Mobile Apps and Commerce for Luxury Brands

The study, titled “Mobile Apps and Commerce for Luxury Brands”, found that affluent consumers feel better connected to luxury brands after using their mobile apps (71%), have had good experiences (93%) and view those luxury brands more favorably than those that don’t have a mobile app (64%).

The most frequently downloaded apps by affluent Americans are Gucci, Louis Vuitton, Saks Fifth Avenue and Gilt Groupe. Only two – Saks and Gilt Groupe – support purchasing direct from the mobile app.

Nearly three-quarters of affluent consumers said there is no monetary limit to what they would spend via a mobile app.

Over half (56%) use apps to find out more about a product or brand but 45% still prefer to make purchases in-store as they enjoy the experience.

Mobile app features that are popular with affluent consumers include in-store inventory, cross-store sizing and availability, product details, loyalty program information, and exclusive or early access to sales and promotions.

Sixty-percent of affluent consumers own a smartphone compared with 48% of the general population and mobile shopping is the second most-popular activity they conduct on their devices.

“Luxury brands must acknowledge the impact of technology advancements in the mobile space and find a humanistic way to connect and engage with their consumers through mobile,” said Milton Pedraza, CEO of Luxury Institute.

A short video detailing some of the study findings can be viewed online.

Source Biz Reports

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What Social Network Should You Use?

When is Facebook most effective?

When are you better off using Twitter, or LinkedIn?

And what exactly is Google+ good for, anyway?

The business consultant network Zintro recently pulled research from more than a dozen sources including Facebook, Twitter, LinkedIn, and Google  to put together this infographic, which will help you develop your social strategy.

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US Smartphone Owners Use Devices to Aid Shopping

Two-thirds of US consumers with smartphones have used the devices to aid shopping, according to a report by research firm Leo J. Shapiro and Associates. The February 2012 survey also found that 38% of respondents researched products on their smartphones while shopping at a physical store.

Customers are using web-enabled devices for a variety of purposes, but the highest percentage of respondents, 47%, said they relied on smartphones to find out more information about a product. Thirty-six percent of those polled had used their phones to read product reviews on retail websites. Price-comparison was also a popular activity, with about one-third of smartphone owners looking up prices at other stores, and slightly fewer researching prices on retailer websites.

Interestingly, the research found that 54% of US smartphone owners used their phones to shop before arriving at a store. A smaller number said they had used their phone after getting to a brick-and-mortar location. This indicates that customers are “pre-shopping” on smartphones before deciding whether a trip to a retail location is worth it.

Once near the point of sale, more than one in 10 smartphone owners used their phones to compare prices at different stores or websites, according to the report. This finding relates to growing concerns among retailers over the practice of “showrooming,” when customers research products in-store, but then purchase them elsewhere. Retailers can help address that problem by ensuring that prices are consistent across multiple channels—in stores, on mobile apps and on their websites. By doing so, they give shoppers fewer reasons to walk away from a purchase.

eMarketer estimates that there will be 115.8 million smartphone users in the US by the end of 2012, with that number growing to 176.3 million by 2015.

Source eMarketer

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