Ebay research finds m-commerce still hampered by poor broadband

Ebay research finds m-commerce still hampered by poor broadband
Ebay research finds m-commerce still hampered by poor broadband

The mobile commerce industry could be worth up to £19bn by 2021, but consumer spending on mobile is being held back by poor mobile broadband connections, according to new research.

The research, conducted by Verdict on behalf of eBay, shows that mobile shopping is ‘on the verge’ of increasing four-fold in the next four years and could deliver £4.5bn by 2016 with a further £13bn by 2021.

Despite the potential growth of m-commerce, Verdict warns that the market is being held back by unreliable mobile broadband. It claims that UK retailers are missing out on at least £1.3bn as a result of consumer frustrations over patchy coverage, unreliable and slow connection speeds.

The research, based on a poll of 1,500 consumers, shows that mobile spending is at least 20% lower than the national average in certain areas in the UK, including the Scottish highlands and rural Wales. It said nearly one third or consumers have failed to complete a purchase on their mobile due to issues with mobile broadband.

More than half of the consumers asked how to improve mobile shopping said a reduction in the cost of data would mean that they would spent more on their mobile. Of the consumers, 23% said they would like improved coverage in rural areas, 14% said better coverage in rural areas should be the priority and 13% said they would prefer better coverage on transport.

EBay is campaigning for action to be taken to enable m-commerce to support the UK’s economic recovery and has recently submitted to Ofcom for more to be done on the subject when it rules for 4G later this year.

Angus McCarey, UK retail director for eBay UK , said: "High quality and reliable mobile broadband coverage throughout the UK has to be our ambition, giving consumers choice over when and how they shop, encouraging spending, thereby benefitting online and high street retail, and giving a much needed boost to the fragile economic recovery."

French Connection and New Look are UK high-street retailers which are embracing m-commerce with new mobile shopping apps.


Before commenting please read our rules for commenting on articles.

If you see a comment you find offensive, you can flag it as inappropriate. In the top right-hand corner of an individual comment, you will see 'flag as inappropriate'. Clicking this prompts us to review the comment. For further information see our rules for commenting on articles.

comments powered by Disqus
Brand Republic Jobs

subscribe now


Waitrose boosts content strategy with 'Weekend Kitchen with Waitrose' C4 tie-up
Hottest virals: Cute puppies star in Pedigree ad, plus Idris Elba and Fruyo
Amnesty International burns candles to illuminate new hope
Toyota achieves the impossible by calming angry Roman drivers
Tom of Finland's 'homoerotic' drawings made into stamps
YouTube reveals user habits to appeal to 'older' marketers
Ex-M&S marketing chief Steven Sharp consulting at WPP
Wolff Olins reveals new CEO after Apple poaches Karl Heiselman
Glasgow offers £30,000 prize to best digital idea for 2014 Commonwealth Games
Google's revenues surge but shares drop as it grapples with transition to mobile
Facebook beats Twitter to most 'marketing friendly' social media site crown, says DMA
Fableists believe children like Finn should be outdoors enjoying life
Homebase, Baileys and Camelot join the line-up at Media360
MasterCard renews Rugby World Cup sponsorship to push cashless message
Lynx unleashes £9m 'Peace invasion' campaign
Social Brands 100 Youth: Pizza Hut most social youth brand in UK
Cheryl Cole is wild and arresting in new L'Oreal work
Morrisons told not to show alcohol ads during YouTube nursery rhymes
O2 head of brand Shadi Halliwell departs after 23 years at company in restructure
Tesco hit by further sales decline as it turns to digital Clubcard and social network
Branding guru Wally Olins dies aged 83
Duracell short film captures epic Transatlantic voyage
Ash runs Tinder experiment to show smokers are less desirable to opposite sex
British Airways teams up with Gerry Cottle Jnr for summer of rooftop film screenings
Arklu says 'girls can be superheroes too' with doll design competition
Coke enters squash market with Oasis Mighty Drops
Virgin Galactic signs up Land Rover as space flight sponsor
Motorola marketer Andrew Morley departs as Google gears up for sale to Lenovo
US Airways apologises after tweeting obscene image at a customer
Mumsnet admits users' emails and passwords accessed via Heartbleed bug