Member Article

Mobile key to unlocking growth this year

A new study of online business sentiment by eBay UK has identified the importance of mobile retail to the country’s small business community, with the majority of small businesses surveyed expecting to see mobile sales growth in the next 12 months. This comes despite concerns that connectivity issues and the patchy provision of services like 4G and WIFI may hold their businesses back.

Of the 400 eBay and other online businesses that research partners YouGov spoke to, almost two thirds (62 %) expect a mobile sales boost from this year, with a third of businesses (32%) saying mobile will be ‘vital’ to business growth in 2016.

Over the next 12 months:

• 36% anticipate mobile sales growing by up to 10%
• One in five (21%) expect to see sales increase by up to 30%.

These encouraging statistics point to the continued growth of the UK’s e-commerce sector, which in the last year recorded figures generated £573 billion in sales.

eBay’s latest app update – eBay 5.0 – was released last Friday and is designed to deliver an experience that makes it faster and easier for consumers to get what they want. By taking advantage of native OS design standards – like Android Material Design – eBay 5.0 offers a more streamlined and responsive experience, delivering updates faster than ever. The latest version of the app integrates new and enhanced features into the experience, including single sign-in options, multi-screen optimisation and faster, simpler navigation.

“Businesses are now fully realising the benefits of the mobile revolution” said Andy Towers, Head of Mobile at eBay UK. “Mobile optimised sites and apps like eBay’s are helping customers to access technology that was once preserve of just the big retailers, and they are reaping the benefits.”

However, in a clear warning that more needs to be done for the mobile’s impact on business growth to be fully realised, over a third of SMBs (38 %) feel held back by insufficient 3G and 4G coverage across the UK.

Communications regulator Ofcom recently published an online map which enables users to check average broadband speed in their area. It revealed Grimsby as having the fastest download speed in the UK (46.8 average Mbps). In contrast, Na h Eileanan an lar in Outer Hebrides was the slowest, averaging 5.6 Mbps.

Small business owners are also dissatisfied with the state of UK broadband by a margin of nearly two to one (63 % are dissatisfied), with over half (56 %) calling on the Government to improve wired and wireless internet access to help SMBs. Almost half (48%) say the Government should improve Wifi in public spaces and on public transport to realise the potential of flexible working.

These businesses are not just based in rural communities, but across the UK, indicating widespread room for improvement.

Mobile sales on eBay UK:

• A car is bought via mobile every 2 minutes
• A handbag is bought via mobile every 16 seconds
• A tablet is bought via mobile every 41 seconds
• A pair of ladies shoes is bought via mobile every 6 seconds

Andrew Grant, Managing Director of Surrey based lingerie & swimwear company Clara Olivia, believes mobile connectivity is vital for the future business. He said:

“Staying ahead of the mobile curve is key for us in 2016. Around 50% of ecommerce trading is now via mobile, so we’re building a new mobile friendly business homepage to drive sales and trigger further growth.

“Having noticed our regular eBay customers - typically “on-the-go” females – are increasingly purchasing on their mobile phone or tablet, we’ve taken steps to recognise this trend as part of the wider businesses strategy and critical to the shopping experience of our consumers.”

This was posted in Bdaily's Members' News section by eBay UK .