Mcommerce market set to be worth £14.95 billion in UK through 2015by
The proliferation of mobile commerce is all-encompassing, and latest statistics from RetailMeNot suggest the market is expanding at a faster rate than predicted.
Carried out alongside the Centre for Retail Research in the UK, the international study found that British consumers are set to spend an estimated £14.95 billion in 2015, with the market expected to grow by 77.8% through the rest of the year; an average of £1 million on mobile devices every 35 minutes throughout the year.
Mcommerce is already stated to be generating between 22% and 30% of all digital retail transactions worldwide, with Gartner’s recent report "Predicts 2015: Digital Marketers Will Monetize Disruptive Forces" stating this figure is set to rise to as much as 50% in the next two years.
The UK is forecast to account for 39% of all mcommerce sales in Europe this year (£37.9 billion), however this is dwarfed by the US where mobile spend is predicted to reach £57.7 billion; up from £35.4 billion in 2014.
“Mobile is now the driving force behind e-commerce growth, accounting for more than one in four pounds spent online in the UK this year,” says Giulio Montemagno, senior vice president of International at RetailMeNot.
“However the true impact of mobile on retail is much greater than this. Our research suggests that mobile is becoming a ‘shopping companion’ for many Brits. Almost three-quarters of mobile users regularly visit retailer’s websites to browse or make purchases, with some retailers seeing as many as one in two visits to their websites come through mobile. Faced with some high rates of growth and a huge opportunity to drive sales, ignoring mobile is simply not an option for retailers in 2015.”
The UK mcommerce market is more than a fifth bigger than Germany (£12.4 billion) and the market is 152.5% larger than France (£5.9 billion) – the largest markets in Europe, after the UK.
Gartner’s recent predictions report stated mobile commerce’s rapid rise can be attributed to two key factors; the first being the proliferation of digital assistant technologies such as Google Now, Siri, Echo and Cortana which, while not having achieved the widespread success anticipated following Apple’s Siri launch in 2011, are expected to gather momentum in the coming months as the major mobile vendors up the ante in upgrading their solutions.
The second is the improvement of mobile payment wallets, which are likely to improve consumer trust in making transactions on alternative devices, so much so that in a Worldpay Global Guide to Alternative Payments report released last year, it was predicted that alternative payment methods (APMs) will overtake card payments by 2017.
Chris is Editor of MyCustomer. He is a practiced editor, having worked as a copywriter for creative agency, Stranger Collective from 2009 to 2011 and subsequently as a journalist covering technology, marketing and customer service from 2011-2014 as editor of Business Cloud News. He joined MyCustomer in 2014.