SreePadmanabhaswamy Temple

Mobile commerce rapidly exploding

Mobile commerce is growing rapidly and now more than a third of mobile product owners are using their devices for mobile commerce, according to a new study from the Consumer Electronics Association. That means,  on average, each consumer plans to spend $575 on mobile purchases in the next 12 months.

Here is the full press release:

Purchases on Mobile Devices Expanding Dramatically, CEA Study Finds

Mobile Device Commerce Reaches $575 per User

ARLINGTON, Va.– More than a third of mobile product owners are using their devices for mobile commerce, according to a new study from the Consumer Electronics Association (CEA)®. The Mobile Commerce – Reinventing the Way Consumers Shop study also finds that, on average, each consumer plans to spend $575 on mobile purchases in the next 12 months.

Nine out of 10 U.S. consumers own a tablet, smartphone or a cell phone, translating into 216 million mobile device owners. More than one-third (37 percent) of mobile device owners are engaging in some form of mobile commerce – either shopping and/or purchasing online or in-store; using and/or redeeming coupons or gift cards; or searching for coupons. While most online purchases are done without mobile devices, those engaging in mobile commerce average more than one-third (35 percent) of all online transactions. The categories most often browsed/shopped for on mobile devices are consumer electronics (CE) and clothing/footwear, while music and books are the categories most often purchased. One-third (32 percent) of consumers engaging in mobile online purchasing have bought CE online using their device.

“The future of mobile commerce is very promising,” said Jessica Boothe, manager of strategic research, CEA. “Consumers are open to new technologies as they continue to evolve and develop. With the growth of mobile devices, mobile commerce will play a more integral role in the everyday shopping habits of consumers, especially as they continue to seek bargains and comparison shop.”

Many mobile device owners intend to make more purchases using their device in the next 12 months, including shopping and couponing. These consumers expect to spend, on average, $575 on mobile purchases over the next year. Mobile device owners also plan to increase couponing during that time period with one out of three expecting to use their mobile devices more to search for coupons online (32 percent), use/redeem mobile coupons (30 percent), and search for coupons in email (29 percent).

The study also found a number of reasons that consumers who have yet to make any purchase on their mobile device are hesitant to do so: half say they prefer to make purchases in other ways, and more than a third (35 percent) are concerned about security.

Twenty-seven percent of consumers are comfortable using the mobile Internet because they trust current authentication safeguards, and 25 percent feel comfortable because they trust that their information is safe and secure. Yet, some consumers also have concerns about authentication on their mobile devices. While 42 percent of mobile consumers agree that fingerprint is the best way to authenticate mobile purchases, another 24 percent are not sure as to the best method.

“Consumers want assurances that their personal information is 100 percent safe and secure,” said Boothe. “They are not fully confident in technologies available. New and advancing technologies should continue to be explored and developed in an effort to provide consumers with the best and most secure mobile commerce experience possible.”

The study, Mobile Commerce – Reinventing the Way Consumers Shop, was designed and formulated by CEA Market Research, the most comprehensive source of sales data, forecasts, consumer research and historical trends for the consumer electronics industry. Please cite any information to the Consumer Electronics Association (CEA)®. The complete study is available free to CEA member companies at members.CE.org. Non-members may purchase the study at the CEA Store.