The development of e-commerce mobile apps and their impact on sales growth
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The e-commerce market is growing at a rapid pace, with more and more consumers choosing mobile devices as their preferred method for online shopping. Is your online store ready for the era of m-commerce? Discover the benefits of a mobile app and learn how it can boost your business's sales.
How many people use mobile devices?
Impressive growth, record-breaking sales, and the rising popularity of shopping via smartphone - this summarizes the current state of the e-commerce industry.
According to Shopify global e-commerce sales reached $5.29 trillion in 2022, and forecasts suggest they will exceed $6.86 trillion by 2025. At the same time, the GWI report shows that 96,5% of internet users access the web through mobile devices.
The rise of mobile apps in e-commerce
The popularity of mobile apps in e-commerce stems from the convenience and accessibility they offer. With intuitive navigation and visually appealing product presentations, shopping on a smartphone is pure joy. Consumers appreciate these advantages - in 2022 alone, shopping apps were downloaded billions of times.
Benefits of mobile apps for e-commerce
How can you benefit from having your own mobile app for your store? First and foremost, it provides a powerful tool for building customer loyalty. A mobile app allows you to offer personalized deals, attractive promotions, and engaging content – all at your customers' fingertips, whenever they want. This helps you create a strong bond with your customers and encourages them to visit and shop regularly.
A mobile app is also a valuable source of information about customer preferences and behaviors. Each user interaction provides data that, when analyzed, helps you:
- better understand customer needs;
- create more accurate product recommendations;
- enhance your marketing campaigns.
Well-designed apps feature intuitive navigation, lightning-fast page loads, and seamless mobile payments. Each step of the shopping process is so smooth and natural that it encourages users to return to the app.
A satisfied customer is a loyal customer. That’s why businesses aiming for e-commerce success invest in mobile app development. It’s an effective way to gain the favor and trust of today’s consumers.
Features of mobile apps that drive sales
Which mobile app features have the greatest impact on sales growth? One standout is push notifications. Personalized messages sent at the right time can effectively drive purchases. Studies show that push notifications can increase app user engagement by up to 88%.
Mobile apps also excel in personalizing offers. By leveraging data about user preferences and behaviors, apps can showcase products that match individual shopping habits. This approach is far more effective than generic advertisements targeting all users. It’s easier to reach customers with something that genuinely interests them.
Loyalty programs integrated into the app can work wonders in fostering long-term customer relationships. These programs allow users to earn points for purchases, referrals, or regular activity in the app. Points can then be redeemed for attractive rewards, discounts, or special perks.
A great example is the "H&M Customer Rewards Program," where customers earn one point for every dollar spent. Accumulating 200 points can be exchanged for a $5 voucher.
Functional trends in e-commerce mobile apps
Creating great mobile apps for online stores is not just about user convenience. It’s also about leveraging new technologies that make shopping easier and faster while enhancing customer service efficiency. These modern solutions help with faster product discovery, smoother payment processes, and quicker issue resolution for customers.
What are the key functional trends in e-commerce apps
- Integration with social media – connecting with platforms like Instagram or Facebook creates new sales paths. Users can shop directly from social media, expanding reach and boosting revenue.
- Voice assistants - with speech recognition systems, customers can search and order products using voice commands, offering convenience for those on the move or with limited manual dexterity.
- Visual search - AI algorithms analyze images uploaded by users to find similar products in the store's catalog. This tool is invaluable when traditional search methods fall short. AI and ML systems also tailor recommendations to individual customer preferences.
- Augmented reality (AR) - allows customers to virtually "try on" products from the comfort of their homes. This technology helps consumers see how furniture or decor items fit into their spaces. Advances in AR, VR, and voice technologies make online shopping increasingly similar to the in-store experience.
- Omnichannel approach - modern apps offer a seamless shopping experience across devices. Customers can start shopping on a smartphone and complete it on a computer. Their cart, order history, and preferences are accessible on any device, making integration a standard in e-commerce.
- Fast and secure transactions - implementing systems like Apple Pay or Google Pay reduces checkout time. Customers appreciate the convenience and simplicity of payments, which lowers cart abandonment rates.
Online stores that adopt these innovations can stand out from the competition and provide customers with a superior shopping experience. AI-powered chatbots further enhance customer service by promptly answering inquiries.
The future of mobile apps in e-commerce looks promising. Companies investing in new technologies have the opportunity to outpace competitors in a rapidly evolving market.
Case studies: success stories of companies with mobile apps
Industry giants are well aware of the importance of a quality mobile app. This is evident in Amazon's case. The e-commerce giant's app enjoys immense popularity – mobile users make up as much as 42% of all platform users.
Why? Because it offers personalized deals, numerous convenience features, and functionalities such as:
- "View in Your Room" - AR for visualizing products in the user's space;
- advanced shipment tracking with real-time courier location maps;
- barcode scanning for instant price comparisons with online offers.
Starbucks is another brand that skillfully leverages this trend to its advantage. On average, 12608 people (data as of September 2024) download the coffee shop's mobile app daily. Through the app, users conveniently order and pay for their favorite drinks, participate in a loyalty program, and receive personalized offers. How does it work in practice?
- Users select a drink, customize ingredients, and pay with a single click. The system automatically adds loyalty points.
- Geolocation suggests nearby coffee shops and local promotions.
Customers can place orders in advance, skip queues when picking them up, and access exclusive offers available only in the app.
As a result, visit frequency and order values increase, while a loyal community forms around the brand.
Create your mobile application with us.
Factors influencing mobile app development costs
The cost of creating and maintaining a mobile app can be a crucial factor in determining the project's success. The price largely depends on the complexity of the functionalities to be implemented in the app. For instance, a simple app with basic e-commerce features like browsing products, a cart, and a checkout process may cost significantly less than an app offering advanced integrations with CRM systems, AI-based personalized recommendations, or an advanced 3D configurator enabling customers to design their products, such as furniture or suits.
We should also not forget about security, performance, and user-friendliness, as these three elements are critical to the success of a mobile e-commerce app.
Security is fundamental, especially in the context of protecting personal and financial data - customers need to feel confident when entrusting their data to the app. It's worth including at least a final security audit in the budget before publishing the app.
Performance is equally important because slow or buggy apps discourage users, potentially leading to lower conversion rates and negative reviews. Designing e-commerce systems for large websites serving thousands of users per hour differs significantly from creating systems for smaller, niche-targeted websites, which can be built faster and more cost-effectively.
User-friendliness(UX) is the foundation of a good app - an intuitive interface, easy navigation, and smooth operation across various mobile devices directly translate into higher user engagement and increased sales. On the lower end of the cost spectrum are inexpensive, universal templates adapted to your app's needs, while on the higher end is a dedicated design created by professionals, optimized for your specific requirements, and fully aligned with your company's visual identity.
How to approach this?
Keep in mind that a mobile app is typically part of a larger e-commerce system, but it can be treated as a separate sub-project. To effectively manage costs, you can leverage project management methods covering aspects such as:
- requirements analysis;
- functional scope;
- security;
- scalability;
- priority setting and phased implementation.
While this sounds great, accurately defining such a project's framework often requires technical and practical knowledge. If your team lacks this expertise, a solution might be to engage an experienced technology partner who can, for example, conduct a needs analysis during workshops, develop project scope and technical recommendations, and estimate implementation costs.
Armed with such knowledge, you can make informed decisions about the design and execution of your mobile app.
Find out how WebMakers' product workshops work and schedule a date that suits you.
Maintenance and development of the app
Costs don’t end with production and deployment. It’s crucial to remember that your app doesn't operate in isolation, and the environment it works in is constantly changing. Many maintenance aspects can incur costs, such as regular dependency updates, adapting the app to the latest operating system versions, periodic security testing, or monitoring performance and managing the server infrastructure.
As your online store grows, new needs may arise, such as implementing additional features, integrations, or adapting to new legal requirements – all of which come with additional costs.
Managing versions across platforms
Developing apps for various operating systems like iOS and Android presents significant technical challenges for development teams. Each platform has its specific requirements, APIs, and publication rules for app stores (Apple App Store and Google Play). Maintaining a consistent user experience across both platforms requires experienced teams, careful planning, and code optimization.
Building robust, multi-platform mobile apps imposes high demands on project teams, impacting the final cost. However, excessive cost-cutting in this area could jeopardize the entire project's success.
Additionally, versioning apps across platforms requires managing updates. As both operating systems (Android, iOS) and the app itself evolve, implementing fixes and new features in a coordinated manner becomes necessary. Delays in these processes can negatively affect user satisfaction and your brand image.
Fortunately, the tech world constantly innovates to provide solutions to challenges. One effective approach to maintaining a single app for two different platforms is using hybrid or cross-platform solutions like React Native or Flutter. These frameworks, pioneered by tech giants Facebook (React Native) and Google (Flutter), enable a single codebase to function across platforms. Cross-platform apps can be attractive due to lower costs and shorter development times, but they require compromises, such as potential performance issues and limitations with "native features" unique to one platform. Before deciding on the technology for your mobile app, consulting experts is advisable.
Marketing strategies for e-commerce mobile apps
Creating a mobile app is just the beginning. To succeed, you must effectively promote it and encourage users to engage. How can this be achieved?
First, ensure your app's visibility in app stores like the App Store and Google Play by optimizing the title, description, keywords, and graphics. Promote the app on your website, social media, and through advertising campaigns.
Equally important is providing users with valuable content and features that encourage regular use of the app. These could include tips, inspirations, product information, or personalized offers sent via push notifications. Remember, engaged users are loyal customers.
What steps should you take?
E-commerce is increasingly driven by mobile apps, offering customers unparalleled levels of personalization. Features like push notifications and loyalty programs effectively boost sales and strengthen customer relationships. Successes and trends from giants like Amazon and Starbucks highlight this shift.
The future of shopping apps lies in integrating AR/VR and social commerce. For entrepreneurs, developing a mobile app is becoming a strategic priority. However, a thoughtful marketing strategy and delivering consistent value to users are essential beyond just creating the app.
M-commerce is shaping the current reality of trade. Companies that adapt to these changes will gain a significant market advantage. Start taking action now!