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As e-commerce continues to grow in popularity year after year, so does mobile commerce. This concept describes the shopping experience via mobile websites. Smartphones are as much a part of our daily lives as breakfast: many consumers now shop via their handheld devices such as tablets or mobile phones, while desktop use is declining sharply. Websites are designed for mobile from the start: Everything for a perfect user experience and handheld devices.
Table of contents
What is Mobile Commerce?
Mobile commerce (also known as M-commerce or mCommerce) is a form of e-commerce that focuses on online transactions. While e-commerce encompasses all online commerce, mobile commerce specializes in transactions and payments made through mobile devices (with a mobile wallet). Search engines also serve ads separately on mobile devices, so businesses should not neglect the mobile version of their site. Otherwise, they might see a drop in their conversion rate as online shoppers turn to competitors, who are already prioritising M-commerce apps.
Technical details of Mobile Commerce
For a mobile site, it is important to have the right infrastructure in place. A stable internet connection is at the top of the list. Whether WLAN, LTE, HSPA or UMTS, this is the only way to prepare a website for the mobile world. Online shopping can also be done using a smartphone with an EDGE or GPRS connection, but this is not recommended because the connection can take a long time to establish and the risk of interruption is much higher. In addition, customers must own a smartphone or tablet, and other options are excluded.
Four special features of Mobile Commerce
As a subset of e-commerce, mobile commerce has some surprises in store. For shop operators, there are a few things to consider in order to shine with a perfect execution. It all starts with design choices, as many websites have very limited functionality on handheld devices, or are displayed incorrectly. A mobile version of every page is therefore a prerequisite for successful mobile commerce.
Fast processing
If your store takes a long time to load, many shoppers are likely to give up. With just a few tricks, you can optimize page load time.
Easy ordering
Who hasn’t been there? Your favorite product is already in your shopping cart and all you need to do is pay for it, but the payment method is missing. At the top of the popularity list: PayPal. With more than 432 million users (as of 2022), no online store should be without this payment method. Payment by invoice or credit card are also real evergreens in the payment process. Just like digital wallets or online banking in general.
User-friendliness
Visitors should not have to search for ages to find out where to go to checkout. Important: Integrate buttons and CTAs to create a better user experience in mobile commerce. Usability and conversion go hand in hand: Companies that advertise on mobile devices or use SMS marketing are ahead of the competition when it comes to discoverability. Vigilance is key. In addition, online retailers should focus on good customer service, as this will help to keep smartphone users satisfied.
Flexibility
Apps are a good alternative to the mobile version of the store and usually allow for more creative ideas in mobile use. In addition, the web shop should work on all devices and be visible on various social media platforms.
Mobile Commerce in B2B and B2C
Mobile commerce can be found in both the B2B and B2C sectors. In fact, it is predicted that this sales channel will experience strong growth in the future. Already, 80% of B2C consumers are using mobile devices. (Source: Boston Consulting Group). More and more B2B customers are using their smartphones to research products and store plane or concert tickets in their mobile wallet. But business customers (B2C) are also increasingly relying on mobile devices. Companies that fail to respond to the mobile trend, they risk paying the price in terms of revenue and market share.
Ecommerce vs. M-commerce
The biggest difference between ecommerce and m-commerce is that the former includes all types of online sales. This includes desktop, smartphone, and tablet. M-commerce is limited to the use of mobile devices. Accordingly, ecommerce can be used as an umbrella category for electronic commerce.
Components of M-commerce
Whether you are looking for a new winter jacket or trying to find tickets to see your favorite band, mobile commerce is a part of our everyday lives. Even when creating ones own website, business owners should not ignore the importance of mobile commerce. In order to get more users to shop on your site, it is important to score points here.
Mobile shopping
Amazon is one of the pioneers of mobile shopping. As one of the largest ecommerce companies, the online shopping giant sells a lot of items on mobile devices every day. The specially developed app makes it easier than ever for customers to buy a product, save wish lists and browse for new favorites. Another example is the ticketing service Eventim, which also has an app that allows fans to download their tickets to their phones just before the event, providing a first-class user experience.
Mobile banking
Stores are not the only part of the m-commerce sector – mobile banking is also becoming increasingly influential. A few years ago, transferring money was like this: Painstakingly typing in all the information at an ATM or meeting with a bank teller in person. That's all a thing of the past now that banks are using mobile banking to allow customers to make transfers and check their balances from anywhere. In addition, offerings such as Google or Apple Pay are options that allow customers to make simple payments and store tickets in their mobile wallet. All they need is an account and a one-time setup. After that, paying becomes a breeze.
Mobile advertising
This includes all advertising that a company uses to promote its products and services. This includes SMS marketing as well as banner and text advertising. All of this can be implemented and controlled with Google Ads.
Mobile payment
This includes all applications that lead to payment via smartphone or tablet. This can be used in physical stores as well as online. Another option is payment via SMS.
Bookings / Reservations
Customers can book tickets for various events online and retrieve them on their smartphones. In addition, authentication takes place in the same way as for electronic train tickets.
Mobile apps
As mentioned above, it is possible for customers to purchase services through an app. This is the case for concert or theater tickets, but also for shopping apps from major retailers.
Benefits of Mobile Commerce
The rise of mobile commerce goes hand in hand with the growing interest in smartphones and the online world.
Improved user experience
With m-commerce, customers are guaranteed an enjoyable shopping experience. There is no need to go to a laptop or PC, as store visitors can pay from anywhere. Equipped with a smartphone or tablet, the buying process begins in a relaxed manner.
More people are using m-commerce
The predictions confirm that mobile commerce is becoming more and more important and will account for more than 70% of ecommerce sales in the future. Website operators should focus early on this mainstay and enable their customers to have a mobile shopping experience with mobile transactions. Failure to make this change will leave the competition in the dust as mobile sites grow in popularity.
Faster transactions
Shopping from bed or on the train? It's a dream that's no longer a dream. With mobile commerce, customers are free from location and can make quick payments or purchases with just a few clicks. Gone are the days of booting up your PC to get started.
FAQ
What does the term m-commerce mean?
Mobile commerce is understood as a subcategory of ecommerce. It is used to describe transactions via mobile devices such as smartphones and tablets.
What types of mobile commerce are there?
These include mobile banking for money transfers anywhere in the world, mobile shopping or mobile advertising and many more.
What is the difference between ecommerce and m-commerce?
Ecommerce is the umbrella category of m-commerce and includes all ecommerce. Mobile commerce, on the other hand, only deals with transactions via mobile devices.
