We joined forces with Worldpay to bring retailers in Amsterdam the latest insights into app commerce and payments in 2019. The likes of Rituals, United Nude, Plus Retail and Balr joined us to discuss the impact of mobile on payments and holiday shopping.
By 2022, mcommerce is predicted to grow 24% compared to a 15% growth of ecommerce and a 4% growth of POS according to Worldpay.
With this in mind, the preference for eWallets (an exclusively mobile form of payment) such as AliPay, Apple Pay and Google Pay, for shopping both online and instore has gained traction. Worldpay found that the majority of payments online use eWallets (37%), followed by credit cards at 20%. Meanwhile, cash still reigns king in stores while eWallets account for 12% of offline payments.
Michael Langguth, Co-Founder & COO at Poq, explained how not only is mobile the choice for payments, but the demand for mobile shopping continues to grow. And, shopper preferences for apps are having a remarkable impact on retail revenues. People spend as many as 5 hours a day on mobile and 92% of that time on mobile apps, meanwhile, shopping apps have become the second-fastest-growing app category.
For fashion retailers embracing app commerce, Q4 2018 saw app traffic and revenue overtake desktop’s share of online revenues.
What impact does this have on holiday trading?
The buzz around Black Friday begins earlier each year. Shoppers download apps ahead of the sales in order to be kept in the loop about deals and potential early access.
Tip: With your customers showing an interest so early on, ensure you are marketing your app to you target audience well before Black Friday.
Michael went on to explain how shoppers are also more responsive to push notifications about sales sent during November.
Shoppers are also more responsive to push notifications about sales during November. And most interestingly, on Black Friday shoppers tend to browse apps throughout the day, with app traffic peaking at 6pm. Meanwhile, shoppers spend the most money on Black Friday at 10pm. Primetime for retailers and brands to send push notifications about abandoned shopping carts and wishlists to create a fear of missing out.
Make sure you’re prepared for the Holiday Season with our guide to consumer behaviour during the peak trading season.
The roundtable discussions lead to some great insights into the techniques retailers are using to overcome the challenges they face today.