If you have thought about whether or not to use outsourced IT development for mobile applications, the growth of mobile e-commerce serves as a good enough reason.
According to Forrester Research, 65% of American adults used their mobile phone daily to access the Internet and buy consumer products. Likewise, Forrester and the National Retail Federation (NRF) released a study that showed the increasing growth in retail sales from mobile apps.
The sale of mobile gadgets and browsers have steadily outpaced desktop computers through the years. In October 2018, desktop computers still outsold mobile devices, but in only a year, mobile device sales grew to 52.48% versus desktop’s 44.59%, based on a survey in October 2019.
Though statistics also show that conversion rates are lower in mobile gadgets, app sales are also increasing at a rate of 16% annually. The upsurge in the sale of mobile devices has made retailers more determined to invest in mobile apps and initiatives.
Conversion Rate
Based on the State of Retail Online study, conversion rates from casual Internet browsers have risen in the previous year. Retail companies that registered an increase in online conversion rates represented 70% of the respondents. By investing more in mobile app development, you could take advantage of people that check out items even if they had no plans of buying anything.
Retail sales that originated from mobile apps increase at an annual rate of 16%, so it makes sense to beef up your mobile initiatives. Many companies are exploring social media business marketing franchises to explore how to expand product or brand awareness if not sales. But while it is important to focus on mobile platforms, you should not neglect to improve your in-store operations as well.
Many business owners understand the value of physical stores. They value the client-facing aspect of the business and know that fast service and delivery improves customer experience and engagement. Many retailers see the value of additional online services, but 44% of business owners cited that on-site customer engagement was still their priority.
Retail Convergence
Many retailers now realize that customers are more responsive when offline and online sales and retail combine to provide them with highly personalized client experiences. Many customers now expect many physical stores to have online web counterparts if only to provide information on products and services.
Sucharita Kodali, Forrester vice president and principal analyst, said that “smart retailers” know that digital and physical retail complement each other. Instead of focusing on just e-commerce, many companies plan to adopt a multi-channel approach to lure as many customers as possible.
This includes opening new stores as opposed to shutting down shops just like what happened in 2017, according to Kodali. Technology will play a key role in improving the services of brick-and-mortar stores while tailoring the shopping experience to connect with customers on a personal level will also be a priority among several retailers.
Retailers should recognize the benefits of implementing online and offline retail strategies to maximize business growth. Even if you have no resources for mobile app development, many third-party service providers could do this for you.