M-commerce the next big thing?

M-commerce, or commerce that takes place via a mobile device, is a nascent shopping channel, but it is one that is worth monitoring over the coming months.

by Helen Leggatt

nielsen%20mobile%20logo.gif M-commerce is no longer limited to ring tones and background images. Nowadays, shoppers are able to purchase many more items via their mobile devices such as books, food and clothing.

In fact, over 9 million mobile subscribers in the U.S. claim to have purchased goods or services using their device, according to recent data from Nielsen Mobile.

And, believe it or not, men are shopping via m-commerce more than women, 4.9 million and 4.3 million respectively.

Speaking at the Internet Retailer Conference and Exhibition, held in Chicago earlier this month, Nielsen Mobile’s Director of Insights, Nic Covey, told audiences that he expects m-commerce to become increasingly popular, especially among those who are already shopping online or via a landline. “Mobile commerce is an obvious and useful extension of that opportunity,” he said.

However, 9 million is still only 3.6% of U.S. mobile phone subscribers and there are a few hurdles to jump before mobile becomes more widely acceptable among consumers. Not only do many (41%) have privacy concerns, but almost a quarter worry about the costs involved for airtime and 21% don’t trust that the transaction will be completed.

"As with other forms of electronic commerce, US consumers need proof that mobile transactions will be a safe, affordable and efficient complement to other modes of shopping," said Covey in a recent announcement. "As long as retailers continue to meet those expectations, more consumers will come to view mobile shopping as a compelling and viable option."