PayPal report: m-commerce in USA is growing three times faster than e-commerce
PayPal together with Ipsos have prepared a report on the state of e-commerce and m-commerce in the world, including USA. It turns out that in the case of USA, the growth rate of mobile commerce is three times faster than that of e-commerce as a whole. In a few years, mobile purchases could equal the amount of purchases made on PCs.
Worldwide average annual growth for m-commerce over 2021-2022 is expected to be 42% – this compares with just 13% for e-commerce overall. For USA alone, the average annual growth rate of m-commerce is expected to be 33% compared to 10% of e-commerce. According to Anuj Nayar, director of PayPal’s global initiatives division, We are at the dawn of the “mobile-first” era, where the smartphone is our most important and frequently used device for connecting to the Internet, so it may soon become the primary tool for online shopping as well.
In 4 years (2010-2021), PayPal’s mobile payment growth grew from less than 1% to more than 20%.
Over the past year, 85% of online shoppers made purchases using computers, 9% using a smartphone and 5% – using a tablet. The numbers are expected to shift in favor of mobile devices over the next 12 months – while the number of people buying via computers will decline.
Currently Mobile shoppers are primarily driven by the desire to find information about a product, store or opinion. Search for information in this area finalizes purchase decision. These motivations are expected to change in the future.
Research shows that in the future, m-customers will choose to purchase via a mobile device because of the Contactless payment option at checkout, the ability to order services in advance with the help of the app or mobile site, and on occasion to compare prices while shopping in-store.
Website or app?
64% of smartphone shoppers bought via a mobile app, 52% – via a browser. Mostly it mobile app is preferred as a platform to make a mobile purchase. Among its advantages cited are convenience, speed or access to payment/purchase status information.
Advantages of using mobile apps (%)
What still holds people back from making a mobile purchase – either for the first time or more often – is primarily the higher comfort level when shopping from a computer, the too-small screen size of a mobile device or concerns about securing mobile transactions.
Compared to total spending in the e-commerce sphere, mobile is still in its infancy – purchases made on smartphones account for 9% and those made on tablets for 5% of global online sales. However, 1/3 of those taking part in the survey made a purchase on a smartphone within the last year, A 20% – purchase on a tablet. The statistics are definitely lifted by the younger generation.
You can also read in more detail about Polish mobile shopping in the mShopper report, which we recently wrote about.