Wednesday, May 30, 2012

Retailers follow holiday shoppers online | Kuwait Times

tech24 300x203 Retailers follow holiday shoppers onlineFORT WORTH: More consumers are using smartphones and tablet computers to help them shop this holiday season, and more stores and shopping centers are rushing to meet them there. An estimated 15 percent of US consumers visiting a retailer?s website this month will use a mobile device, up from 4.2 percent in October a year ago, according to data compiled by IBM Coremetrics. Boosting traffic this holiday season: the fast growth of Android-based smartphones as well as tablet computers such as the iPad, said John Squire, Coremetrics? chief strategy officer. Consumers are using mobile devices to search for store locations, compare prices and promotions, check product availability, read reviews, check the digital gift lists of family and friends, and makes purchases, industry people say. The consumer has an entire store in their hands,? Squire said.

Mobile applications are one of a number of digital tools that retailers and shopping centers increasingly are deploying. Against an uncertain backdrop for the important holiday retail season, online sales are expected to surge. Coremetrics estimates that mobile devices accounted for 9.6 percent of online sales in October, up from 3.4 percent a year earlier. Mobile platforms also dovetail with consumers? and retailers? increasing use of social media sites like Facebook to reach each other. Indianapolis-based Simon Malls launched an Apple mobile app a year ago that integrates the Facebook, Twitter and Foursquare social networks.

Shoppers can use the app to check their Simon gift card balances, find their cars in the parking lot, and view events and promotions at local malls. In September, Simon launched an app for Android devices. Les Morris, a spokesman for Simon, says the company doesn?t disclose specific figures on total downloads, ?but we?re well into the six figures.? He says the Simon app consistently is among the top 100 free lifestyle apps in Apple?s iTunes store.
In the last year, Simon malls have also launched Mobile Shopper Clubs, where shoppers can sign up to receive text message updates. Simon-owned Grapevine Mills mall, near Fort Worth, recently used its mobile platforms and social networking sites to announce Santa?s arrival and promote a $3 coupon against the price of photo packages, which start at $19.95.

Squire, of IBM Coremetrics, says he expects retailers to increasingly use what they know about their shoppers to deliver a ?hyperpersonalized? experience and offers over mobile platforms, including free shipping, which is highly important to online and mail order shoppers. Collaborative features such as shopper ratings, reviews and gift wish lists will be popular, he said. ?Consumers can go in and find out what is the best gift for kids under $40,? he said. ?What?s the wisdom of the crowds for gifting this season? That?s a place where the mobile device can be invaluable.? A Deloitte annual survey of more than 5,000 consumers in September found 27 percent of smartphone users expected to use their devices for holiday shopping this year.

Sixty-seven percent expected to use them to search for store locations, 59 percent to compare prices, and 46 percent to check product availability. But retailers have less time to close the deal over the mobile platforms than they do with consumers sitting in front of their PCs. Coremetrics? research shows consumers spend an average of 3.5 minutes on a retail site when visiting from a mobile device, compared to seven minutes from a PC.

Squire said that time should rise as more consumers use tablets, which tend to show longer visits on retail sites. He attributes that to factors such as larger screen size, the ?fairly rich shopping experience? that comes over a tablet, and a consumer demographic ?that appears to be great shoppers.? Some segments may do better than others with mobile platforms. ?Department stores have spent a lot of time investing in (mobile) technology, they?ve invested in promotions and free shipping,? Squire said. Health and beauty, while ?probably not as challenged by the pricing,? has done a good job of building consumer loyalty and mobile platforms, he said.

J.C. Penney has increasingly been making use of mobile platforms, launching its first mobile app in August 2009, mobile coupons in fall 2009, and mobile commerce site m.jcp.com last fall. This holiday season, Penney is offering free digital Santa Tags with purchase. The tags come with QR codes that consumers can scan and use to record personal voice messages with their gift; the recipient scans the code to hear the message. (The Gizmodo gadget site has already panned the idea, saying, ?As an alternate idea, why not try using your phone?s pre-installed phone app to simply call the person on Christmas morning??) Penney is using Foursquare ? the location-based site that retailers can use to reward shoppers for ?check-ins? ? to shoot out digital holiday coupons. And Penney has updated its iPhone, Android, and iPad apps to let consumers shop store ads using their mobile devices, and buy online using them. ? MCT

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