Mobile Commerce

UK Retailers Not on Pace with M-Commerce Growth

Consumers in the U.K. are using mobile in full force, but retailers in the region have a lot of catching up to do.

A new study released by Barclays (with the research having been conducted by Conlumino) shows that U.K.-based consumers — who currently spend $14.2 billion a year on mobile retail transactions — are predicted to spend $78.7 billion annually on such purchases by 2024.

Meanwhile, according to the research, the impact of mobile in the U.K. is on pace to drive overall spending from $27 billion to $164.4 billion during the same time frame. This will mean that close to half (42.4 percent) of all retail sales in the region will involve, to some degree, a mobile device, proving mobile to be the fastest growing retail segment.

The study shows, however, that a majority of U.K. retailers are not presently prepared to take full advantage of such growth.

Although nearly half (46 percent) of retailers surveyed claim a portion of their sales are currently generated via mobile devices, less than 3 percent express complete confidence that their business is mobile ready. Furthermore, 70 percent of retailers report that they do not currently have in place a mobile website or offer a consumer-facing mobile app.

Asked if they had a clear plan of action to deal with the apparent lag in mobile adoption, more than two-thirds (68 percent) of retailers said that they do not. Among the minority of retailers that do profess to have a plan in place, developing a mobile website was cited as the top priority, followed by developing a mobile app and offering mobile payment options.

The Barclays study shows that retailers’ primary reasons for hesitating when it comes to committed integration of mobile options are the cost and a lack of belief that mobile would generate new sales, as opposed to simply changing the source of existing ones.

Richard Lowe, Managing Director and Head of Retail & Wholesale at Barclays, apparently does not agree with U.K. retailers’ hesitance, stating in the report that “retailers must cater for the mobile consumer in order to remain relevant.”



Our data and analytics team has developed a number of creative methodologies and frameworks that measure and benchmark the innovation that’s reshaping the payments and commerce ecosystem. Check out the latest PYMNTS study – The AI Gap: Perception Versus Reality In Payments And Banking Services

Click to comment


To Top