Mobile Commerce Is Growing So Fast!
What Is M-Commerce
The term m-commerce is a popular term of mobile commerce and sometimes referred to as mcommerce. It indicates commercial transactions that are performed over a mobile device.
M-commerce isn’t exactly a new technology or trend. Instead, it is an extension of e-commerce that has been around for more than a decade. Mobile commerce reflects the natural progression of technology as users are spending more of their time on mobile devices instead of computers.
Types Of Mobile Commerce
Generally, it is classified into these categories:
1. Mobile Shopping
Mobile shopping is about enabling shopping experiences on mobile devices. Whether it’s shopping from one of the many Shopify stores or subscribing to Netflix on mobile, that’s m-commerce in action.
2. Mobile Banking
Gone are the days where the public needed to queue up at banks or ATMs to make financial transactions. Top banks offer mobile phone banking worldwide, where users can pay bills, transfer money, and other transactions with a few clicks.
3. Mobile Payments And Digital Wallets
QR code, NFC, and evolving mobile security have made it possible for users to replace physical cash with mobile payments. Google Pay and Apple Pay lead the charge of digital wallets in Western countries, while apps like AliPay and WeChat dominate mobile payments in China.
Statistics:
Mobile commerce sales are projected to reach $3.56 trillion in 2021—22.3 percent more than the $2.91 trillion it registered in 2021.
It’s growth has been slowing over the past few years. But even though the growth rate over the past year has been slightly slower than the average year-on-year increase of 29.8 percent between 2016 and 2021, it is, nevertheless, impressive.
This is especially impressive considering the fact that revenue from mobile commerce sales in 2021 has multiplied by more than 3.5 times what it was in 2016.
With the number of mobile users currently at 5.22 billion and growing, as far as trends go, there’s nothing to indicate that mobile commerce growth will stop anytime soon.
Why Mobile Commerce Is Growing So Fast
Naturally,brands need to be where the users are, and it means embracing mobile commerce on top of the existing e-commerce platforms. Retailers started launching shopping apps and furnishing it with easy-to-browse catalogues and hassle-free checkout process.
It’s growth is directly connected to how users are accessing the internet. Also consumers are inseparable with their mobile phones doesn’t go unnoticed to bankers and payment providers. Banks started introducing banking apps that allow transactions to be made on the mobile screen.
It’s emergence also changes how brick-and-mortar business operates, particularly in adopting cashless payment. Technological giants rushed to the fore with their versions of digital-payments.