scope and benefits of mobile commerce provide several options for businesses. No seasoned entrepreneur should neglect or undervalue these qualities.
If you want to leverage the advantage of mobile commerce for your business, get in touch with CCom Digital today. Our qualified experts will provide you with sound advice on m-commerce, plus all the tools and services you need to conduct business over mobile devices.