Certainly, mobile commerce has been gaining ground quickly on traditional ecommerce. But now messaging and chat are looking to accelerate that trajectory even more. It’s all about ease, integration, and speed. Brands that enable consumers to make purchases inside messaging apps — such as Facebook Messenger — are making mobile purchases easier and faster than ever.
While the potential for in-chat ecommerce is just beginning in North America, it’ll be important to monitor such markets as Asia-Pacific for how in-chat ecommerce evolves. Mobile commerce is already high in that region — a recent Braintree infographic indicated that 46 percent of consumers in the territory used their smartphone to make a purchase in 2015 — and the high cost of SMS has quickly caused users to turn to free messaging apps. The Asian messaging app WeChat, with 650 million active monthly users, has played a significant role in accelerating the region’s in-chat ecommerce, with users who have long been accustomed to peer-to-peer and business-to-consumer payments for everything — from restaurant meals to transportation to utility bills with WeChat Wallet.
By contrast, unlimited SMS plans in North America limited the rise of messaging apps in the U.S…at least until Facebook made the strategic decision to move all messaging functionality from Facebook to Facebook Messenger in 2014. At the same time, other new messaging apps were rapidly appearing, and, over the last two years, the emergence of new messaging apps has doubled.
Yet, despite a smartphone penetration rate in the U.S. of 72 percent, the percentage of mobile users in the U.S. who made a purchase on a smartphone was only 27 percent. Obviously, though, there is significant growth potential for in-chat ecommerce in North America.
No question, consumers now expect to shop and pay in the most convenient way possible, as quickly as possible. (Waiting is what you do in line at a brick-and-mortar store.)
In the few months since Facebook made its chatbot announcement, many U.S. companies have demonstrated an eagerness to jump on the chatbot wagon. Uber has been ahead of the curve for some time, allowing users to order an Uber car via Facebook Messenger. Ticketmaster will be rolling out the ability to purchase tickets through Facebook Messenger, and such brand giants as American Express, Expedia, Bank of America, and Staples are all developing chatbots using Facebook Messenger as their foundation.
Although in-chat ecommerce adoption is still in its early stages in North America, the pace is increasing as messaging-platform providers and brands scramble to make it work for end users. The bottom line is: If you’re a mobile commerce company, the time to start planning your in-chat go-to-market strategy may be today.
Courtesy of VentureBeat
