Mobile commerce, also known as “m-commerce”, is browsing, buying and/or selling of goods and services online using your mobile phones or tablets. It’s a complete shopping or trading experience in the convenience of your mobile devices.
There are plenty of mobile commerce transactions nowadays that allow us to accomplish daily tasks and errands, making each of our days very efficient. There’s online banking, bills payment, delivery and tracking information, shopping, selling and so on.
History of Mobile Commerce
Mobile commerce was first introduced in 1997 with the use of SMS and WAP-based payments as an alternative to cash or card transactions. It has then evolved to the new technologies that we now have. The following infographic will give you a quick tour on the mobile commerce evolution over the years.
Top Mobile Commerce Sites in new Zealand
TradeMe is the top commerce site for both laptop/desktop and mobile commerce in New Zealand as of 2014, according to Nielsen. 56 percent of the population goes online to Trademe.co.nz with 1.9 million unique visitors on a monthly basis. This mobile commerce site allows users to browse, buy, sell and even look for jobs!
Spark NZ is a leading telecom provider in New Zealand. That makes the Spark NZ mobile app also a leader in mobile commerce in the country. The mobile app allow users to monitor their text usage, call minutes and data usage. Spark NZ app users are also able to top-up their credits and get mobile extras, such as extra minutes for calls, extra text messages, extra data or even bundles of 2 or more of these extras.
Impact of Mobile Commerce
Mobile commerce is expected to grow even more. Smartphones and tablets are anticipated to take up a big role in shopping. Loyalty and rewards are already getting into mobile commerce, where consumers will no longer need to carry around physical membership cards in their wallets. Tracking and redeeming membership rewards can easily be done on smartphone apps like Collect. Online ordering is another mobile commerce service that is being adapted nowadays, where consumers no longer need to get in long queues at the store. Orders are placed on mobile apps and customers simply drive by to collect their orders. Mobile payment solutions are also paving ways in the mobile commerce industry. We’ll be seeing less of card and cash transactions and more phone-scanning features with solutions offered by Google (Google Wallet) and Apple (Apple Pay). As new mobile technologies arrive, both the consumers and the businesses conform to the changes. The business models evolve and the consumer demands increase.
Global Use of Mobile Commerce
Research done in early 2014 by Goldman Sachs shows that mobile commerce growth will increase exponentially within the next few years. It is projected that the global mobile sales in 2018 will be at $626 billion, cutting it very close to the global eCommerce sales in 2013 at $638 billion).
Use of Mobile Commerce in New Zealand
New Zealand also has a very promising mobile commerce future, according to a report from Frost & Sullivan in late 2014. Kiwi’s have increased the use of mobile devices to purchase various types of goods, content and services worth $3.9 billion. Majority of consumer ages between 15 and 65 have made mobile purchases of movie tickets, travel, music, news, even insurance and other physical products in the past year.
Comparison of Mobile Commerce – Globally & in New Zealand
While growth in the mobile commerce industry in both globally and locally in New Zealand is imminent, there are different focus areas that can be identified. The rest of the world shows that apparel and accessories were by far the most purchased products online via mobile. 39% of smartphone users and 54% of tablet users in the U.S. and Europe fit this profile. But in New Zealand, the highest growth segments in mobile commerce are paid music, TV shows, movies, games, eBooks, online news and magazines with $3.9 billion in sales coming from 83% of mobile devices users aged 15 years and above.
Boyte, T. (2014, July 9). Insights . Retrieved June 10, 2015, from http://www.nielsen.com/nz/en/insights/news/2014/new-zealanders-shopping-online-anytime-anyplace.html
Brown, M. (2014, March 23). Global Mobile Commerce Growth (INFOGRAPHIC). Retrieved June 10, 2015, from http://www.pfsweb.com/blog/global-mobile-commerce-growth-infographic/
Frost & Sullivan: New Zealand’s mobile commerce market to reach nearly $10 billion by 2019. (2014, September 30). Retrieved June 10, 2015, from http://ww2.frost.com/news/press-releases/frost-sullivan-new-zealands-mobile-commerce-market-reach-nearly-10-billion-2019/
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