The $4 trillion retail business in the U.S. is being forever altered by
mobile shopping applications. A new Yankee
Group report, "How
Brick-and-Mortars Can Thrive in a Smartphone World," indicates that
46 percent of U.S. consumers use their smartphones to check prices and
reviews while shopping at retail stores, up 5 percent from 2010. And
armed with that information, nearly half buy a less expensive product
elsewhere.
"Our survey is a wakeup call”this adds up to millions in potential lost
revenue for brick-and-mortars," said Sheryl
Kingstone, Yankee Group research director and author of the report.
"Retailers must embrace mobile beyond price comparison and target
consumers who are not solely driven by price. Engaging mobile consumers
with tools such as inventory availability, real-time personalized
offers, personal shoppers and self-checkout will make the difference
between retail success and failure in the new mobile economy."
Other findings from the report include:
Mobile is a fundamental part of the shopping experience.
Fifty-four percent of consumers have downloaded a mobile shopping
application, and 24 percent consider mobile shopping applications
essential.
Online sites are trusted more than traditional retailers.
Fifty-six percent of consumers say they trust online sites such as
Amazon over traditional brick-and-mortar retailers for tasks such as
price comparisons.
High-income consumers lead the way. High-income users are more
likely to download price comparison applications”and use the
information to either buy from a different store or request a price
match. Eighty-three percent of consumers whose income is over
U.S.$200,000 are likely to use the information to purchase the product
online instead.
