Study: Mobile drove back-to-school e-commerce sales
Mobile commerce made the grade this back-to-school season, contributing to a 3% increase in overall e-commerce sales.
This was according to research from retail search marketing company NetElixir. The firm said mobile orders were up by 44%, and revenue was up by 64%. Mobile average order value (AOV) increased by 13%, indicating that consumers are now more comfortable using mobile devices for more expensive purchases.
These levels eclipsed desktop usage and sales. Desktop orders were down 3%, and revenue increased by 2%. The study also found that AOV for desktop purchases increased by 4%.
For the back-to-school season specifically, desktop AOV increased by $5 from $127 in 2016 to $132 in 2017. Meanwhile, mobile AOV increased by $13 from $96 in 2016 to $109 in 2017, according to data.
“Every year, the spend on mobile just keeps accelerating, and we can confidently say that mobile sales percentage contribution will continue to increase,” said Udayan Bose, CEO, NetElixir.
“People are getting more comfortable making purchases directly on mobile devices, which means retailers need to be prepared to convert consumers on mobile,” continued Bose. “The good news is that the gap between average order value on desktop and mobile is decreasing. Historically, this gap has been about 30%-35%. With our back-to-school data, we see this gap coming down to under 15%, which means that the trend to spend less on mobile is waning.”
Data also revealed that consumers didn’t rely on their mobile devices solely for last-minute purchases, as they have in past years. This year, one major spike in purchasing activity from July 31-Aug. 2. Overall, the percentage of mobile sales was constant throughout this back-to-school season.
Online merchant bolsters luxury fashion offering
eBay has made a play to make a name for itself as a luxury shopping destination.
The online merchant is partnering with Spring, a shopping app and website that features 1,500 luxury brands, from Prada, Gucci, and Saint Laurent to David Yurman, Rag & Bone, Mango and Chloe. By featuring the company as a marquee seller, eBay will feature a dedicated Spring storefront where shoppers can find, browse and purchase luxury items curated in one location.
The Spring storefront will also leverage eBay’s global platform and services, including its Shop the Look, Image Search, Find It On eBay and ShopBot solutions, according to the online merchant.
The partnership is a good fit for Spring’s highlighted brands and products, as 81% of all merchandise sold on eBay is new. Meanwhile, 88% of eBay’s items are immediately available for purchase, without the need for an auction or membership to make a purchase.
"The Spring and eBay partnership is evidence of a growing trend in which retailers are partnering – instead of competing – with other retailers," said Jill Ramsey, VP of merchandising at eBay. "With Spring, we can bring even more coveted merchandise to our buyers.”
The move is expected to send a message to other e-retailers that have evolved into online shopping destinations. For example, the partnership takes a swipe at Amazon, which continues to build relationships with luxury brands; as well as Gilt, which built its reputation on flash-sales, according to Racked.
Report: Amazon’s 1-Click patent runs its course
A patent that changed how customers make purchases online has expired — and opened up new opportunities for competitors.
The “1-Click” patent filed by Amazon in 1997, expired Tuesday. As a result, any brand can now feature this functionality on their own e-commerce site, according to C-Net.
The patent, which was granted in 1999, allowed customers to make purchases with the online giant using just one click. Besides being an early step in streamlining the online shopping experience, the patent also gave Amazon a leg up over competitors that had more cumbersome checkout processes.
Once the patent expires, any competitor is entitled to offer the purchasing option without being subject to paying licensing fees to Amazon. It will also drive a more consistent experience industry-wide, the report said.
Click here to read more.