Whether you are launching a new product or trying to reach a new market, it is clear that mobile commerce offers significant competitive advantages for retailers. The access and customer data that mobile commerce can provide is a great source of information for expanding market share.
However, advantages always come with disadvantages.
Highly competitive marketplace
In recent years, many companies have shifted their focus to investment and success in mobile commerce. If you start today, you’ll meet thousands of existing competitors along the way. As a store owner, you need to find a clearly targeted market or a niche market to have a competitive advantage.
Ad fraud risk
Ad fraud is always the biggest prejudice in mobile commerce. Meanwhile, the majority of businesses are not well prepared to deal with this risk. According to HuffPost, more than 60% of marketers confess that they don’t have any preparation to block out fraud on mobile marketing.
Businesses should ensure their compliance with MRC (Media Rating Council) and TAG (Trustworthy Accountability Group) standards. This is the first step to showing your customers that you are aware of mobile ad fraud and are working to take steps to head off it.
When customers allow you more access to their data, m-commerce businesses take on a greater responsibility to protect personal information. You must ensure that your company and any of your partners adhere to strict user protection terms. Then, make it transparent to your customers about what and how their data is shared, collected, and stored.
Not personalized connection
Online shopping and mobile commerce are still considered low-personality. Therefore, commerce businesses are still trying harder to connect with their customers. Giving consumers a personalized message or reward based on their date of birth and preferences are some of the suggestions for creating a greater sense of belonging and appreciation.
To address the limitations, mobile commerce should be seen as an enhancement to the traditional shopping journey, not a replacement. One of the best ways to deal with both the pros and cons of mobile commerce is by building a mobile-first site or shopping mobile app so you can connect with consumers and stand out from your competitors.