When Randy Bachman of of Backman-Turner Overdrive (BTO) wrote "You Ain't Seen Nothing Yet" in 1974, little did he know the song would rise to number one in the music charts by November. He composed the tune, wrote the lyrics, then sang it for his brother, who had a stuttering problem. The song dipped in Billboard's ratings, then rapidly climbed back to number one.
Mobile commerce stuttered a bit too in its early years. Now, it's unstoppable. While Asia is the growth leader in M-Commerce, mobile commerce is growing quickly as mobile phone users increase. Forecasters predict mobile commerce will grow tenfold through 2014.
By the end of 2011, 100M U.S. consumers and 450M Latin American residents will have access to the mobile Web. Once a tool to sell ring tones and wall paper, phones, tablets and other emerging devices are never more than 9 feet from users, now estimated at 5.5 billion people worldwide.
Due to this incredible growth, marketers and advertisers are launching mobile commerce campaigns and building mobile websites. Major brands, retailers and increasingly small businesses are jumping into mobile quickly, as 20 million new handsets are sold daily worldwide.
Mobile Commerce Explosion
Thinking of selling with mobile? First, understand that, unlike e-Commerce, M-Commerce has additional laws, regulations and players, even for SMS text messaging campaigns.
While you may market your products on mobile websites and within mobile apps, start first with an easy-to-navigate mobile website and SMS. Depending on your design requirements, the website may cost $500-$5,000. Since you're building your own SMS marketing list, it's relatively inexpensive to grow your customer and prospect base.
Start working with an experienced mobile website developer to ensure a quality mobile commerce site that integrates with your company's main website. Later, after you've established a mobile presence, consider developing a mobile app.
Mobile apps are powerful software tools to reinforce your brand and improve consumer engagement. However, find out what types of phones your customers and prospects use. Most likely, you'll discover the majority have feature phones with lower-quality browsers and slow data speeds.
Also consider advertising costs. While it's not expensive to mount an SMS text campaign, designing a professional mobile application for just the two major smartphone operating systems (Apple iOS and Android) will set you back at least $10K. Best advice: start with SMS texting and a fantastic mobile website, leverage your promotion among mobile, print and broadcast, then consider an app.
Most forecasters predict that 50% of the U.S. population will have smartphones with great browsers and screens by mid-2012. If you choose to market your products or services with an app, only 30% of U.S. consumers as of June, 2011 have smartphones. To ensure you reach virtually all mobile users, build an SMS text list and develop strong relationships with customers and prospects on that list.
As you can tell, mobile commerce is in high growth mode. As million of people switch from personal computers to mobile devices, you have a powerful multi-channel medium to continue growing your business.
Ronnie Bachman was right: You Ain't Seen Nothing.
For further information about mobile commerce, download the annual mobile commerce guide from Mobile Marketer.
To read more insightful articles from our expert guest authors like Brian, you can subscribe to our RSS feeds. You can also choose to receive updates via email.
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Mobile Commerce Explosion
In a recent, mobile marketing research study by comScore and Millenial Media, a major mobile advertising network, several key results demonstrate the rapid growth of M-Commerce:
- 13.1 million people use their phones to search for product information at retail stores.
- 8.2 million visit mobile commerce web sites, while 4.2 million use text messaging when they make purchases; 3.2 million download smartphone apps. And many shoppers use multiple media channels, including online, before making a purchase.
- Mobile commerce buyers tend to become repeat customers.
- Those who build mobile websites find it easier to penetrate niche markets. SMS text messages and traditional media increase mobile website response.
- Mobile shoppers tend to be young: 36% are 25-34, 22% 18-24 and 5% 13-17. Millennial Media, though, found that 21% of shoppers are 35-44, 11% 45-54, 4% 55-64 and 2% are over age 65. As the population ages, then, we're startingto see higher mobile commerce adoption rates.
- Joy Liuzzo, a mobile consumer researcher with InsightExpress, found that "mobile intensives" are rapidly persuading their friends to to buy mobile devices (phones, tablets and other wireless gadgets).
Mobile Commerce Best Practices and Getting Started
Thinking of selling with mobile? First, understand that, unlike e-Commerce, M-Commerce has additional laws, regulations and players, even for SMS text messaging campaigns.
While you may market your products on mobile websites and within mobile apps, start first with an easy-to-navigate mobile website and SMS. Depending on your design requirements, the website may cost $500-$5,000. Since you're building your own SMS marketing list, it's relatively inexpensive to grow your customer and prospect base.
Start working with an experienced mobile website developer to ensure a quality mobile commerce site that integrates with your company's main website. Later, after you've established a mobile presence, consider developing a mobile app.
Mobile apps are powerful software tools to reinforce your brand and improve consumer engagement. However, find out what types of phones your customers and prospects use. Most likely, you'll discover the majority have feature phones with lower-quality browsers and slow data speeds.
Also consider advertising costs. While it's not expensive to mount an SMS text campaign, designing a professional mobile application for just the two major smartphone operating systems (Apple iOS and Android) will set you back at least $10K. Best advice: start with SMS texting and a fantastic mobile website, leverage your promotion among mobile, print and broadcast, then consider an app.
Most forecasters predict that 50% of the U.S. population will have smartphones with great browsers and screens by mid-2012. If you choose to market your products or services with an app, only 30% of U.S. consumers as of June, 2011 have smartphones. To ensure you reach virtually all mobile users, build an SMS text list and develop strong relationships with customers and prospects on that list.
As you can tell, mobile commerce is in high growth mode. As million of people switch from personal computers to mobile devices, you have a powerful multi-channel medium to continue growing your business.
Ronnie Bachman was right: You Ain't Seen Nothing.
For further information about mobile commerce, download the annual mobile commerce guide from Mobile Marketer.
To read more insightful articles from our expert guest authors like Brian, you can subscribe to our RSS feeds. You can also choose to receive updates via email.
Do join our Facebook page:
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