Mobile retail payments to reach more than $700 billion by 2018
More than $115 in retail payments will be spent using mobile handsets and tablets for every man, woman and child on the planet by 2018.
At least that is the prediction of Juniper Research, which recently estimated that more than $700 billion in retail payments will be spent using these mobile devices by that time. If that figure sounds impressive, the research firm further predicts that by 2018 approximately 30 percent of all payments for eRetail will be done through mobile commerce.
To put these numbers in perspective, CRB Online notes that annual retail payments in 2013 amounted to approximately $182 billion, and accounted for 15 percent of eRetail. The latest numbers from Juniper are also slightly down from the company's estimates of two years ago.
"The scale of purchases across smartphones and tablets are increasing as leading retailers ever more develop strategies to facilitate payments and product discovery as well as keeping hold of customers," CRB Online says.
Confirming the findings of other recent mobile commerce reports, the Juniper study finds that consumers with both devices tend to browse more on their smartphone, but complete purchases on their tablet. Also, the report finds that a growing number of consumers examine products in store, while simultaneously browsing their mobile devices online in order to compare prices.
Report author Windsor Holden recommends that retailers should deploy tablets equipped with mobile point-of-sale capabilities as well as introducing a price match option.
"This means that not only is the retailer proactively offering the consumer the opportunity to price check in-store, but that the purchase can be made immediately, without having to queue elsewhere in the store," Holden relates.