"Immature" retailers not grabbing mobile opportunities

James McGrath
By James McGrath | 7 November 2014
 

When the starter pistol fires on the Christmas retailing season in Australia, consumers will be quick on the draw to reach for their mobile phones but retailers aren't in a great position to take full advantage of the change in behaviour, according to Adobe.

The software company's holiday shopping predictions tips a 15% increase in people using their mobile devices for online shopping year-on-year.

It has also tipped Click Frenzy, the online shopping event, to raise $189 million within 24 hours when it kicks off on 18 November.

But Adobe's head of marketing Paula Parkes told AdNews Australian retailers were not yet in a postition to fully capatilise on the change of shopping behaviour, despite Australia outpacing economies such as China, Canada, the UK, and Germany in terms of mobile spending as a proportion of total online spending this year.

"I feel Australian retailers are immature in terms of what they're offering today and we can see that when we compare what they're doing against what some of our global brands are doing," Parkes said.

Adobe said it predicts 8% of the transactions processed as part of Click Frenzy to come from mobile phones, and 11% to come from tablets as shoppers seemingly turn away from the desktop environment in favour of the mobile experience.

However, while the rhetoric has been about mobile cannibalising desktop and bricks and mortar shopping experiences, Parkes said mobile shopping is supplemental to the shopping experience.

"I think it's really augmenting the experience rather than cannibilising any other form of shopping," Parkes said. "What shoppers are looking for is an immersive, interactive, and convenient experience and that experience should be accross all e-commerce touchpoints."

However in Australia this simply hasn't happened, despite the high smartphone pentetration. Given Australian retailers are the fourth-most dependent in the world for online revenue during the Christmas season, it really is a missed trick.

Adobe claims there is a lack of digital pureplay retailers in Australia that have nailed the mobile shopping experience so people are turning to established bricks and mortar brands that have expanded into the digital arena.

Parkes also noted that services such as Apple Pay and PayPal are enticing more shoppers to engage with retailers via mobile, saying the ease of payment outweighs privacy and security concerns.

"It's not really going to hit down here this Christmas season, but the early signs we're seeing is that the ease of use and ease of transaction is a real plus for consumers," Parkes said.

"Yes, there is that security debate around but it's not really holding too many people back from trying the service."

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