Lack of Knowledge Infrastructure Hinder Shift of Australian Businesses to Online Sales via Mobile Phones
While many Australian businesses would want to gain greater access to ecommerce through mobile devices, many of these firms lack the knowledge and infrastructure to reach their target market.
The survey by Online Business Index for March made by eBay found that 17 per cent or one of six respondents admitted not knowing how they need to invest in mobile commerce. Another 40 per cent acknowledged they do not have enough knowledge to make informed mobile investments.
Australia and the United Kingdom are the fastest growing international mobile markets for eBay, which transacted in 2011 $5 billion using mobile devices. For 2012, eBay expects to increase the value to $8 billion.
"Innovations in mobile technology, changing consumer behaviour and the willingness of retailers to incorporate a multi-channel sales strategy are providing significant growth opportunities for the retail sector, and the findings of the 2012 index reflect these shifts," eBay Vice President Deborah Sharkey was quoted by 9 News.
The survey also found that 28 per cent of Australian businesses think mobile Internet speeds are a major hindrance to grow mobile commerce in the country. Another 24 per cent said coverage was unreliable and 21 per cent said mobile Internet access is still high.
Despite these misgivings, the Australian companies want to go mobile because more of their clients are demanding mobile integration leading 70 per cent of the respondents to believe that a mobile strategy would play a vital role in their business outlook for 2012.
Businesses that have gone ahead and invested in mobile technology are the top sellers in eBay, the survey indicated. Given the advantage that such companies enjoy, 61 per cent of the survey respondents said they plan to invest in mobile technology for the first time this year, another 46 percent plan to optimise online content for mobile, 24 per cent plan to develop a mobile Web site and 21 per cent a mobile app.
Prior eBay research discovered than over four million Australian smartphone owners compare prices before they purchase an item online and 37 per cent researched first for a product using their mobile phone and also looked at the physical product in a traditional retail store.
The clear advantage enjoyed by online sellers is seen in 45 per cent sales surge enjoyed by the 2,000 largest Australian sellers on eBay, while bricks-and-mortar stores are struggling to stop sales declines.