Almost 50 million Americans visited an Amazon site on their smartphones in July. According to comScore, over 86 million U.S. smartphone owners accessed a retailers’ app or mobile site, meaning 47 per cent went to an Amazon property. The next largest smartphone draw was eBay, which had 33 million visitors with a reach of 31 per cent.
Amazon’s strength in smartphone retail is the centrepiece of its mobile ambitions. While not yet confirmed, Amazon is widely rumoured to be building a smartphone. Although such a device doesn’t appear to be in line with the company’s DNA at first glance, it actually would offer another vehicle through which Amazon could build on its core ecommerce business, in the following ways:
- Media sales. Books from the Kindle store, music from Amazon MP3, and shows and movies from Amazon Prime.
- Apps. Amazon has already had some success with the Amazon Appstore on Kindle Fires.
- Mobile ads. Amazon has the holy grail for advertisers: comprehensive data on consumers’ buying habits.
- Ecommerce. Evidence shows consumers are shopping on their phones, it makes sense for Amazon to build a new mobile platform tightly integrated with its ecommerce business.
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