Mobile shopping development trends in Taiwan: starting from the layout of GROUPON, GOMAJI and LINE
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Mobile devices change consumption habits
There was a time when our lives were inseparable from smartphones or tablets. The proportion of people using desktop computers to access the Internet is gradually declining, and the time spent watching TV or radio broadcasts is increasingly being compressed, while all the increase is directed to mobile devices such as smartphones and tablets.
Fingertip shopping has potential, and information security and cash flow lay the foundation
Not only when taking a ride or eating, everyone likes to swipe their mobile phones to play games and watch Korean dramas. Even businessmen have begun to focus on this small screen. The so-called “fingertip shopping” has gradually begun to form a trend.
According to a survey conducted by the Taiwan Digital Convergence Development Association in February 2014, although the proportion of Taiwanese people using smartphones is quite high, only 16% of people currently use mobile apps to shop online. The biggest reason is due to information security considerations.
However, if the issues of information security and cash flow payment can be overcome, the prospects for mobile shopping are still quite bright. Because, according to the latest survey by Nielsen, 53% of people in Taiwan have made purchases online, which is a very high proportion. Once these shopping groups shift the focus of their lives to mobile devices, the mobile shopping trend will naturally take off.
Mobile layout of group buying website
Mobile device + App creates business opportunities better than PC
The best place to feel this trend of mobile shopping is through group buying websites. The well-known group buying website GROUPON recently announced three major observations on mobile shopping (http://tbnews.com.tw/technology/20140311-1441.html), including three major trends: “buy at any time”, “buy more” and “urbanization”:
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Buy at any time: Everyone carries their mobile phones with them, and the consumption time points of mobile shopping are spread out. Lunch break and before going to bed are the two biggest peaks. For example: Many official LINE accounts now use the lunch break to carry out ON AIR activities, with the intention of attracting public attention. When obvious.
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Buy more: Mobile shopping consumption has gradually caught up with traditional online shopping.
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Urbanization: The location of consumer groups is dominated by the Greater Taipei area, with Taipei City and New Taipei City ranking in the top two, and urban areas are still the mainstream.
“Currently, nearly 70 million people around the world have downloaded our company’s App. More than half of GROUPON’s transactions in the United States alone are completed through mobile devices. In December 2013, more than 50% of global transaction volume came from mobile shopping. 》GROUPON Taiwan and Hong Kong CEO [Yang Shengwu](http://www.skypost.hk/newsDetail/headline?headline=%E6%A5%8A%E8%81%96%E6%AD%A6%E9%9B%A2%E9%96%8BG roupon+%E4%BB%BB%E6%8B%8D%E6%8B%96App%E9%A1%A7%E5%95%8F) (has left his job to start a new business startup), clearly announcing the importance of mobile commerce.
GROUPON launched a new version of the App in Taiwan, which focuses on the functions of “buy now” and “nearby good deals”, hoping to strengthen the connection between users and the local area and increase consumption motivation. The data speaks for itself, and GROUPON’s App has also brought double-digit mobile performance growth to the company every month, demonstrating the potential of mobile shopping.
Coincidentally, GOMAJI, another well-known group buying website in China, is also actively investing in the mobile commerce field. The company is optimistic about the development of mobile life and has been promoting mobile web pages and mobile apps since 2011. In terms of revenue, although revenue from mobile devices only accounted for 10% of total revenue in 2012, by 2013 it accounted for 52% of total revenue, which is quite astonishing.
GOMAJI is optimistic about mobile business opportunities, and even the official LINE account will not miss it. GOMAJI currently has more than 3.26 million fans. It launches a fixed promotion every two or three days on average, attracting many consumers to “shopping with their fingertips”. Shopping is a good deal!
According to the [Statistics] of the SmartM website (https://www.smartm.com.tw/Article/313535cea3), among the official accounts of all e-commerce operators, GOMAJI ranks eleventh, second only to manufacturers such as Lotte Market, momo shopping network and ASAP Lightning Shopping Network. GOMAJI has great expectations for mobile shopping, and the frequency of consumers purchasing group purchases through mobile phones is also increasing, which is even higher than traditional desktop shopping.
##Business opportunities for LINE official accounts
Millions of stickers are available for everyone to grab, and fans’ images are captured by the handful
Since we mentioned LINE official accounts earlier, if we want to discuss the prospects of mobile shopping in Taiwan, we naturally cannot ignore LINE, where almost everyone has an account. LINE originated in Japan and is very popular in Taiwan and Southeast Asia. Currently, it has more than 300 million users worldwide, and it is also used by more than 17 million people in Taiwan. It ranks third in the world in terms of user number and has a very high penetration rate.
Official account and sticker services are currently one of LINE’s most important commercial revenues. The official LINE account can be called a new generation communication platform, but it is expensive. It often costs hundreds of thousands in setup fees and millions in expenses, but it has not deterred or swayed many local manufacturers.
Take the e-commerce leaders Lotte Market and momo Shopping Network as examples. Although they spent millions of dollars to set up official accounts and purchase stickers, they gained more than five million fans in one fell swoop, which is quite a bargain. Then, we will continue to launch various preferential activities to monetize it, and establish a strong connection between consumers and the brand image through mobile instant messaging software. This can be said to be the most powerful backing for LINE’s official account at present.
According to previous information released by LINE’s Taiwan office, in addition to many attempts at localized services and cross-industry cooperation last year, it has begun to invest in more business development this year. Among them, the O2O (Online To Offline) platform service that is expected to open for free application for “Local Merchant Account LINE@” in the second quarter has attracted the most attention.
Unlike official accounts, which are mainly targeted at large brand companies, “LINE@” will target merchants that provide lifestyle consumption (such as restaurants, clothing stores, etc.), which is especially suitable for Taiwan’s industry, which is dominated by small and medium-sized enterprises. In addition, the application fee for “LINE@” should be relatively low, and it is expected to be accepted by more manufacturers.
As more and more merchants begin to connect with consumers online through mobile devices, it will naturally help increase the popularity of mobile shopping. The combination of LINE and online shopping is also the focus of future development. For example, LINE MALL, the e-commerce platform launched by LINE in Japan, is quite popular among local consumers.
The deputy general manager of LINE’s Taiwan office [Tao Yunzhi] (https://www.managertoday.com.tw/articles/view/41925) (now the general manager) said that these services will be gradually introduced to Taiwan in the future. It is not difficult to imagine that as local merchants begin to engage in marketing campaigns through LINE, official apps or mobile web pages, consumers will also shift their focus from traditional desktop shopping to smartphones or tablets.
The future of mobile shopping
2014 new e-commerce page, rewritten from mobile shopping
Overall, for Taiwanese businesses that want to invest in mobile shopping, in addition to deploying effective mobile marketing strategies as soon as possible and considering building an app or mobile webpage (including the user experience and flow planning of the app and mobile webpage, etc. must be taken into consideration so that users can complete the purchase process in the shortest possible time), they must also take into account consumer psychology factors.
If it can help consumers eliminate concerns about privacy and information security, and solve the cumbersome procedures of mobile payment, it will undoubtedly be the final piece of the puzzle for mobile shopping. The popularity of mobile commerce will exceed imagination, and it will enter our lives even faster.
2014 can be said to be the year when Taiwan’s mobile shopping took off. If everyone becomes accustomed to browsing websites through mobile phones, cultivating customer loyalty and promoting consumption will naturally come naturally. When a new consumption logic is established, a fruitful era of mobile commerce will begin.
Postscript:
This article was written nine months ago. Now Taiwan’s mobile shopping market has undergone many changes. The revision of the third-party payment law is in full swing, and 91APP has just recently received [good news] (https://www.bnext.com.tw/article/view/id/35746), and the competition among various e-commerce companies is also quite fierce; as for LINE, Facebook and WeChat, they are also conquering the territory and actively consolidating their own platforms.
I am still cautiously optimistic about the development of mobile commerce in Taiwan. I will write down my recent observations when I have time, so stay tuned.
♪ This article was originally published in [SRT Smart Retail Magazine](https://www.facebo ok.com/pages/SRT-%E6%99%BA%E6%85%A7%E9%9B%B6%E5%94%AE%E9%9B%9C%E8%AA%8C/433846610048957?fref=nf).
♪ Image source: [pixabay](https://pixabay.com/zh/iphone-%E7%AD%BE%E8%AF%81-%E4%B8%9A%E5%8A%A1-%E8%B4%AD%E4%B9 %B0-%E5%8D%A1-%E6%89%8B%E6%9C%BA-%E9%93%B6%E8%A1%8C-%E4%BF%A1%E8%B4%B7-%E7%94%B5%E5%AD%90-624709/)