Mobile commerce (or m-commerce) has become a fundamental part of consumers’ holiday shopping experiences. This year, over 55% of customers plan to buy at least one holiday gift from their smartphone or tablet, reflecting this rising shopping trend. M-commerce is the use of mobile devices to conduct online transactions, including shopping. Convenience and the rise of mobile apps have contributed to m-commerce’s dominance in the shopping realm.
What has Led to the Rise of M-commerce
M-commerce is growing rapidly with $3 of every $5 spent online is made from a mobile device.
This rise in m-commerce in modern day shopping can be attributed to a convergence of technological advancements, changing consumer behaviors, and the increasing ubiquity of smartphones. Consumers now have the ability to browse, compare, and purchase products at their fingertips, irrespective of location or time constraints. What’s more, the influence of social media in product discovery has made mobile commerce not just a transactional process but a dynamic and engaging activity.
Top M-Commerce Trends
Several factors contribute to the increasing popularity of mobile commerce during the holiday season including convenience, payment plans, access to virtual try-ons and the exclusivity of mobile only deals and discounts.
Convenience of Shopping on an App
Mobile shopping is an incredibly convenient way for users to shop. M-commerce allows consumers to browse and make purchases anytime, anywhere, providing the convenience of shopping on the go. This is particularly appealing during the busy holiday season when people may not have the time to visit physical stores. Mobile e-commerce sales reached $2.2 trillion in 2023 and now make up 60 percent of all e-commerce sales around the world. Mobile apps also offer a more convenient way to shop compared to websites due to their optimized and user-friendly interfaces. These dedicated applications provide a streamlined and efficient experience, tailored specifically for mobile devices. The convenience lies in the ability to access the entire shopping experience with just a tap on a smartphone screen, eliminating the need to open a web browser and navigate through a website.
Mobile apps often store user preferences, enabling personalized recommendations and a quicker path to desired products. App marketers can personalize shopping experiences for users by analyzing purchase history and other browsing data. Mobile marketers can then leverage device features such as push notifications to re-engage users with personalized promotions, discounts, and order statuses. Personalized product recommendations are extremely effective with 75.5% of businesses getting positive ROI from personalization.
Mobile Payment Plans
The availability of secure and convenient mobile payment options, such as digital wallets and mobile payment apps, has contributed to the growth of mobile commerce. These methods provide a quick and efficient way for consumers to complete transactions on their mobile devices. Buy Now Pay Later (BNPL) options have also become a key driver in increasing the overall popularity of mobile commerce. These flexible payment solutions offer consumers the freedom to make immediate purchases without the immediate financial commitment.
In 2022, 5% of all online purchases there were paid for using buy now, pay later services. This number is expected to rise to 7% by 2026. These types of seamless payment options streamline the checkout process, reducing friction and encouraging users to complete transactions through their mobile devices. This payment flexibility is particularly appealing during this holiday season when individuals are more budget-conscious. When marketers communicate the availability of these types of mobile payment plans, users have a better understanding of the affordability of products. Mobile marketers use these tools to re-engage a broader audience, including those who might be hesitant to make larger purchases without the option to spread payments over time.
A Modern Shopping Experience with AR and VR Technologies
Another draw of shopping through an app is the use of augmented and virtual reality technology. Some retailers leverage AR and VR technologies to enhance the mobile shopping experience. It is estimated that there will be 1.73 billion augmented reality users on mobile by 2024. Additionally, over 50% of customers say they are more likely to buy from a brand if they are using AR. With this new technology, mobile shoppers can now virtually test how products look or fit in their own environment before making a purchase decision, bridging the gap between online and in-store experiences. This technology enhances user engagement and satisfaction, reducing the uncertainty often associated with online shopping.
AR and VR features can be seamlessly integrated into apps, providing users with an interactive and visually rich environment right from their smartphones or tablets. This exciting technology not only transforms the way users shop but also sets mobile commerce platforms apart by offering a cutting-edge and immersive shopping experience that goes beyond traditional online transactions.
Exclusive Mobile Holiday Deals and Discounts
Many mobile commerce platforms offer exclusive deals and discounts during the holiday season. Limited-time promotions and special offers encourage consumers to take advantage of the convenience offered by mobile shopping. Exclusive promotions create a sense of exclusivity and urgency, encouraging users to take advantage of special offers available only on mobile devices. The immediacy of notifications and alerts further reinforces this sense of urgency, prompting users to check their mobile apps regularly for the latest discounts.
By tailoring promotions specifically to mobile users, brands not only drive traffic to their mobile platforms but also leverage the potential for increased conversion rates. This strategy not only rewards and retains existing mobile users but also attracts new ones, fostering a dynamic and loyal mobile commerce community. Overall, the allure of exclusive deals and discounts can be a powerful tool for re-engaging users, promoting frequent interactions with a brand, and cultivating a positive and rewarding shopping experience.
Takeaways of Unwrapping the Mobile Magic with M-Commerce Trends
This year, over 55% of customers plan to buy at least one holiday gift from their smartphone or tablet, giving rise to this shopping trend. With the holiday season in full swing and brands wishing to end the year on a high, marketers need to focus on the key factors that engage and retain loyal and paying customers.
Trends of M-Commerce Magic
- Convenience of Shopping on an App: Mobile shopping is an incredibly convenient way for users to shop. M-commerce allows consumers to browse and make purchases anytime, anywhere, providing the convenience of shopping on the go.
- Mobile Payment Plans: The availability of secure and convenient mobile payment options, such as digital wallets and mobile payment apps, has contributed to the growth of mobile commerce.
- AR and VR Technologies: Over 50% of customers say they are more likely to buy from a brand if they are using AR. With this new technology, mobile shoppers can now virtually test how products look or fit in their own environment before making a purchase decision, bridging the gap between online
- Mobile Exclusive Holiday Deals and Discounts: Limited-time promotions and special offers encourage consumers to take advantage of the convenience offered by mobile shopping.