30 Dec 2015 Prediction: as phone screen sizes grow, so will mobile commerce
If this year’s holiday statistics indicate anything, it’s that 2015 will be the year of mobile commerce. With over 57% of all Americans using smartphones, mobile commerce is poised to be bigger than ever. The mobile trend has seen major growth in the last few years, and with the unveiling of new devices with larger screens and the introduction of features like Apple Pay, it looks like mobile still hasn’t reached its peak.
e-Commerce giant Amazon announced that over the holidays, mobile shoppers approached 60% of total sales. Christmas Day shopping saw an 8.5% rise over 2013 numbers, with more than half the shoppers on mobile devices. Consumers now have the ability to purchase products at any time. There’s no need to get out of the house, or even stay in the house sitting in front of the computer. And with retailers streamlining the process of browsing to completing transactions, like with Amazon’s one-click shopping option, it’s easier than ever to make a purchase on-the-go.
iOS devices continue to outpace Android with more online traffic, more sales, and higher average order value. According to IBM, Apple users had average orders of $97.28 per order while Android users spent $67.40 on Christmas Day. With iPhone and iPads being associated with more affluent users, just as BlackBerry was associated with a cushy corporate job in its heyday, it’s not surprising that we continue to see higher revenues from Apple users.
Screens are getting bigger: with the iPhone 6+, Apple joined the phablet bandwagon.
Plus, phones are getting bigger, with larger screens that are easier to view and shop on. The market share of phones with screen sizes 4.7 inches or bigger has grown by approximately 25%, and phone screen sizes overall have increased 88% since 2007. As “phablets” gained popularity, even Apple caved with the introduction of the iPhone 6 and 6+, which are considerably larger than their earlier iterations. Battery life on the devices continue to improve, too, which allows shoppers to multitask on devices that used to be reserved for taking calls and checking emails.
As iPhones and other smart devices are being used more in place of personal computers, retailers must start planning for how quickly mobile commerce will grow. What’s more, while Apple users show increased spending, there’s still a huge untapped market just waiting to be explored for the61% of U.S. Android users. It will be interesting to see if retailers continue to focus on Apple users or try to expand their mobile market share.
Any way you cut it, one thing is clear: mobile saw great strides in 2014, and will continue to do so in 2015. Shoppers are clearly ready – are retailers?