6 Market Segments That Can’t Live Without Mobile Commerce
When we asked over 800 merchants in the Mobile Payments & Fraud: 2017 Report about the mobile channel, we got some expected and unexpected answers.
As you might expect, the majority of merchants in the Mobile Payments & Fraud: 2017 Report said that the mobile channel was “Very Important” or “Somewhat Important” to their total revenue. But six merchant segments flat out confessed that they couldn’t live without mobile commerce. In fact, 100% of the merchants in these segments said that the mobile channel was “Very Important” or “Somewhat Important” to their total revenue:
|Market Segment||Very Important||Somewhat Important||Not Important|
From a financial perspective, what contribution did mobile make to the overall revenue of these six channels that can’t live without mobile? At least half of merchants within this group said they get 20% or more of their revenue from the mobile channel. And 100% of merchants in the Dating market segment said that 20% or more of their revenue came from mobile.
|Market Segment||% of Merchants|
As you might guess, 100% of these same six market segments also said that they “Actively Support the Mobile Channel” or “Plan to Support in 1-2 Years.” Again, no surprise that the Dating/Social market segment was already at 100% for “Actively Support” the mobile channel:
|Market Segment||Actively Support||Plan to Support in 1-2 Years||No Plans to Support|
What you might not expect is that 7.5% of Travel Services in the Mobile Payments & Fraud: 2017 Report said the mobile channel was “Not Important” to their total revenue travel services. It seems intuitive that the mobile channel would be vital for Travel Services. In fairness, Travel Services did not have the highest percentage of merchants saying mobile was “Not Important” (see table below). Nevertheless, it was still higher than other market segments where mobile’s importance might not be as intuitive. For example, only 3.1% of Jewelry online businesses and 3.8% of Housewares/Home Furnishings merchants said that mobile was “Not Important” to their overall revenue.
On the other hand, there were eight market segments that had a fairly high percentage of merchants that said mobile channel was “Not Important” to their total revenue:
|Market Segment||Not Important|
|Money Movement/Money Transfer||20.0%|
While it’s understandable why some market segments in this group aren’t fully invested in mobile—due to the nature of their products and/or buyers—Ticketing seems like an outlier. Considering the number of people who spontaneously buy tickets when traveling or when out for a night on the town, mobile transactions would seem critical to these types of merchants.
Want to uncover more unexpected and interesting facts about mobile commerce?There are over 60 tables and charts in the Mobile Payments & Fraud: 2017 Report. Download a copy and get insights into the latest trends, continuing patterns, and changing behaviors related to mobile commerce.