Mobile Reaches a Tipping Point for Retailers

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Dec. 27 (Bloomberg) –- IBM Smarter Commerce Strategy Directory Jay Henderson discusses Christmas shopping on IOS versus Android devices and the benefits of each. He speaks to Jon Erlichman on Bloomberg Television’s “Bloomberg West.” (Source: Bloomberg)

Who is spending what on what phone?

We have a benchmark data set that comes from more than 800 retail sites, so we have a pretty comprehensive sample.

The backdrop is a pretty outstanding holiday season for online shopping.

In particular, christmas day, we saw online sales up about 16.5%. mobile has really reached a tipping point this year.

We actually had on christmas day 48% of online traffic coming from mobile devices, so almost half, which includes both smart phones and tablets -- smartphones and tablets.

We seen a pattern where folks are using their smart phones to browse and tablets to buy.

We saw smartphone browsing numbers to be about 28.5% of all online traffic.

About 18% from tablets.

That really flips around when it comes to purchasing.

About 19% of all purchases were made through tablet devices and only 9% of purchases were made through smartphones.

Smartphone to browse, tablet to buy.

As you mentioned, strong performance for ios versus android.

Why do you think that is the case?

A lot of people got their android phones along with their contract and carrier, whereas the iphone -- you know, they made an investment in an additional amount for that device, so the demographics skew to people who are slightly more affluent and also who are a little more comfortable with browsing and purchasing online.

The techno-graphics their lend themselves to people doing a little bit more online shopping -- the techno-graphics there lend themselves.

There is a link on google which says if you bought an iphone during the holidays or got an iphone during the holidays, you click on it, it shows you all the different google tools you can load up on your iphone.

Do you think there is a way to sort of tie that together with what we are learning with how much spending has taken place on android devices versus ios devices?

We have seen people take an approach where they have obviously got their own operating system, but then they understand the reality that there are other phones out there that they need to be able to interoperate with and provide tools for, so they have the chrome browser now available for the iphone, and i think they will work in a multi-platform world that we all live in.

We only have about 30 seconds left, but it feels like a lot of people want to be able to use all sorts of mobile devices for shopping anywhere, everywhere.

Apple still has a very closed world.

A very profitable one that has served them well up to this point, but as we see more mobile commerce, could that be a hindrance for them in terms of keeping people happy if it is more of a closed off world?

What we are seeing really is strong consumer demand for mobile devices.

That includes smartphones and tablets.

Marketers are going to follow the money and go where the consumers are.

I think we will see strong investment across different device types and different vendor sets.

Appreciate the insight.

Jay henderson, strategy director

This text has been automatically generated. It may not be 100% accurate.


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