Lightspeed research mobile commerce survey for figaro

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M-commerce Prepared exclusively for Figaro digital

June 2011

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About the survey The survey was conducted on Lightspeed Research’s UK online panel in June 2011. There were 1000 respondents.

Screening Results An initial question was asked to identify those with mobile internet devices - overall 34% of respondents had some kind of mobile internet device - with smartphones and mobile phones the most common options

The main questionnaire was asked only of those respondents with a mobile internet device of some kind - 1000 respondents

66 %

2 %

2 %

2 %

2 %

2 %

5 %

7 %

13 %

I do not have a mobile device that can connect to the internet

Other

Tablet - with 3G

Tablet – wi-f i only

eReader - with 3G

eReader – wi-f i only

Other wi-f i enabled device

Regular phone with internet access

Smartphone

Mobile device penetration

Source: Lightspeed Research, UK data

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Main Survey Results The majority of respondents with mobile internet devices have smartphones (66%), whilst 34% have regular mobiles that can access the internet. eReaders and tablets are less common

• Men are more likely to have smartphones (70% vs 61% for women)

• Respondents aged 18-34 are much more likely to have smartphones, while those aged 55-64 are more likely to have regular mobiles with internet access

• Those aged 55-64 are the most likely to have e-readers, whilst those aged under 55 are the most

likely to have other mobile internet devices (eg portable media players)

8 %

8 %

9 %

10 %

12 %

27 %

34 %

66 %

Other

Tablet - with 3G


eReader - with 3G




Smartphone

Type of mobile internet device owned


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Almost all respondents (99.8%) have made a mobile internet purchase in the past month, with more than half (55%) making 2-5 mobile purchases during this time

• There are no noteworthy differences between men and women, nor across age groups

78 %

30 %

28 %

7 %

9 %

11 %

11 %

5 %

67 %

35 %

30 %

13 %

9 %

7 %

9 %

9 %

37 %

41 %

18 %

17 %

12 %

7 %

2 %

14 %

Smartphone




eReader - with 3G


Tablet - with 3G

Other

Type of mobile internet device owned18 – 34 35 – 54 55 – 64


27 %

55 %

11 %7 %

0.2 %

1 2 - 5 5 - 10 More than 10 None

Purchases made on mobile internet device in past month


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Apps and music are the most common purchases, followed by clothes and electronic books • Men are more likely to have purchased apps and take-away meals, while women are more likely to

have purchased clothes via their mobile internet device

39 %

30 %

25 %

23 %

19 %

19 %

15 %

13 %

13 %

7 %

4 %

Apps

Music

Clothes

eBooks / iBooks

Other

Travel (hotel, train ticket, f light etc)

Everyday purchases such as food, …

Event tickets

Take-away meal

Video content

Charity donation

Items purchased in the last month

Source: Lightspeed Research, UK dataBase: Made a purchase via mobile internet device in last month

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• Half (51%) of 18-34 year olds have purchased apps in the past month • Around one third of 18-54 year olds have purchased music • Electronic book purchases are most popular with those aged 55-64 - with one third purchasing at least

one in the past month • Purchasing take-aways via mobile is most common amongst 18-34 year olds

45 %

32 %

19 %

22 %

21 %

20 %

16 %

14 %

16 %

9 %

4 %

32 %

28 %

31 %

24 %

18 %

18 %

14 %

13 %

9 %

3 %

3 %

Apps

Music

Clothes

eBooks / iBooks

Other


Everyday purchases such as food, …

Event tickets

Take-away meal

Video content

Charity donation

Items purchased in the last monthMale Female


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One quarter of respondents believe they have been influenced to make a purchase by a mobile ad

• males and those aged 18-34 most likely to say they have been influenced to purchase by a mobile ad

51 %

36 %

28 %

18 %

15 %

17 %

15 %

15 %

17 %

10 %

5 %

37 %

30 %

23 %

23 %

21 %

20 %

15 %

13 %

12 %

6 %

2 %

19 %

17 %

21 %

33 %

24 %

21 %

14 %

11 %

6 %

2 %

4 %

Apps

Music

Clothes

eBooks / iBooks

Other


Everyday purchases such as food, groceries etc.

Event tickets

Take-away meal

Video content

Charity donation

Items purchased in the last month18 – 34 35 – 54 55 – 64


25 %

29 %

20 %

33 %

23 %

14 %

Total Male Female 18 – 34 35 – 54 55 – 64

Proportion that have been influences to make a purchase by a mobile ad


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Of those who were influenced to buy by a mobile add, four out of ten said they could remember the ad • Amazon and apple/itunes ads were the most commonly cited

Of those who can remember the ad

• 46% said it was sent to them or shared by a friend (men are more likely to say this than women 52% vs 35%)

• 71% said it was for something they were already considering buying (women were more likely to say this than men 76% vs 68%)

• 62% said they came across the ad while researching the purchase on their mobile device The majority (52%) have used their mobile internet devices to do product research when shopping on the high street.

• Men and 18-34 year olds are most likely to do this

Price comparison research is the most popular high street mobile research conducted, followed by product research, reading reviews by consumers and checking for availability

52 %57 %

47 %

62 %

51 %

35 %

Total Male Female 18 – 34 35 – 54 55 – 64

Proportion that use their mobile internet device to do product research

when shopping on the high street


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• Men are more likely to visit product comparison sites, to do product research, and to read professional reviews

68 %

49 %

45 %

45 %

35 %

30 %

15 %

2 %

Visit price comparison sites

Find out more about the product

Read product reviews by other users

Check availability

Visit the website of the product/company making the item

Read product reviews by professionals

Find out more about the retailer

Other

Type of research conducted

Source: Lightspeed Research, UK dataBase: Those who research purchases on mobile devices when shopping on high street

72 %

51 %

43 %

43 %

38 %

33 %

14 %

2 %

61 %

46 %

49 %

46 %

31 %

25 %

16 %

1 %

Visit price comparison sites

Find out more about the product

Read product reviews by other users

Check availability

Visit the website of the product/company making the item

Read product reviews by professionals

Find out more about the retailer

Other

Type of research conductedMale Female

Source: Lightspeed Research, UK dataBase: Those who research purchases on mobile devices when shopping on high street

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Convenience is the main reason respondents chose to purchase via mobile rather than a computer or visiting a store. This was much more commonly cited than the next most popular reason - that the item was for a mobile device

The majority of respondents prefer to make mobile purchases via visiting a website (71%) over using apps or SMS

55 %

26 %

17 %

12 %

8 %

7 %

3 %

It was the most convenient method

It was easier as the item was for my mobile device

It was cheaper than elsewhere

Could not get to the store, or the store was closed

I could only buy the item via mobile

I received a discount for using my mobile device

Other

Why choose mobile over other purchase methods?

Source: Lightspeed Research, UK dataBase: Those who have purchased via mobile device in the past month

71 %

23 %

4 %

3 %

Via a Website

Via an App

Via an SMS

Other

Preferred way to purchase via mobile?


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Consistent with their greater ownership of smartphones, 18-34 year olds are more likely to prefer purchasing via apps, while those aged 35+ prefer to use websites when making mobile purchases.

Paypal is the most preferred method for making payments for mobile shopping. Direct billing is much less popular (11%)

65 %

30 %

3 %

2 %

72 %

22 %

4 %

3 %

78 %

12 %

4 %

6 %

Via a Website

Via an App

Via an SMS

Other

Preferred way to purchase via mobile?

18 – 34 35 – 54 55 – 64


45 %

30 %

11 %

6 %

4 %

3 %

1 %

Paypal

Credit card

Direct billing

Bill on my mobile phone bill

Voucher/code

Other

SMs charge

Preferred way to pay when purchasing via mobile?


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• Respondents aged 55-64 are much more likely to prefer to pay via credit card, and are less likely to prefer to pay via Paypal

96% of respondents who had made a mobile purchase in the past month were satisfied with the experience. Of the 4% who were dissatisfied:

• 63% said the service was too slow • 37% said purchasing on their mobile device was more complicated • 19% had problems making a payment • 16% weren't happy with the product

47 %

26 %

13 %

7 %

5 %

1 %

2 %

46 %

29 %

11 %

7 %

3 %

3 %

1 %

40 %

40 %

10 %

4 %

2 %

4 %

1 %

Paypal

Credit card

Direct billing

Bill on my mobile phone bill

Voucher/code

Other

SMs charge

Preferred way to pay when purchasing via mobile?

18 – 34 35 – 54 55 – 64


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One in four (41%) said they would think twice about using a retailer again if they had a poor mobile purchasing experience, and a similar proportion said they might be deterred. Only 15% said a poor mobile experience would not deter them from using a retailer again

• Men are more likely to say they would be put off (44% vs 37%) • 18-34 year olds are more likely to say that one poor experience would put them off a retailer

41 %

15 %

40 %

4 %

Yes No Maybe Don't know

Would a poor mobile purchasing experiences put you off using that

retailer again?


48 %

14 %

34 %

5 %

38 %

15 %

44 %

3 %

33 %

19 %

42 %

5 %

Yes No Maybe Don't know

Would a poor mobile purchasing experiences put you off using that

retailer again?18 – 34 35 – 54 55 – 64


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Most respondents (51%) say that a mobile purchase is easier or more practical than buying via computer for some purchases or services. Only 19% of respondents say they find purchasing from their mobile internet device easier in general

• Men are more likely than women (22% vs 16%) to say mobile device purchasing is easier • One quarter (25%) of 18-34 year olds say mobile device purchasing is easier / more practical than

buying via computer

19 %

30 %

51 %

Yes No Depends on the specif ic product or service

Do you find making purchases via mobile easier / more practical than

via computer?


22 %

31 %

47 %

16 %

30 %

55 %



via computer?Male Female


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Just over half (58%) think their mobile device is well suited to mobile purchasing. Almost one in five (17%) say that their screen is to small, and 13% are worried about payment security

25 %31 %

44 %

17 %

30 %

54 %

13 %

31 %

56 %



via computer?18 – 34 35 – 54 55 – 64


58 %

17 %13 % 12 %

8 %

Yes No, because it is too small

No, because I am worried about

payment security

No, because it is too slow

No, because it has poor internet

connection

Do you feel your mobile is well suited for making purchases?


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Women are more likely to be worried about payment security, and are less likely to think their mobile is well suited to making purchases. Consistent with the higher penetration of smartphones, those aged 18-54 are most likely to consider that their mobile is well suited to making purchases.

61 %

18 %

10 % 13 %8 %

55 %

16 % 16 %12 %

8 %



payment security



connection


Male Female


62 %

11 %15 %

11 %7 %

59 %

20 %

9 %14 %

8 %

50 %

22 %18 %

11 % 9 %



payment security



connection


18 – 34 35 – 54 55 – 64


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For those who have apps or an app-enabled device it is most common to have 1-5 paid for apps

Those aged 18-34 are more likely to have paid-for apps - again 1-5 is the most common number

12 %

25 %

36 %

14 %

8 %6 %

None - my device doesn't

use apps

None 1 – 5 6 - 10 11 - 20 More than 20

Number of paid for apps currently on device?


6 %

22 %

43 %

15 %

8 %5 %

11 %

25 %

33 %

15 %9 % 7 %

23 %

35 %

28 %

9 %5 %

1 %

None - my device doesn't

use apps

None 1 – 5 6 - 10 11 - 20 More than 20

Number of paid for apps currently on device?

18 – 34 35 – 54 55 – 64


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Most people who have purchased apps keep them for longer than 3 months - this is particularly true for respondents aged 35 - 54 years.

5 %

12 %15 % 15 %

54 %

Less than 1 week One week One month Up to three months

Longer than three months

Average time a paid-for app stays on your device

Source: Lightspeed Research, UK dataBase: Those who have purchased apps on their mobile device

6 %

15 % 15 % 15 %

49 %

5 %10 % 12 % 13 %

60 %

3 %7 %

23 %19 %

48 %

Less than 1 week One week One month Up to three months

Longer than three months

Average time a paid-for app stays on your device

18 – 34 35 – 54 55 – 64

Source: Lightspeed Research, UK dataBase: Those who have purchased apps on their mobile device

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One third (34%) have used geo-location apps, with Google Buzz the most popular • Men are more likely to use geo-location apps than women (38% vs 29%) • The younger the respondent, the more likely they are to use geo-location apps (18-34:39%, 35-

54:32%, 55-64:27%)

• For the majority of those who don't use geo-location apps, there is no reason to use them (56%), whilst only 13% are worried about the security of their personal information

4 %

25 %

3 % 1 % 1 % 3 %

66 %

Foursquare Google Buzz Gowalla Brightkite Loopt Other None

Geo-location apps used


56 %

14 % 13 % 11 % 9 % 9 %

There's no reason for me to use them

Don't like the idea of them

I'm worried about the

security of my personal

information

Other I can't use apps on my mobile

device

They are an invasion of

privacy

Reasons why geo-location apps not used

Source: Lightspeed Research, UK dataBase: Those who do not use geo-location apps

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18-34 year olds are the most likely to say that there is no reason for them to use geo-location apps, while those aged 55-64 are most likely to say they can't use geo-location apps on their mobiles

Improved speed, better offers, greater ease and security, and a better range of products are all important to encourage increased mobile shopping

61 %

17 %11 % 14 %

4 %10 %

56 %

12 % 13 % 11 % 10 % 9 %

48 %

13 % 16 %7 %

17 %

7 %

There's no reason for me to use them

Don't like the idea of them

I'm worried about the

security of my personal

information

Other I can't use apps on my

mobile device

They are an invasion of

privacy

Reasons why geo-location apps not used

18 – 34 35 – 54 55 – 64

Source: Lightspeed Research, UK dataBase: Those who do not use geo-location apps

29 % 28 % 26 % 25 % 24 %

14 % 14 %

5 %

If it was quicker

If there were more mobile

purchase specif ic of fers or discounts

If it was more secure

If it was easier

If more products I

wanted were available via

mobile

If I had a dif ferent or

more advanced

mobile device

Nothing you prompt me to purchase

via my mobile

If I received more

targeted ads to my mobile

device

What would prompt you to make more purchases via your mobile over the next

12 months?


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Men are more likely to make more mobile purchases if the process were quicker, and if there were more products they wanted available via mobile

Those aged 55-64 are most likely to say that nothing would encourage them to make more mobile purchases, and also the most likely to say a more advanced mobile would encourage them to do more mobile shopping

32 % 30 %27 % 25 % 27 %

15 %12 %

7 %

25 % 26 % 25 % 25 %20 %

14 %16 %

3 %

If it was quicker

If there were more

mobile purchase specif ic of fers or

discounts

If it was more

secure

If it was easier

If more products I

wanted were

available via mobile


more advanced

mobile device


via my mobile

If I received more

targeted ads to my

mobile device

What would prompt you to make more purchases via your mobile over the next

12 months?Male Female


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For more information please contact: Ralph Risk, Marketing Director, EMEA T: +44 (0)207 896 1950 | M: +44 (0)787 650 7689| F: +44 (0)207 896 1901 [email protected] | www.lightspeedresearch.com

33 % 34 %31 % 30 % 28 %

11 % 10 %6 %

29 %26 % 25 % 23 % 21 %

16 % 15 %

6 %

17 %21 % 19 % 18 %

22 %17 % 19 %

2 %

If it was quicker

If there were more mobile

purchase specif ic of fers or discounts

If it was more secure

If it was easier

If more products I

wanted were available via

mobile


more advanced

mobile device


via my mobile

If I received more

targeted ads to my mobile

device

What would prompt you to make more purchases via your mobile over the next 12

months?18 – 34 35 – 54 55 – 64


Business

Lightspeed research mobile commerce survey for figaro