British smartphone users are now spending £581m a year by purchasing goods on their mobile phone through apps, according to new study, which shows the grocery sector leading the way.
With Tesco recently launching a mobile app, the research, conducted by digital and mobile marketing specialist The BIO Agency, found that one in five of the smartphone users in the UK purchase items through apps. This translates to an average spend of over £30 (£33.46) per person per month, equating to an annual spend of over £400 (£401.52).
The research also reveals this new trend is due to the convenience of purchasing through apps on smartphones, with over 78 per cent of respondents citing this reason.
Additionally, the study analysed consumer behaviour across retail sectors to show which individual sectors generated the highest average consumer spend through apps. The categories included takeaway food, cinema tickets, books, DVDs/games, clothing, grocery shopping, travel tickets and music. The top five areas that consumers spend through apps are: groceries £908.28 a year, travel tickets (£675.12); clothing (£565.44); DVD/games (£298.32); and cinema tickets (£296.76).
BIO Agency managing director Peter Veash said: “Over a third of smartphone users are already using applications on their handsets to purchase everyday items thanks to the convenience and time-saving factors offered by this medium. This will no doubt increase as more people migrate towards smart phone usage.
“The message for brands is clear; act now or lose a huge area of potential growth. Our research suggests that almost 40 per cent of smart phone users will chose a new phone based on whether or not certain applications are available on a certain phone. It is essential that brands have a presence across all operating systems whether that is for iPhone, Blackberry, Android or any others. Too often we are seeing brands losing out on potential income due to only having an application available on one operating system, and our research clearly supports this.”
