Mobile subscription apps surge in popularity
Comfort and convenience are driving Aussie consumers towards mobile shopping, according to new research from Emarsys.
More than half of Aussie consumers (55 per cent) indicate they have significantly changed how they shop over the last 12 months and that mobile use is a part of that. Meanwhile among the 25-34-year-old demographic, 58 per cent indicated they would like bricks and mortar stores to feel as convenient as apps.
Comfort and convenience drive mobile shopping adoption
Several factors set apps apart from in-store or other forms of shopping, according to the research. Most of these factors relate to convenience and comfort.
Two-fifths of the consumers surveyed claim that apps have easier payment methods, such as Apple Pay. Meanwhile, over a third of the consumers surveyed said apps allow them to access exclusive deals. Almost a fifth of consumers also said mobile apps and subscriptions provide comfort and understand their tastes and needs.
Emotional factors are important, with two out of five consumers noting that mobile apps make shopping more relaxing. This figure rises to 40 per cent among the female consumers surveyed. Thirty percent of consumers also revealed that mobile apps prompt happy emotions and their mood improves.
“Apps are now essential to our daily lives,” Adam Ioakim, managing director APAC at Emarsys says.
“The convenience of being able to shop from the palm of your hand amid a global pandemic has driven consumer appetite towards mobile shopping over the past year.”
Paid subscriptions prove popular during the pandemic.
Mobile app subscriptions have proven particularly popular during the pandemic. Over a third of Australian consumers surveyed have paid to subscribe to a new app such as Netflix or Runtastic during lockdown.
Significant age factors determine subscription sign ups. Thirty per cent of 16–24-year-olds are currently signed up to a monthly subscription, compared to just nine per cent of those aged 55 plus. Food and recipes subscriptions (25 per cent) are the most popular, followed by beauty and grooming (15 per cent), fashion (11 per cent) and toys and games (10 per cent).
Consumers turned off by perceived lack of value.
The most common factor contributing to the cancellation of subscription apps is the perceived lack of value for money (47 per cent). This is followed by free trials running out (20 per cent) and because the offering wasn’t personalised enough to the individual’s tastes or needs (18 per cent). Surprisingly, the average lifetime of a subscription service for Australian consumers surveyed is just five months.
“Consumers are fickle creatures. They will not hesitate to drop a brand that does not meet their needs for personalisation. Above all, marketers must ensure that the mobile app delivers a return on investment. This means ensuring the app makes the user’s life easier, such as helping reduce the time required for meal preparation or helping select an outfit for example,” says Ioakim.
So, what kind of value are consumers looking for?
The top mobile innovation Aussie consumers want to see is augmented reality features to try on products (40 per cent). This is closely followed by in-app quizzes to ensure products are tailored to the individual (28 per cent), the ability to instantly track down products worn by influencers/celebrities online, as well as automated stylists that recommend products based on previous purchases (26 per cent).