Mobile commerce has become one of the most talked about shopping capabilities today because it means you don’t have to drive to physical locations to purchase goods and you don’t have to carry cash or credit cards with you to make purchases when you do.
While that’s the basic gist of mobile shopping and payments, the market is catching on quickly. The folks over at Juniper Research (News - Alert) have been conducting research to uncover the future of this space and found that this year alone, mobile payments will rise 40 percent. Also, the research firm says mobile wallets will be included in every 1 in 5 handsets by 2018 - with mobile contactless payment users reaching 300 million users across the globe by 2017.
With Apple Pay now out, many companies are already jumping on the bandwagon to offer mobile pay options. That, and with the upcoming Holiday shopping frenzy upon us, early reports are already predicting it’s going to be one of the biggest mobile shopping seasons ever.
But with new entrants just starting to offer mobile capabilities for shopping and so many retailers still not, there will also be giant losses in sales to come.
Next-gen payments and SaaS (News - Alert) ID company, Jumio, has released mobile commerce analysis that shows retailers will miss up to $8.6 billion in sales this holiday shopping season because they have outdated shopping experiences for customers.
Even with holiday sales expected to rise this year by 4.1 percent according to the National Retail Federation’s estimates, Jumio still warns shoppers will abandon their carts and not attempt to process the transaction if they experience any friction like slow network speeds or high shipping costs.
Improving the checkout process for mobile shopping and mobile payments is a must for retailers if they want to guarantee sales.
Marc Barach, chief marketing officer at Jumio commented, "While mobile apps have transformed the ecommerce shopping experience, checkout processes have not kept pace with mobile technology. Retailers need to implement solutions that seamlessly usher shoppers through the checkout experience to stem the tide of shopping cart abandonment and billions lost in potential sales, both at the holidays and throughout the year."
In addition to the research findings, the company also introduced their own mobile checkout offering today called BAM Checkout. The offering is targeted at specifically addressing the problem of shopping cart abandonment on retailer sites. The company says it can also be used to help fight fraud thanks to a new anti-fraud tool that crosschecks both the name on the credit card being used with the name on the driver license and immediately flags any variances.
Edited by Maurice Nagle
Back to Mobile Commerce Insider Home