Generation of the New Sale
This is especially true for ecommerce enterprises that have confined the breadth of their sales by conducting business solely through websites. It is past time for modern firms to recognise the type of relationship that modern consumers have with their phones. Warning: This article contains spoilers. It’s a really personal one!
When you, as an ecommerce business owner, decide to change your core strategy to include mobile users as a target market, you dramatically extend the market and your opportunity to increase sales revenues.
Touch of Modern, one of the ecommerce companies, claimed a 4x increase in their number of orders in the year they released their mobile apps! Yes! That’s how much of a difference having your own mobile app can make to your bottom line.
Let’s make it more fascinating by putting it in numbers. Let’s pretend for the sake of argument that Touch of Modern had previously received 1,000 orders totaling $100. This means that the implementation of a mobile app resulted in an increase of $300,000 in order value!
The majority of ecommerce platforms with a comprehensive digital presence that includes a website and a mobile app claim that mobile devices account for a significant portion of their total revenues. This accounts for 70% of Touch of Modern’s overall sales. Also, this highly popular, members-only e-commerce website and app claims that repeat consumers account for 57% of all purchases. Obviously, their customer retention strategy is pretty successful! That does not, however, imply that they are falling behind in terms of customer acquisition. Every month, they receive between 150,000 and 200,000 new app downloads!
This upward trend in new client acquisitions, as well as the excellent percentage of sales generated through their mobile app, imply that the company will continue to develop in the coming years.
If you run an ecommerce business and you only have a website, it’s time to think about branching out into m-commerce and creating your own e-commerce mobile app to sell your products online.
One thing to keep in mind is that having a mobile-friendly or responsive website is necessary, but not sufficient. Here’s what we’ve got when it comes to comparing mobile browsers and apps.
Mobile apps are certainly outperforming mobile browsers everywhere! Furthermore, the average retail order placed through mobile apps is $10 higher than through mobile browsers. As a result, the company will experience consistent growth as more clients spend more money on mobile apps and convert at a higher rate than on mobile browsers.
This is due to the fact that in mobile apps, the checkout procedure is frictionless, resulting in a better user experience. Customers who have previously converted can save their payment information in the app and check out with the fewest possible taps.
Customer Retention Increased
Industry leaders have proved that developing a mobile app quickly improves the client experience by several notches. It’s only natural that when the customer experience improves, the customer retention rate rises as well. And we all understand how crucial it is to keep our customers.
The Starbucks app is a great and well-known example of this. Starbucks has been able to leverage its app in a two-pronged manner, increasing retention and driving revenue.
What do you believe they done to accomplish this?
If your company has an app that users have downloaded or are considering downloading, it is critical that they feel secure about their data and privacy.
It’s a simple notion, but it’s difficult to pull off. They’ve ensured that every feature, part, and component of their app is geared at providing a positive consumer experience.
The mobile payment option is one of the features that has proven to be the most beneficial to them. Customers can save their payment information so they don’t have to take cash or credit cards out while making purchases with in-app purchase feature.
Customers and employees alike will find the checkout procedure to be much faster and more convenient in this manner.
Furthermore, the software allows users to place morning coffee orders from their mobile devices while on the go, with the card they have placed on the app being paid. This way, when they arrive at the café, their order will be ready for them, and they won’t have to queue or take their wallets or phones out to get it.