It comes as no real shock that m-commerce has grown over the last 12 months, largely due to the proliferation and widespread adoption of smartphones and tablets. In fact, m-commerce purchases are forecast to reach £4.5billion in the UK alone in 2012, more than 50 per cent higher than the total spent in 2011, according to new figures released by the Centre for Retail Research (CRR).
What may be more surprising however is that the retailers are not capitalising on this opportunity, with many high profile retailers failing to even develop a mobile-optimised site. While many have chosen to abandon this route and opt for a mobile app instead, low app downloads suggest that retailers need to take a step back and take a more considered and joined-up approach to mobile shopping; one that is in line with a wider, more holistic multichannel strategy that takes into account the needs of a mobile shopper.
Common errors are being made and as such, retailers are continuing to struggle to properly capture this market. Certain best practice guidelines however will, if adhered to, play an essential role in consolidating a multichannel strategy. Furthermore, with the explosion of social networks, certain factors will now need to be considered in order to attract a new breed of shopper – the social shopper.
Retailers are now more than ever in need of a strategy that reaches and captures the mobile shopper. With predictions that mobile devices will overtake worldwide population by the end of 2012, it is expected that consumers on-the-go will increasingly look to their devices to shop. So how well are retailers doing currently in terms of arming consumers with the right tools to shop while on the move?
Webcredible’s recent Multichannel Retail Report tested the web and mobile sites of the UK’s top retailers against best practice usability guidelines and saw Boot’s emerge as the overall multichannel retailer. Boots along with the likes of Marks and Spencer, Debenhams, Waterstones, John Lewis and Next were among the top retailers scoring consistently well against best practice guidelines across all channels. Those that performed poorly on the other hand lost critical marks when it came to the mobile guidelines, particularly where companies failed to offer an app or mobile optimised site. These retailers are likely to be missing out as customers seek new ways to find and buy products.
Both mobile websites and apps clearly have their merits. Mobile websites have a far wider reach than apps, as they do not require downloading or installing and can also reach those with older phones and low connection speeds. While apps have only been developed for a mainstream smartphone OS audience, they do however provide a better user experience individually than mobile websites.
The flurry of apps on the market suggests that perhaps this approach has provided a way for retailers to get a nice and usable mobile presence. Most apps that are downloaded however are only used a few times and then discarded. A mobile website can be accessed as needed wherever and whenever and will always be up to date. Furthermore, once browser standards have been established, more businesses are likely switch from apps to mobile websites, as they are easier and cheaper to create and maintain.
Whether an app or mobile website is chosen there are certain attributes that need to be considered, to ensure a good user experience, the reason being that each considers that customers are operating the device while on the move or actually in a physical store.
Providing customers that are out shopping with the means to find the nearest store is one of the most important features of any mcommerce experience. It should be prominent and obvious so that customers do not have to search for it. Companies can go an extra step forward by using GPS and interactive maps to direct customers to the closest store. All this presents retailers with the opportunity to make the most of the very fact customers are on the move, potentially near a physical store, as opposed to online at home. Furthermore if an app or mobile site is offered then the product pages should be tailored appropriately with the ability to filter and sort options, add to basket and zoom in on quality images.
To add to this, companies need to begin thinking creatively and exploit interactive technology to provide extra functionality and offer value add to the mobile experience. Waterstones, Apple and Debenhams are amongst those that have added features to their sites and/or apps to demonstrate extra value. Attributes such as stock availability and a chance to make reservations for one-to-one appointments with store staff can enrich a customer’s in-store experience as well as increase brand awareness across the channels that customers have access to. Interactive technology is becoming increasing essential, as it makes it easier to buy in every channel they offer including bricks-and mortar stores.
Providing rich information in-store brings together the best of both worlds: the wealth of information accessible on the internet together with the tangibility of products and physical store environment. It is good business sense to offer as many different ways for customers to buy as possible so that they can choose the most convenient method for them. The other factor to consider however is what is driving consumers to purchase things in the first place? The answer to this will be varied among each consumer, but one common denominator that can most certainly influence their decisions, are their friends.
The explosion of social networks has helped breed a new kind of internet user. Internet metrics from Comscore have declared that one in five online minutes is now spent on social networks. The combination of social and retail has made way for this new kind of social shopper. These consumers are much more likely to abandon a purchase in-store, if unable to get access to instant reviews, feedback from friends and price comparisons for products. This will increasingly become something that companies need to consider when developing a mobile and multi-channel strategy.
2012 will see a variety of trends within retail, but one that will be key is the shift towards the multichannel. Online, mobile and even in-store processes must form part of an overarching multi-channel strategy to ensure that all channels are coherent with the brand in question. A consistent high quality user experience needs to underpin this strategy to allow customers to easily purchase what they want, when they want, through whatever method they want, wherever they are.
