Think of it like that natural instinct to open the refrigerator and grab a snack when you’re bored, but instead it’s the natural instinct to grab your phone and start doing something on it.
According to eMarketer, Americans armed with smartphones represent a different class of consumers: ones that stand apart from other Americans in the way they shop, communicate, consume media.
This class is referred to as the ‘smartphone class’ and there are about 100 million members.
How are the members of this class distinguishable?
They are always connected, excited by access to real-time information, pass time by watching videos or playing games on their phones, scan mobile barcodes, shop with mobile coupons, make mobile purchases, and more.
You know when you’re sitting in the waiting room at the doctor’s office and you grab a magazine to read to kill the time? Well, the consumers in the smartphone class grab their phones instead—maybe to check their Twitter, surf the Web, play Angry Birds or upload a photo on Instagram.
Whatever it may be, their spare time consists of them engaging in some kind of mobile activity. They are constantly “snacking” on small portions of content on their mobile device throughout the day, keeping them more connected than ever before.
The path to purchase has been completely repaved by these snackers, giving marketers a tremendous opportunity to target them. Also, smartphone penetration and mobile gaming and video consumption are constantly growing, which means so are these opportunities.
I’m definitely a member of this smartphone class, and I’ll admit to being a snacker as well.
Are you part of this class of consumers?
If you’re over the age of 20, you’ve likely used a credit card, counted change and maybe even written a check. But is all that about to change?
Mobile payment hasn’t become the de facto method of financial transactions just yet, but it is projected to overtake those archaic checkbooks and bank notes you’ve been lugging around.
Three types of mobile payments dominate the marketplace today: m-commerce (uses a mobile browser and online wallets), m-payments (uses mobile apps), and m-wallets (replaces your entire wallet). Furthermore, consumers can access several forms of transaction on their mobile devices, including scannable barcodes, mobile coupons and self-checkout.
But are consumers ready to wholeheartedly adopt the latest in mobile payment technology? Adults who are unbanked, for instance, may face a barrier to mobile transactions — there are currently 17 million unbanked adults in the U.S. But many smartphone users welcome the convenience of mobile payments (87% in the UK), while others worry about the privacy factor (79% in Asia). Still, 49% of consumers in the U.S. found shopping on a smartphone awkward.
Then again, many people found paper checks awkward and credit cards confusing the first time around.
Where do you fall in the mobile payment debate? What kinds of transactions do you handle on your smartphone? Let us know your thoughts in the comments below.
Just as loyal coffee enthusiasts can’t get enough Starbucks, the folks at Starbucks can’t seem to get enough of anything related to mobile.
From mobile apps to mobile payment platforms, Starbucks is on the vanguard of mCommerce advancements that may soon be far more pervasive throughout the retail space than they presently are.
According to new details that have come to light this week, Starbucks has already processed more than 42 million mobile payments. That’s not bad considering that the program just began last year.
In December 2011, Starbucks revealed that it had processed 26 million mobile payments. Adoption continues to grow exponentially, the company said.
“You’re going to see us as a company that will push the envelope around mobile pay,” Starbucks chief digital officer Adam Brotman told VentureBeat. “We want to innovate in that area before others catch up.”
Best Buy Co. Inc. has found its more valuable customers are ones who don’t just visit the e-commerce site or the bricks-and-mortar store. They also shop using their smartphones and tablets.
How valuable are these customers? The multichannel Best Buy consumer who uses a mobile device makes 15% more e-commerce purchases than the non-mobile consumer, said Chris Moroz, Best Buy associate manager for digital analytics. And, for in-store purchases, the mobile Best Buy consumer is 25% more valuable.
Speaking at the Adobe Digital Summit 2012 in Salt Lake City, Moroz said Best Buy calculated these figures by measuring three sets of data. One was connecting the BestBuy.com visitor data to its database of registered customers. Another was the result of surveys sent to e-commerce visitors who filled their shopping carts, but abandoned the sale. The third was a survey at the point of sale about the consumer’s shopping experience. The data then was screened through digital analytics software from Adobe Systems Inc.
“We found that on any given day a BestBuy.com visitor is more likely to purchase in-store,” Moroz said. Of consumers using a mobile device to visit Best Buy’s m-commerce site, one-fourth were found to make an in-store purchase within two weeks of their visit, he said.
Best Buy, incidentally, fared best in a recent survey by market research firm ClickIQ of the behavior of consumers using smartphones in stores.
To find out what happened after the in-store research was complete, survey respondents were asked to state where they eventually purchased the product they were researching. Best Buy did the best job of retaining the sale. 35% of those that researched at Best Buy ended up purchasing at the Best Buy store with another 14% purchasing at BestBuy.com. However, 21% purchased the product from Amazon.com. The rest did not purchase.
At the conference, Moroz said the next step for Best Buy is to automate much of the data collection process and to get more data about how consumers use Best Buy’s smartphone apps. “The mobile-savvy customer needs to be heard,” he said.
Lynn Lanphier, director, digital analytics, Best Buy Co. Inc., will speak this June at the Internet Retailer Conference & Exhibition 2012 in Chicago in a session titled “The new age of analytics: Creating a data strategy that leads to increased sales.” And learn more about the Mobile Workshop at IRCE 2012.
Since the launch of the first iPhone in 2007, the production and mainstream usage of smartphones has exploded. The device opened a world of innovation in mobile technology, which was soon followed by a similar boom from apps.
Today, we rely on apps to do just about everything, from keeping us organized to pure entertainment. Millions of downloads later, the app economy is as strong as ever.
App development has created 466,000 jobs across all available platforms, according to a survey performed by TechNet. This includes local baristas, since many developers rely on coffee shops to get work done.
Our friends at Frugal Dad have created this infographic about the economy and how it’s been affected by smartphones and apps.