This document summarizes key trends in mobile retail from 2010-2011. It finds that 51% of British adults now shop online, with 15% accessing the internet via mobile devices. Online retail sales grew 23% in 2010, higher than the forecasted 13% growth. Sales are predicted to increase 18% in 2011 to £69 billion. Consumer behavior is also rapidly changing, with nearly half owning a smartphone and over 30% using their phone to shop online or research products. Retailers are advised to provide a seamless cross-channel experience that meets consumers' increasing mobile needs.

1. Mobile Retail
Master Class
March 15, 2011
David J Smith – Managing Director

2. IMRG Members

3. The e-retail market position
• The majority of British adults now shop online:51%
• 82.5% of Britons have internet access
• 15% of internet users access via mobile devices
Source: BPS IMRG Report April 2010

4. 2010 summary
Percentage increase year on year
25
20
15
Forecast 13%
10
5
0
Forecast growth Q4 16%
Actual 23%

5. 2010
% Quarterly Year on Year Growth in IMRG Capgemini E-
30 Retail Sales Index
25
Total Market
20
Multichannel
15
Online Only
10
Total Market (excluding
5 travel
0
Q1 Q2 Q3 Q4
-5

6. Predictions for 2011 – What’s in store?
2011
2010 2011
Forecast
£58.8bn £69bn
Growth
18%

7. 2011
25
20
Forecast 18%
15
10
5
0
Forecast growth 18%

8. 2011
25
20
Forecast 18%
15
10
5
0
Forecast growth 18%

9. 2011
25
20
Forecast 18%
15
10
5
0
Forecast growth 18%

10. The changing consumer

11. It’s a cross-channel world

12. The changing consumer

13. The changing consumer

14. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

15. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
• 31.79% of smart phone owners have used their phone to shop online for products*
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

16. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
• 31.79% of smart phone owners have used their phone to shop online for products*
• 43.06% of smart device owners have used their phone to research products before
purchase*
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

17. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
• 31.79% of smart phone owners have used their phone to shop online for products*
• 43.06% of smart device owners have used their phone to research products before
purchase*
• Consumer’s increasingly using social media to interact with brands; Topshop are now
actively engaged with well over 1 million customers via Facebook alone**
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

18. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
• 31.79% of smart phone owners have used their phone to shop online for products*
• 43.06% of smart device owners have used their phone to research products before
purchase*
• Consumer’s increasingly using social media to interact with brands; Topshop are now
actively engaged with well over 1 million customers via Facebook alone**
• Consumers are already using their smart phones on the high street to give feedback,
check stock levels and compare prices across retailers*
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

19. Consumer behaviour is rapidly changing
• 48% of all consumers now own a smart phone*
• 31.79% of smart phone owners have used their phone to shop online for products*
• 43.06% of smart device owners have used their phone to research products before
purchase*
• Consumer’s increasingly using social media to interact with brands; Topshop are now
actively engaged with well over 1 million customers via Facebook alone**
• Consumers are already using their smart phones on the high street to give feedback,
check stock levels and compare prices across retailers*
• Internet use over Christmas had increased by 15% in just two short years***
*eCustomerServiceIndex results January 2011
**Social Media Benchmark January 2011
***Online Christmas activity December 2010

20. Satisfaction across the customer journey
Search Search Shopping
Homepage (Keyword) (Navigation) Product Basket Purchase Delivery
pages
Satisfied
eRetail
Benchmark
mCommerce
Benchmark
Dissatisfied

21. Best and worst practice across the mobile
customer journey
Satisfied
Dissatisfied

22. Thank you
david@imrg.org