With 2nd quarter sales at record levels, experts are projecting that the ecommerce industry will continue to see remarkable growth, particularly due to the new investments being made in the market. In other news, smartphone users rely very heavily on their mobile devices to locate local businesses, and Facebook is exploring new ad formats to increase their appeal to businesses. In an unprecedented move, a group of retailers are coming together to form a new mobile payment system app that will allow merchants to offer targeted promotions and a convenient, user-friendly purchasing experience.
Ecommerce Space is Projected to Experience Tremendous Future Growth
According to a new report, the ecommerce space will continue to experience record growth within the next few years. With new private equity and venture capital investments, the ecommerce industry is poised to become an even more significant segment of the whole retail industry over the coming years. Transaction sizes have nearly doubled compared to figures released from the previous year, and this among other data indicates that the online shopping market is still on an upward climb towards tremendous positive growth. Experts think that innovators will experience the most growth over the next few years.
Smartphone Users Rely Primarily on Search to Find Local Vendors
A study conducted by Neilson for xAd Inc. reveals that smartphone users often use their mobile devices to find local businesses. According to the study, mobile commerce behavior is significant in that searchers are very likely to use their devices to search for local businesses and purchase from them. Findings indicate that 73% of smartphone users use their mobile device to locate businesses and to find contact information, while 84% of these users look for the business’s location through mobile search. With more than half of these searchers likely to make a purchase, optimizing a local storefront for the web is a critical factor to Internet marketing success.
Advertisers Given Broader Reach with Facebook Ads
With Facebook under fire for the effectiveness of the network’s advertising campaigns, the popular social media site is testing new ad formats that will allow marketers to add their posts to news feeds of consumers who have not yet engaged with their brand and liked their page. Previously, the only avenue that business owners and marketers had to promote themselves via Facebook were marketplace ads that appear on the right side of the page, but with the introduction of this new ad format and “Sponsored Stories,” Facebook advertisers will be able to promote their business more effectively to groups of targeted users to improve their social online marketing efforts.
Experts Explore Keys to Ecommerce Success
With so many new ecommerce solutions cropping up for online merchants, it can sometimes be difficult to determine which is the most effective platform, design, layout, or marketing channel. With a robust ecommerce strategy, vendors can increase sales, drive more traffic, and improve their online conversion rate. One of the most important aspects of the ecommerce experience according to experts is the website design. The design should be professional, attractive, and functional, and the site should have a high level of usability. With the introduction of new innovations in ecommerce, functional or interesting features can be added to improve the customer experience and encourage more sales.
Merchants Come Together to Form Merchant Customer Exchange Payment System
In an uncharacteristic move, top retailers have joined forces to develop a mobile payment method called Merchant Customer Exchange that will allow merchants to offer shoppers unique, targeted promotions on the new mobile app. The app will focus on providing a convenient mobile shopping payment method that will integrate unique promotions, offers, or programs so that customers can easily pay for their purchases with their mobile phone. Members of the Merchant Customer Exchange program include Wal-Mart, CVS, Lowes, Sears, Shell, Publix Super Markets, Best Buy, Target, and more. It is unclear whether other companies will use MCX or if the mobile ecommerce app will be optimal for small businesses as well as enterprise level corporations.