Mobile devices are playing an increasingly larger role in the way consumers are making purchase decisions.
New statistics are being released daily showing how consumers are using their mobile devices for everything from researching products and comparing prices to actually taking action and making the purchase on their mobile device.
As marketing professionals, understanding this path to purchase via mobile will assure that your customers are receiving the wanted information about your product and/or service in the manner needed to reach them.
A recent Mobile Path-to-Purchase study by Telemetrics and xAd outlines many key findings when it comes to the role mobile devices play in the purchase cycle. It also provides critical information on typical purchasing behavior.
1. Mobile now represents a significant portion of online retail shopping
One-third of all retail activity comes from mobile devices. 60% of online retail purchases come from smartphones and 40% from tablets. Although over 50% of all mobile users indicated they are also using additional media sources to aid in their purchase, 46% exclusively used mobile, as their default/primary research tool.
With this level of usage of mobile devices in researching and purchasing retail products, marketers need to make sure they are providing the level of detail and quality of information necessary to aid consumers in these purchase decisions.
2. Location is most important to Smartphone users, while price and deals are top of mind for tablet users
One in four smartphone users consider proximity of the retail business location the most important factor when looking for information via mobile device. One out of two users expects locations to be within 5 miles of their current location. Surprisingly, over 30% of smartphone users intend to make a purchase within an hour, so immediacy is very important to these users.
Tablet shoppers, however, generally have longer purchase cycles with deeper research intent, as 41% take a month or longer to make a purchase. Tablet users are 55% more likely to be in search of general research information and 29% more likely to be in search of reviews. They are also 22% more likely to be looking for and comparing prices.
With these statistics in mind, location based mobile ads would be an important tool to reach smartphone users while tablet users could also be reached through a banner campaign across multiple websites.
3. Smartphone purchases are completed in-person while tablet purchases are completed online
77% of smartphone users are completing their purchases in person, while only 39% of tablet purchases are completed in person. On the flip side, 55% of tablet purchases are completed online, with only 20% of smartphone users completing their purchases online.
The top factors that lead to purchasing online for both devices are: “fits what I was looking for,” “was the right price,” while 16% of smartphone users also list “close to my location” as important factors and 13% of tablet users list “deal that required immediate attention,” as a top factor.
Based on these statistics, retailers need to keep in mind since smartphone users are looking to make a retail purchase within the day (60%) and in-person (77%) there is a strong likelihood any research driving their decision has already occurred. Making your information available to them with the information they are actually looking for, plays a critical part of the overall decision to purchase.
4. Mobile usage converts into sales
Mobile has the ability to influence purchase decisions. A full 55% of all mobile retail users went on to make a purchase. This purchase, varied in immediacy of need depending on the category. With gas/convenience and banking/finance needs more immediate, purchases happening within a day. With retail/insurance needs being less urgent and happen within a month or longer.
Applying this immediacy need to our marketing decisions, makes us smarter about how to use our marketing dollars to reach potential customers especially when they are in need of information.
It is interesting to note, both smartphone users and tablet users notice mobile ads and take action. This is done mostly by visiting the advertised website. One in 5 retail users who viewed a mobile ad took action, with 8% of smartphone users and 10% of tablet users visiting the website that was advertised.
As the use of mobile devices begins to play a larger and larger role in purchasing decisions, make sure your customers have all the information they need about your product or service in the places they are looking for it. This will aid them in making an informed decision and hopefully lead them to a more prompt, efficient purchase they feel good about making via mobile.