Please forgive me! I know it has been some time since I last posted. Spank me! But, I think the wait will have been well worth it! I have truly been hard at work on the front lines of mobile commerce!
For those who do not know much about me, I am the CEO and founder of mShopper, a Boulder-based, mobile commerce solution provider. mShopper has developed a really terrific, self-service, SaaS, turnkey, mobile commerce and marketing solution that makes it really easy for any merchant, small, medium or large, to launch a profitable mobile commerce solution that works on every smartphone, out-of-the-box, with no IT or budget needed. Check it out. It’s way cool! Love to hear your comments…
That being said, this blog is NOT about mShopper. I offer the above for two reasons only: The first is a semi-lame excuse for why I have been so silent for the last few months. We have been busy little bees in Boulder. We just launched the commercial version of our Mobile Commerce Platform on September 16th. We are projecting that we will have 20 -30 paying clients before the end of the month! The second is that I want to enhance my street cred with you all. I am fully immersed on the front lines of mobile commerce as much as anyone out there (and have been for quite a few years)!
Here is my promise going forward:
- I will be blogging quite often now. There are soooo many things to talk about….
- Expect high level discussions about what is going on generally in mobile commerce
- Expect detailed discussions about how to succeed in mobile commerce
- Expect honest information about what works, what does not work, and even statistics that will help Techies, Marketers, C-levels, Entrepreneurs, Investors, and others
So here is my first little morsel: Mobile Commerce is Here in a BIG WAY!! Rhetorical question to my readers: Do any of you know what percent of global Internet traffic originates from mobile devices? I recently had the honor of addressing a large audience of “New Techies” (350+) here in Boulder, CO. Not one person came close to the correct answer. In June, 2010, 11% of all global Internet traffic originated from a mobile device! (don’t believe me, click here).
This fact alone has profound implications for all you e-tailers out there. First, check your traffic analytics. You will find that a sizeable percentage of your current website traffic is originating from mobile devices. The number will vary depending on the demographics of your audience, but it will range from 3% to 15%! Next, check your conversion rates for your mobile audience, compared with your overall conversion rates. You will be shocked…If you are like most retailers, your mobile conversion rate will be a small fraction of your average, overall conversion rate. Many of our clients have mobile conversion rates that are 1/10th their overall conversion rates. A good mStore will change that…
I created a little spreadsheet you can use to calculate the opportunity cost of not having an mStore right now. The spreadsheet highlights a typical smaller merchant with 100K monthly visits 10% of which originates from a mobile device, an assumed conversion delta of 1.7% (the difference between the overall conversion and the mobile conversion), and an average order size of $100. Believe it or not, this merchant is leaving $17K per month on the table because they have not yet launched a mobile site. That’s $204,000 per year!
Oh, and here are a couple of additional little morsels to masticate:
- Mobile internet traffic grew 32% during the first 6 months of the year
- Mary Meeker, the (in)famous Morgan Stanley Internet Analyst is predicting that mobile-originated web traffic will exceed desktop/laptop Internet traffic by 2014
So, the issues for retailers are not “Should I go mobile now?” or “Can I afford to go mobile?” The issues are “Can I afford NOT to go mobile now?” and “How do I go mobile?” I’ll talk about all this in my next posting. And it won’t be 3 months from now. I promise.