What is Mobile Commerce?

Mobile commerce, often referred to as m-commerce, encompasses the utilization of wireless handheld devices such as smartphones and tablets for conducting various commercial transactions online. These transactions include buying and selling products, online banking, and bill payments.

As a significant subset of electronic commerce (e-commerce), mobile commerce operates within the broader framework of conducting business over the Internet. The prevalence of mobile devices has soared in recent years, with nearly 97% of Americans owning a cell phone and 85% owning smartphones as of 2023, a substantial increase from 35% in 2011.

M-commerce facilitates a wide array of transactions, spanning from banking and investing to the purchase of books, plane tickets, and digital music. Its rapid expansion can be attributed to factors such as advancements in wireless handheld device computing capabilities, the proliferation of m-commerce applications, and improvements in security measures.

In contrast to e-commerce, which encompasses transactions conducted over the Internet via various devices including desktop computers, laptops, smartphones, and tablets, m-commerce specifically focuses on transactions carried out through smartphones or mobile devices. Users engaging in m-commerce have the flexibility to conduct transactions anywhere, provided they have access to a wireless Internet connection.

The landscape of mobile commerce has evolved significantly, with the emergence of digital wallets like Apple Pay and Google Pay streamlining in-store purchases without the need for physical cards. Additionally, social media platforms such as Facebook, Twitter, Pinterest, and Instagram have integrated “buy buttons” into their mobile interfaces, enabling users to make purchases directly from retailers without leaving the platform. This seamless integration of commerce into social media platforms has further propelled the growth of mobile commerce by enhancing convenience and accessibility for consumers.