PaymentsJournal
No Result
View All Result
SIGN UP
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
PaymentsJournal
  • Commercial
  • Credit
  • Debit
  • Digital Assets & Crypto
  • Digital Banking
  • Emerging Payments
  • Fraud & Security
  • Merchant
  • Prepaid
No Result
View All Result
PaymentsJournal
No Result
View All Result

M-Commerce Is Growing, But Faces More Conversion Issues Than E-Commerce

By Karen Augustine
January 14, 2019
in Analysts Coverage, Credit, Debit, Merchant, Mobile Payments
0
7
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
mobile internet, biometric payments

mobile internet, wifi connection on smartphone in cafe

m-commerce will account for nearly 40% of US online sales by 2023
m-commerce will account for nearly 40% of US online sales by 2023

No doubt that m-commerce represents a growing share of consumer spend. Business Insider Intelligence projects m-commerce will account for nearly 40% of US online sales by 2023, totaling $447 billion. And, Adobe estimated that 49% of holiday shopping traffic in November 2018 (including Cyber Monday) went through smartphones. Yet, conversion rates on desktop shoppers are twice that of smartphone shoppers, according to Qubit, who suggests that e-retailers need to facilitate their mobile checkout experience. The Business Insider Intelligence’s report on mobile checkout compares consumer experiences with popular e-commerce marketplaces. Surprisingly, Amazon underperformed in mobile checkout in efficiency ratings given its focus on Prime membership and consumer data, while Target ranked first in efficiency, particularly at the updating cart stage.

“So, although consumers spend more time accessing the internet on smartphones than any other device, e-tailers aren’t able to maximize that value. And considering mobile shoppers have a similar engagement rate as desktop shoppers, but the rates at which they select products and transact are lower, according to Qubit, mobile sites clearly need to improve their ability to convert — and top e-tailers have work to do.”

3 in 5 smartphone owners reported shopping for products on their mobile device within the previous 30 days
3 in 5 smartphone owners reported shopping for products on their mobile device within the previous 30 days

Given the nature of m-commerce and on a smaller screen, consumers welcome an easy-to-use checkout platform with shortcuts whenever possible. According to Mercator Advisory Group’s CustomerMonitor Survey Series Payments survey of June 2018, consumers, especially young adults are more likely than average to take advantage of online payment services, use merchants who keeps their cards on file when using their mobile device to pay. And, while using a Payment button with one-click checkout using payment data stored at that merchant may be near nirvana, fewer use this method. However, when they do, they are just as likely to use it by mobile as by desktop, suggesting it helps considerably in conversion.  Virtual assistants also help facilitate the mobile checkout experience. In fact, our 2018 Customer Merchant Experience survey finds that half of consumers surveyed say they use virtual assistants on their smartphone and 3 in 4 of respondents who ever used virtual assistants have used them to purchase goods or services online.  This study also finds nearly 3 in 5 smartphone owners reported shopping for products on their mobile device within the previous 30 days, but only 2 in 5 of them made the purchase on their phone.

The mobile checkout experience will be a topic we will explore further in our 2019 Customer Merchant Experience Survey Series

Overview by Karen Augustine, Manager, Primary Data Services

7
SHARES
0
VIEWS
Share on FacebookShare on TwitterShare on LinkedIn
Tags: Consumer BehaviorMerchantMobile Payment

    Get the Latest News and Insights Delivered Daily

    Subscribe to the PaymentsJournal Newsletter for exclusive insight and data from Javelin Strategy & Research analysts and industry professionals.

    Must Reads

    commercial card, Allpay ClearBank Prepaid Payments, wealth transfer

    How Banks Can Capture the Wealth Transfer from Boomers to Gen Z

    June 20, 2025
    embedded lending

    Embedded Lending as a Growth Strategy for ISVs—How to Maximize Revenue Potential

    June 18, 2025
    merchant ai

    Merchants Find More Use Cases for AI Amid Risks

    June 17, 2025
    prepaid payroll

    Taking the Check Out of Paycheck: The Role of Prepaid in Payroll

    June 16, 2025
    Banking-as-a-service BaaS

    Remodeling Main Street: How Community Banks Can Leverage the Banking-as-a-Service Paradigm

    June 12, 2025
    How Employee Performance Enhances the Customer Experience

    Three Strategies to Maximize Loyalty in the AI-Driven World 

    June 11, 2025
    PFM tools

    How FIs Are Cutting Through Subscription Clutter with PFM Tools

    June 10, 2025
    child identity theft

    Stranger Danger: Protecting Your Children from Identity Theft

    June 9, 2025

    Linkedin-in X-twitter
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Commercial
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Digital Banking
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter
    • About Us
    • Advertise With Us
    • Sign Up for Our Newsletter

    ©2024 PaymentsJournal.com |  Terms of Use | Privacy Policy

    • Commercial Payments
    • Credit
    • Debit
    • Digital Assets & Crypto
    • Emerging Payments
    • Fraud & Security
    • Merchant
    • Prepaid
    No Result
    View All Result