The increasing mobility of consumers is engaging retailers, according to survey
The increasing mobility of consumers is engaging retailers, according to survey
Research firm, Aberdeen Group found 38% of retailers are currently at some stage of mobile retail technology or mobile channel adoption, compared to 18% at the end of 2008.
According to the Aberdeen report, advancements in consumer mobility (61%) and customer expectations for digital and personalised access to retail product information, price and feature comparisons, and offer consumption needs (49%) are the driving forces behind the adoption of mobile retail.
The advancement of mobile technology and the pervasiveness of smarter and commerce-ready mobile devices among customers are the top two pressures driving adoption and use of mobile retail or mobile channel initiatives.
Ignore mobile at your peril
"The mobile channel is a necessary customer touchpoint that retailers will need to embrace as more customers turn to anytime anywhere shopping," stated Sahir Anand, Aberdeen Group vice president and principal analyst, retail and banking and chief author of the report.
Secondly, for retailers, the move towards mobile had accompanied a shift in traditional channel management and marketing expenditure. Aberdeen data showed that the survey of 129 retailers with an online and mobile channel have had to adjust their marketing-mix strategy to reflect the changed channel behaviours based on customer preferences. Data from this report indicated that currently, on average, retailers are dedicating 41% of their annual marketing spending towards the digital channels (online 34% and mobile 7%).
The report said it was important to note that for more than a fifth of retailers (22%), the second highest strategic action related to mobile retail is the increase in mobile marketing initiatives as a percentage of the overall marketing mix. Therefore, the clout of mobile within the overall retail marketing spend is on the rise.
Key delivery mechanisms
Currently, there are three major elements of the mobile retail experience that are top-of-mind for retailers. As expected, mobile web (which features online channel sections and categories of products for information gathering, product demo, and feature comparisons) is the top component of a mobile retail technology platform strategy for almost half (49%) of retailers surveyed.
The second highest preference for 43% of retailers is mobile voucher targeting and delivery, which can be tied into customer loyalty programs. The third most popular component of a mobile retail technology strategy is smart phone-platform specific mobile retail applications for iPhone, Windows Mobile, Android or Blackberry smart phone devices (37%). These applications provide consumers with new brand experiences with advanced graphic interface and touch-screen features to browse, compare, and even order products.
The report said an ideal mobile retail platform must consist of standards-based mobile marketing, product catalogue, search, compare, order, and payment experience. Mobile retailing needs the 'readily-usable and mass market-ready' standards for widespread adoption by consumers and enterprises alike.
