A new report by ABI Research expects the m-commerce market to account for 24.4% of overall e-commerce revenue by the end of 2017. It follows a period of particularly strong growth last year, when the amount of online mobile transactions doubled to $65.6 billion (£41.8 billion) worldwide.
The report says this growth is being fuelled by the rapid adoption of smartphones and by traditional ‘high street’ retailers introducing multi-channel strategies to compete with online shops.
John Devlin, ABI Research practice director, said “M-commerce is not yet mass market, but it is delivering remarkable growth in tough economic conditions. There remain questions, as how to best realize the value and ROI of m-commerce but innovative retailers with the resources to invest in the development of their mobile portfolio have clearly identified this as the way forward. Mobile is now transitioning from what was initially viewed by many as a retail experiment to a viable component of a full-blown multi-channel offering. Consumer awareness has been boosted by the ‘Groupon effect’ and now everyone wants a bargain. This is further exacerbated by the need in the retail sector to a) differentiate from the competition, b) be seen to be offering value, and c) an enhanced need to increase consumer engagement and interaction. Mobile helps to fulfil all of these criteria.”