comSCORE STUDY: 4 OF 5 SMARTPHONE OWNERS USE THEIR PHONE TO SHOP; AMAZON IS THE MOST POPULAR MOBILE RETAILER

 

On September 19, 2012, comScore released a study on U.S. smartphone behavior with respect to retail and shopping. The study found that 4 in every 5 smartphone users, which represents 85.9 million U.S. users, accessed retail content on their device in July. Top six retailers in comScore's study were as follows:

• #1 - Amazon was the top retailer with an audience of 49.6 million visitors. 
• #2 - eBay with (32.6 million visitors). 
• #3 - Apple (17.7 million visitors). 
• #4 - Wal-Mart (16.3 million visitors). 
• #5 - Target (10 million visitors).
• #6 - Best Buy (7.2 million visitors).

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The top specialty retailers were as follows:  

• #1 - Ticketmaster attracted 5.7 million visitors as summer concerts and performances saw fans turn to their smartphones for tickets and information. 
• #2 - Home Depot (4.4 million visitors). 
• #3 - Lowes (3.2 million visitors) also saw traffic. 

Shopkick, the location-based shopping rewards company, saw its mobile audience reach more than 4 million visitors in July.

Among both iPhone and Android users, Amazon ranked as the top retailer with a reach of 43 percent among iPhone users and 55 percent among Android users, with visitation to the Amazon Appstore largely accounting for the higher reach among Android users. In contrast, Apple saw 33.5 percent reach among iPhone owners compared to 7.3 percent among Android users. Among the majority of the selected retailers, comScore reports that the iPhone had a higher penetration compared to Android, while in most cases Android devices delivered a larger audience due to the platform’s higher overall market penetration.

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comScore also broke down the demographics of mobile shoppers. Across both smartphones and desktop computers, males and females represented nearly equal proportions of retail category visitors. However, females accounted for a higher share of time spent on retail destinations at 53.4 percent of minutes on desktop computers and an even greater share of retail minutes on smartphones at 56.1 percent.

Female shopper compares prices by scanning barcodes on packaging (Click Image To Enlarge)

Smartphone shoppers were also more likely to be younger than their desktop counterparts with 70.7 percent of smartphone retail visitors under the age of 45 compared to 61.1 percent of desktop users. Engagement among these audiences showed even greater disparity with visitors under the age of 45 accounting for nearly 3 in every 4 minutes spent on retail content via smartphones, compared to 61.6 percent of retail minutes on desktop computers.

Among smartphone audiences accessing retail destinations, nearly 1 in every 3 had a household income of $100,000 or greater, with this income segment driving a comparable 31.2 percent of minutes spent on retail sites and apps.

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COMMENTARY:    According to Google's Our Mobile Planet: United States, Understanding the Mobile Consumer released in May 2012, below are the smartphone owner demographics and how smartphone owners are using their phones.

Smartphone Owner Demographics

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How Smartphone Owners Are Using Their Phones

Smartphones have become an indispensable part of our daily lives. Smartphone penetration has risen to 44% of the population and these smartphone owners are becoming increasingly reliant on their devices. 66% access the Internet every day on their smartphone and most never leave home without it. Implication: Businesses that make mobile a central part of their strategy will benefit from the opportunity to engage the new constantly connected consumer.   

1. 44% of the U.S. population use smartphones, an increase from 31% in Q1 2011.
2. 62% of respondents said they had used their smartphone every day over the past 7 days.
3. 80% of smartphone users don’t leave home without their device.
4. 97% use smartphones at home, 83% while on the go, and 78% while in brick and mortar stores.
5. 66% access the internet at least once daily from their smartphone; 73% do so to use email and 62% to use search engines.

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 Smartphones have transformed consumer behavior. Mobile search, video, app usage, and social networking are prolific. Smartphone users are multi-tasking their media with 86% using their phone while doing other things such as watching TV (52%). Implication: Extending  advertising strategies to include mobile and developing integrated cross-media campaigns can more effectively reach today’s consumers.  

• 57% search on their smartphones every day.
• 76% use their smartphones to watch online videos.
• 80% use their smartphones for social networking (55% visit a social network once a day).
• 86% use their smartphones while multi-tasking with other media.
• 59% use their smartphones to obtain product information.
• 50% use their smartphones to obtain information about restaurants, bars and pubs.
• 31% use their smartphones for travel information.
• 25% use their smartphones for job offers.
• 18% use their smartphones to find housing and apartment information
• 53% use their smartphones for news and information (read online magazines and newspapers, blogs and forums). 
• 88% use their smartphones for entertainment (browse the internet, play games, listen to music and watch videos).
• 83% use their smartphones for daily communication (email, texting, voice, social networking) 

Smartphones help users navigate the world. Appearing on smartphones is critical for local businesses. 94% of smartphone users look for local information on their phone and 90% take action a result, such as making a purchase or contacting the business. Implication: Ensuring that  clickable phone numbers appear in local results and leveraging location based services on mobile  make it easy for consumers to connect directly with businesses. 

• 94% use their smartphones to lookup local information (58% at least once a week, 27% at least daily).
  • 70% connected with the business.
  • 66% visited the business.
  • 23% told others about it.
  • 36% made a purchase.

Smartphones have changed the way consumers shop. Smartphones are critical shopping tools with 96% having researched a product or service on their device. Smartphone research influences buyer decisions and purchases across channels. 35% of smartphone users have made a purchase on their phone. Implication: Having a mobile optimized site is critical and a cross-channel strategy is needed to engage consumers across the multiple paths to purchase. 

• 96% have researched a product or service on their smartphone.
• Smartphones allow users to research products anytime, anywhere.
  • 58% use their smartphone from home.
  • 43% use their smartphone on-the-go.
  • 31% use their smartphone in a store
  • 29% use their smartphone while at work.
  • 19% use their smartphone in a restaurant.
• Smartphones are our primary shopping companion.
  • 35% use them for obtaining product information and comparing prices.
  • 32% of shoppers have changed their mind about buying a product or service in a store after gathering information about the product on their smartphone.
  • 29% of shoppers have changed their mind about buying a product or service while shopping online after gathering information about the product on their smartphone.
• Research that starts on smartphones leads to purchases across channels.
  • 37% then purchased the product via a computer.
  • 32% then purchased the product offline.
• Smartphones are an emerging point-of-purchase.
  • 35% have purchased a product or service on their smartphone.
  • 68% have purchased a product or service in the past month.
  • 62% make mobile purchases at least once a month.
  • 31% expect to make more mobile purchases in the future.
• Purchases by smartphone face several barriers.
  • 65% would prefer to use a PC or laptop to make the purchase.
  • 38% believe mobile purchases are less secure.
  • 12% believe mobile purchases are too complicated.
  • 6% said some mobile purchases did not offer sufficient payment features (no credit card) 

Smartphones help advertisers connect with consumers. Mobile ads are noticed by 89% of smartphone users. Smartphones are also a critical component of traditional advertising as 66% have performed a search on their smartphone after seeing an offline ad. Implication: Making mobile ads a part of an integrated marketing strategy can drive greater consumer engagement. 

• 66% have performed a mobile search after seeing an ad on another channel.
  • 58% from a TV commercial.
  • 57% from a shop or business.
  • 48% from a magazine.
  • 36% from a billboard or sign. 
• 61% only look at the first page of results when conducting a search on their smartphone.
• 89% of smartphone users notice mobile ads.
• Mobile ads make an impression
  • 48% while in a mobile app.
  • 46% while on a website.
  • 40% while using a search engine.
  • 27% while watching a video.

Courtesy of an article dated September 19, 2012 appearing in TechCrunch