For an industry that was almost non-existent two Christmases ago, m-commerce is continuing to wreck the traditional High Street model of retail.
According to a report from cloud-based vendor NetSuite, nearly one in every ten pounds spent with major UK major retailers now comes through mobile channels. The m-commerce sector is (literally) exploding with revenues expected to hit £45 billion in 2012, that’s up 23% on 2011.
More surprisingly, UK retailers are positive about the next 12 months with 87% predicting rising revenues with m-commerce (less surprisingly) a key area in this growth. According to the research, more than 80% of retailers now have a mobile-optimised website or app… or plan do so in the next year.
M-commerce isn’t the only driver behind this optimism. Nearly two-thirds of those researched said that sales from social media sites to be a crucial consideration in 2013.
“Social media presents great sales opportunities if handled in the correct manner. Being able to monitor and react to social ratings and conversations and to devise a strategy with recommendations, mobile payments, and credit card processing can help retailers realise further growth opportunities,” said Andy Lloyd, General Manager of Commerce Products at NetSuite.
Expect to see another m-commerce spike this Christmas when errant boyfriends and husbands turn to their smartphone and tablet to get them over that tricky last-minute shopping syndrome.
* The research was based on economic models provided by the Centre for Economics and Business Research (CEBR) and primary research of 200 UK High Street retail managers. The full report, The Retail and Wholesale/Distribution Trends Report, is available for free download here.
Monty Munford has more than 15 years' experience in mobile, digital media, web and journalism. He is the founder of Mob76, a company that helps tech companies raise money and exit. He speaks regularly at global media events with a focus on Africa, writes a weekly column for The Telegraph, is a regular contributor to The Economist, Wired, Mashable and speaks regularly on the BBC World Service.
