RSS feed Get our RSS feed

News by Topic

BizReport : Mobile Marketing : April 12, 2016

Mobile shoppers that log-in spend more than guests

Logged-in mobile shoppers spend more than guests, according to new research from mobile optimization firm Moovweb, and PayPal may not be the user-friendly mobile payment method of choice it used to be.

by Helen Leggatt

Analysis of 1.8 million smartphone sessions by Moovweb reveals that of the top 100 online retailers, one-third require mobile shoppers to register and log-in before they can make a purchase. While it may be expected that the perceived inconvenience of having to register to make a purchase might mean more people made purchases as guests, there was very little difference. Mobile shoppers were just 1.2 times more likely to check-out as a guest.

However, Moovweb's research found that mobile shoppers that do log-in spend 10% more, on average, than those who shop as guests. Furthermore, conversion rates among guests and registered users were about the same.


Average order value was found to be higher among mobile shoppers who chose to log-in, but the share of revenue from guest check-out was 12% higher.

Moovweb also found that PayPal might not be the holy grail of time- and click-saving for mobile shoppers. In fact, instead of increasing the chance of a mobile purchase, using PayPal had a 14% lower conversion rate than using a credit card instead, the study found. It seems the additional step of loading the PayPal website, forgetting their PayPal login and the occasional bug can cause shoppers to abandon their purchase.

However, Moovweb senior analyst Kendra Cook believes that "Just because PayPal is associated with a lower conversion rate, this does not mean that the same users would be more likely to order with a credit card," adding that "It's likely that many users who abandon the PayPal checkout would have abandoned the checkout process much earlier if the option had not been available."

Tags: mcommerce, mobile payments, mobile shopping

Subscribe to BizReport



Copyright © 1999- BizReport. All rights reserved.
Republication or redistribution of BizReport content is expressly prohibited without the prior written consent.
BizReport shall not be liable for any errors in the content, or for any actions taken in reliance thereon.