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This holiday season, mobile phones are set to make a big dent in the e-commerce landscape. According to Experian Marketing Services' new 2010 Holiday Marketer report, the percentage of consumers who purchase from mobile phones has grown from 10% in 2009 to 13% in 2010.
That number is growing quickly, and consumers are increasingly using their mobile phones to make and inform their purchases. Smart retailers will be taking heed of this trend going into the 2010 holiday season.
Social networking is becoming an increasingly important medium for online retail, accounting for more than 3% of all visits to the top 500 online retail sites. For the upcoming 2010 holiday season, email marketing volumes are expected to increase 15-20% compared to the same time period in 2009.
Increasingly, timing and placement are becoming more important to digital marketing. According to Bill Tancer, general manager of research at Experian Marketing Services:
"As we approach this holiday season, various economic indicators show signs of improvement. At the same time, however, consumer spending remains cautious."
Experian found that email messages offering free shipping, discounts and reward points had lower open and click-through rates, but higher transaction rates and revenues this year. Offers of free gifts had the highest transaction rates, while the promotion of gift cards in holiday email marketing messages more than tripled transaction rates for multichannel retailers last year.
This year, Experian predicts that marketers will advertise holiday sales like Black Friday earlier than last year. And moblie stands to be the break away channel to reach consumers for the holiday shopping season.
The percentage of consumers who make purchases from their mobile phones has grown from 10% in 2009 to 13% in 2010.
Experian breaks down mobile shoppers into five categories: mobile professionals (17%), social connectors (22%), mobirati (19%), pragmatic adopters (22%) and basic planners (20%).
While men are more likely than women to be mobile professionals, women dominate the social connectors segment. Moblie consumers are also younger — and have on average a lower income — than the general populace.
But more than 13% of mobile phone users claim that they have purchased products from their phones. And that number is growing.
Twenty-four percent of online consumers (regardless of whether they own smartphones) say they expect to be comparing prices in mobile, and 22% expect to purchase items from their mobile phones in the next 12 months.
Most importantly, compared with 2009, consumers today are 38 percent more likely to say they find mobile ads from businesses including sales or promotions useful.
"By the time this holiday season is over, mobile comparison shopping while inside the brick and mortar store will become an ingrained and common consumer practice. Once learned by consumers, behaviors become very hard to change. The challenge for retailers is how they either embrace or try to repel this trend."