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Mobile Commerce Continues to Trend

Posted on 10.28.2015

Retailers better be prepared for mobile shoppers this holiday season, because a new report from MarketLive reveals that more consumers made purchases on their smartphones in Q3 of 2015 than they did in Q3 2014.

MarketLive’s Q3 2015 Performance Index report shows that smartphone visits to retail websites increased by 35 percent compared to last year. Moreover, the data shows a 69.5 increase in smartphone orders and a 97.9 percent increase in revenue. According to MarketLive, mobile-responsive websites and one-click payment options are likely behind this increase, as these features make it easier for consumers to shop on their mobile devices by removing friction and making it easier for consumers to view products, research prices and make purchases.

The third quarter data also shows that e-commerce sales as a whole continued to grow across categories, including apparel, beauty, home furnishings, catalog, brick and mortar and brand-direct. What’s more, revenue grew by 13.5 percent, traffic increased by 19.8 percent and average order value grew by 3.9 percent to an average of $158.

It is also important to note that Q3 saw traffic shifting away from search engines and social and toward traffic sourced from direct marketing. This could be a result of Facebook’s algorithm changes to organic reach of its news feed, which was implemented in January. Nonetheless, the increase in direct marketing traffic shows that retailers are doing a better job with their customer retention efforts.

“The major trend, once again, we’re seeing smartphones continue to exert their influence on every category of retail. It doesn’t matter if you sell computers, clothing or couches, shoppers want to buy your products from the convenience of their phones. As an industry, if we can remove the last few hurdles around mobile checkout we’ll see mobile shopping become truly ubiquitous,” said Ken Burke, founder and CEO of MarketLive, Inc. “Our customers’ e-commerce revenues and performance have increased for the past nine quarters in a row, and momentum is building for a very strong Q4. It’s good news as we move into Holiday and 2016.”

Additional data from the study reveals that apparel and catalog retailers saw the highest add-to-cart rates in Q3, with apparel retailers seeing an increase of 11.5 percent and catalog retailers seeing an increase of 10.6 percent. Although cart abandonment rates improved by 7 percent among smartphone shoppers, checkout abandonment remained at nearly 62 percent. Comparatively, desktop abandonment rates average at 49 percent. Lastly, when it comes to social commerce, MarketLive found that Facebook accounts for 68 percent of all social revenue and 53 percent of all new social visits.

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