Mobile Users Eschew Online Shopping

11 December 2000

Only one in ten of wireless device users have used their phones for shopping, reports a new survey of 2,370 US and British users. The study from Andersen Consulting attributes this to the reluctance of many retailers to invest in m-commerce.

Says Andersen’s Jeffrey Luker: “Many retailers are caught in the morass of being average. There are too many boring retailers out there who are not going to survive.” They should, he argues, view e-commerce as a way of differentiating themselves.

One New York mall, the Palisades Center, is bucking the trend by testing an m-commerce system that enables tenants, such as Gap and Victoria's Secret, to send messages about their promotions to shoppers' wireless devices.

Another researcher, Forrester Research, confirms Andersen’s prognosis, predicting that m-commerce will account for only 0.1% of all retail revenues – or 1.3% of all online sales – by 2005.

News source: Financial Times