Mobile Commerce Challenges & Opportunities
The Mobile Commerce revolution has re-written the rules on how online retailers attract customers, earn their loyalty and sell them their products and services. For the immense opportunities that mobile commerce solutions have created, they have also unearthed new challenges. Mcommerce stores that fail to overcome these challenges are forced towards oblivion. Let us take a closer look at the opportunities and challenges with mobile commerce.
Challenges for mCommerce
- Evolution of Devices : Hardware manufacturers are constantly coming out with faster & better smartphones. The new versions of the different OS are also getting smarter by the day. Store owners need to keep up with the pace of this evolution to makes the best out of these hardware and software updates. This ensures their apps don’t fall behind in the race.
- Fragmentation of Device : Mobile hardware industry is highly fragmented especially when we talk of Android powered devices. The challenge lies in developing apps that offer great experience to entry-end smartphone users and yet don’t deny high-end phone users the experience derived from the best features available on this phone.Getting the balance right is the biggest challenge.
- Payment Solutions : At its nascent stage, most mCommerce solutions would offer only a handful of payment options to their customers. But with the proliferation of mobile wallets it has become a big challenge to ensure customers keep enjoying a wide range of payment options. Without this, it is practically impossible to bring down cart abandonments.
- Simplifying Buying Experience : mCommerce is crowded and there are dozens of similar stores that are selling the same products. With discounts drying up and prices stabilizing between stores, the key to success lies in simplifying buying experience. With your competitors pulling out every trick from their hat you need to constantly think of out-of-the-box solutions to stay ahead of the competition.
Opportunities for mCommerce
- Increasing Numbers : While PCs/Laptops have been there for close to four decades, they haven’t surpassed the one billion mark. By the end of 2016, there would be more than 2 billion smartphone users in the world. People are increasingly spending their time on smartphones and tablets and this explains the shift in focus towards mCommerce among store owners.
- Personalized Experience : With smartphone apps, stores are able to offer a more personalized experience to their customers compared to desktop based interface. This personalized experience results in higher conversion rates and translates into more sales and revenue for the store. Unlike desktops/laptops which are often shared devices, smartphones are single-owner devices, hence allows stores to offer a completely tailored experience.
- Location Based Targeting : mCommerce allows geo-targeting that has helped service providers such as travel and hospitality sites offer customized offering to their clients based on their present location. This increases the value being offered to the clients as a part of their services. This has created many new opportunities for the online retailers as they can offer real-time deals to their clients.