In December, I wrote about the growing importance of having a great mobile commerce experience, due to the increasing rate at which consumers were purchasing on their mobile devices. At the time, I wrote that “mobile commerce is happening incredibly fast.” How fast? In the three months since I wrote that, mCommerce has grown another 10% in the U.S., according to our Q1 2015 State of Mobile Commerce Report.
As a result mCommerce is now responsible for 34% of all eCommerce transactions worldwide, and 29% in the US. This is a phenomenal figure that emphasizes my other point: any retailer who isn’t devoting the majority of their time thinking about their mobile experience and mobile marketing is now putting their business at risk. mCommerce is not only as revolutionary as eCommerce was fifteen years ago – it is also growing much faster.
The latest report adds more detail on what’s happening on a global basis, based on our unique pool of online shopping data covering 1.4 billion transactions totaling over $160Bn of annual sales. So what’s the summary?
- US Mobile transactions grew 10 percent in the last three months: Growth continues across all retail categories, with top quartile retailers continuing to outperform the rest.
- It’s all about smartphones. Smartphones, not tablets, now make up the majority of mobile transactions. Consumer comfort is growing along with smartphone device size, making transactions on-the-go a lot easier.
- There is no limit. For the first time, mobile is now the majority of all ecommerce transactions in Japan and South Korea. By the end of 2015, mobile share of eCommerce transactions will reach 33 percent in the US, and 40 percent globally.
- The mobile conversion funnel has arrived. Consumers in the US now view the same number of products on both desktop and smartphone. Lower mobile conversion rates in the US are due to weaknesses in turning this browsing into completed purchases. In Japan however, consumers view three times as many products on their phones as on desktop and have a mobile conversion rate almost four times higher than in the US.
There remains a huge need to focus on optimizing mobile website and app experiences, especially in the West. However, top-performing retailers are already moving beyond this and are now focused on developing effective cross-channel strategies.
Is the person browsing shoes on your mobile site the same person making a purchase via desktop later in the day? Right now, it’s tough for most retailers to say, but this is where the focus needs to be. Having a unified view of the consumer across devices is going to become increasingly necessary as the fraction of users browsing on multiple devices prior to purchase explodes. No one said that things were getting easier!
Want to learn more? You can see the full Mobile Commerce Report without needing to download here.