In his post he focuses on some research from Forrester that maps what US consumers are using their mobile phones for while shopping. The 2009 data suggested that finding the store was the top activity, followed by-product information, comparing prices and redeeming coupons. None of the activities rated higher than 31% of respondents. Which clearly suggests that shopping by mobile phone still hasn’t made it “big” in America (yet). He then suggests that “old fashion” text messaging continues to be the best way to reach customers on their mobile phone.
Gib Basset’s position is “consumers are less interested in buying things with their phones, than finding where they can transact in person”.
On both counts I agree with him. Primarily because – unlike Japan and South Korea – the US is a late adopter of mCommerce. While text messaging – even a world awash with Apps Stores and smart phones – continues to be the only true “Killer” Mobile Phone App.
Having said that the year on year trend does indicate that the US is beginning to embrace the decade old Japanese love affair with Mobile Commerce and the flexibility of having a Mobile Wallet.
As I pointed out in What Black Friday can tell us about the state of E-Commerce in the US Today the new report from IHL Services [PDF] indicates that 41% of smartphone owners have checked competitive prices on their smartphones while in a retail store either with Amazon, Red Laser,or other comparison engine (Think: ShopSavvy).
Based on the 2009 Forrester’s data that Gib quoted this means there has been a 300% increase over the past 12 months in the number of smartphone owners using their phone for “in-store” comparative shopping. American’s may not be buying via mobile yet but they are certainly being to “discover” the merit of mobile shopping.
We only have to look at the year on year growth in the number of downloads from around the globe of the ShopSavvy Bar Code Scanner to see the world’s consumers are embracing comparison shopping on their mobile phone.
Having said that Coremetric’s data on this year’s Black Friday Sales indicates a 42.6% increase in the number of purchases made on the Mobile Phone by US consumers. Mobile represented 3.18% of all eRetail sales transactions.
What is already happening in Asia – and this year on year trend in America – suggests that the mobile phone will have an impact on the way retailers all around the globe will do business in the future. Even if it is only to make easier for the customer to “browse with you but buy it from them” .
Further Reading
- Glamoo has published a press release that suggests 52% of smart phone owners in the UK want to shop on their phone.
Posted on November 29, 2010
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