The Rise OF The App Economy, Thanks To E-Commerce
It’s reported that in five years’ time, the app economy will be worth a whopping $6.3 trillion. More and more people are spending time and money on apps.
While, on average, the number of apps people download isn’t trending up, global user-ship is expected to double to 6.3 billion people in a five-year period, while the time spent on an app will more than double. It’s also expected that the average spend on an app will increase to $1,008 in 2021 from the current $379. This will come from advertising spend, in-purchase and commerce.
Purchases of services and goods via a mobile app represented a massive 90% of the total app economy in 2016 and this is expected to grow to 95% in 2021. This shows the power and influence of e-commerce.
Not only is mobile commerce by far the largest area of the app economy, but it’s also estimated to show the largest growth rate annually at almost 40%. App store advertising and spending are expected to have an average annual growth rate of 23% and 18% respectively.
Read on for these three benefits of building a mobile app for e-commerce business.
1. Builds brand loyalty
Don’t underestimate the ability of a mobile app to bring loyal customers to your business. According to the data offered by Adobe, 67% of their online shoppers, who use their mobile devices when making a purchase, actually prefer applications offered by their favorite brands and companies. So, a mobile app solution brings a connection between customers and online stores. You can entice people to your app by offering exclusive discounts for installing it.
2. Apps load content quicker than websites
We all know that a slow-loading website can kill a business. People tend to have little patience, and, if something isn’t loading quickly, they will soon look elsewhere. According to statistics by Kissmetrics, if a website takes more than three seconds to load, then 40% of visitors will leave.
The best mobile e-commerce apps don’t require an internet connection to provide their users with basic functionality such as checking prices or product comparison. This makes them very desirable to use.
3. You can create an advanced marketing strategy
Mobile apps allow retailers to monitor user interaction in comparison with websites to achieve very detailed analytics which can be used to create a personalized and precise marketing strategy. By creating a marketing strategy that delivers results, you are more likely to increase conversions.
If you’re ready to invest in mobile app development in Chicago, then get in touch with us today.